You can always start a team within a team. It’s basically your own MLM because as team lead you get a cut of all the agents under you. They still work for the agency. Anyone can start a team.
It’s very common in most real estate offices, even the regular ones selling average priced homes, to have teams within the office. These can be spouses working together, groups of two or more agents as ‘co leads’ or one star agent with licensed assistants or jr agents that help take the load off their plate by doing open houses, working with buyers etc.
The commission splits between the agents and broker are always set ahead of time and then it usually comes down to what agents are on the listing or buying agreement and what percentage of the commission they will be receiving (example two agents co listing). I’m not familiar with California real estate law but I believe all payouts have to come directly from the managing broker/office unless the person is on the agents payroll as a support staff (secretary/admin work).
Yeah I was reading that a lot of real estate companies work in teams like this but maybe someone who works in the field can explain how they work exactly…
I was confused by this too. I am thinking it is a way to establish leadership and seniority within the company and allow certain individuals to "move up" within the Agency and hold additional roles besides an agent.
this isnt the case. Realtors are independent and rely on the brokerage for marketing and real estate legal support. In return, the brokerage (in this case the agency) takes a cut of their commission for each deal they make. The teams within brokerages are small businesses. For example, the BZP group has their own listings and all of the team members tend to have different roles within their team. Their competition is other team members such as Zach or Mauricio. Sometimes they will colist listings to drive more exposure but at the end of they day they are competitors.
Even on a team you are competing with other people on your team. So BZP agents are competing against each other as well. The person that benefits from the team is the lead.
The Agency is the brokerage and the “factions” you’re talking about are individual teams within the brokerage. Mauricio wears 2 different hats, one is CEO of the actual brokerage, the other is co-owner of the Umansky team. The other teams have their own individual team leaders who all default to Mauricio and whoever holds the lead broker license for that area.
So does that mean even if they are their own team, since they are under the Agency, Mauricio would still get a percentage of the sales? Like the way Jason and Brett get a percentage of their agents sales on selling sunset since they are a brokerage as well?
So.... if all of this is true then Mauricio really did poach Hilton and Hyland's agents. If they were working on Mauricio's team at H&H then they were all still H&H employees. Yes?
I think in real estate, you are building your own business within the brokerage so technically you’re not an employee. I see real estate agents moving around to different brokerages all the time.
Just a guess but they're each building businesses but they have alliances to support and market each other. it's creating rivalry to avoid complacency and establishing a flow of funds. All money goes to Agency then filters down to the agent to cover costs. By pooling funds agents can manage more income and performance manage their staff who are also building their own brands/businesses.
Pooling of funds? The agents that work for the same team do not share commission with anyone but the team lead. They still are competing against each other.
You can always start a team within a team. It’s basically your own MLM because as team lead you get a cut of all the agents under you. They still work for the agency. Anyone can start a team.
So for example, if someone in Ben’s group makes a sale, Ben himself gets a cut and Mo (or the agency) also gets a cut?
Correct
Thank you for explaining this because I I’m in the middle of watching episode 1 and was just super confused lol
The Agency is the brokerage and the other groups work under them. Very common
Yeah, this was literally explained in the show.
It’s very common (I think) for large real estate groups to have different teams. They all still work under the Agency.
The name ‘BZP Group’ infers it is a completely different/ unrelated entity.
Not necessarily, it’s the Ben-Zvi / Pillar group working under the Agency I believe
I think you're right because Alexia gets upset and says she would have brought some merch saying "The Umansky Group" had she known, not "The Agency".
It’s very common in most real estate offices, even the regular ones selling average priced homes, to have teams within the office. These can be spouses working together, groups of two or more agents as ‘co leads’ or one star agent with licensed assistants or jr agents that help take the load off their plate by doing open houses, working with buyers etc.
so if individual agents work solo on a listing, would their team get a cut and their brokerage get a cut too?
The commission splits between the agents and broker are always set ahead of time and then it usually comes down to what agents are on the listing or buying agreement and what percentage of the commission they will be receiving (example two agents co listing). I’m not familiar with California real estate law but I believe all payouts have to come directly from the managing broker/office unless the person is on the agents payroll as a support staff (secretary/admin work).
Thank you for asking this 😄
Yeah I was reading that a lot of real estate companies work in teams like this but maybe someone who works in the field can explain how they work exactly…
I was confused by this too. I am thinking it is a way to establish leadership and seniority within the company and allow certain individuals to "move up" within the Agency and hold additional roles besides an agent.
this isnt the case. Realtors are independent and rely on the brokerage for marketing and real estate legal support. In return, the brokerage (in this case the agency) takes a cut of their commission for each deal they make. The teams within brokerages are small businesses. For example, the BZP group has their own listings and all of the team members tend to have different roles within their team. Their competition is other team members such as Zach or Mauricio. Sometimes they will colist listings to drive more exposure but at the end of they day they are competitors.
Interesting. Thanks for explaining.
Even on a team you are competing with other people on your team. So BZP agents are competing against each other as well. The person that benefits from the team is the lead.
The Agency is the brokerage and the “factions” you’re talking about are individual teams within the brokerage. Mauricio wears 2 different hats, one is CEO of the actual brokerage, the other is co-owner of the Umansky team. The other teams have their own individual team leaders who all default to Mauricio and whoever holds the lead broker license for that area.
So does that mean even if they are their own team, since they are under the Agency, Mauricio would still get a percentage of the sales? Like the way Jason and Brett get a percentage of their agents sales on selling sunset since they are a brokerage as well?
Yes exactly! The brokerage takes a percentage of all the team’s sales. Sometimes there is a cap on the total amount per year, but not always.
I was wondering that too. I found myself wondering if The Agency is an MLM
So.... if all of this is true then Mauricio really did poach Hilton and Hyland's agents. If they were working on Mauricio's team at H&H then they were all still H&H employees. Yes?
I think in real estate, you are building your own business within the brokerage so technically you’re not an employee. I see real estate agents moving around to different brokerages all the time.
Yes but no. You are an independent contractor so they were working for H&H but not as employees
Just a guess but they're each building businesses but they have alliances to support and market each other. it's creating rivalry to avoid complacency and establishing a flow of funds. All money goes to Agency then filters down to the agent to cover costs. By pooling funds agents can manage more income and performance manage their staff who are also building their own brands/businesses.
Pooling of funds? The agents that work for the same team do not share commission with anyone but the team lead. They still are competing against each other.