I think many consumers in the market place tend to think that Shakopee real estate agents tend to sell 20, 30 or even 40 homes per year. According to the National Association of Realtors, average real estate agents sell eight homes per year averaging a sales volume of $1,100,000. I think the industry has painted a picture that Shakopee real estate agents are selling homes all day long. Shakopee Realtors tend to have many roles as they are almost running a small business in many ways. Typically the real estate brokerage hold a Realtors license, but many expenses and activities are up to the individual real estate agents. Some of the activities in a typical day may be:
- Finding (prospecting) new business
- Maintaining current listing inventory
- Preparing individual marketing materials
- Preparing listing marketing materials
- Accounting for their real estate business
- Website advertising
- Marketing current listings
- Managing the needs for their current clients
Often times Shakopee real estate agents have commission splits with their broker. Their real estate broker who holds the Realtors license may put them on a commission split with the brokerage where some newer agent could potentially be on a 50/50 split with their office and an experienced agent may be on a commission split anywhere from 50-99%. Typically with the higher commission splits there will be a “desk rent” in which the Shakopee real estate agents many need to pay a fee each month to the broker. Some of those fees could vary but from what I have seen it’s anywhere from $200-1650 per month. Some real estate companies will also charge transaction fee to their agents per transaction that may be $50-$100 and also take out corporate fees ranging from 1-3% of the gross real estate commission. Obviously these are all examples of what I have personally experienced in my career and may or may not reflect the industry as a whole because I do not know the structure of every company.
Shakopee real estate agents also have many fees they incur such as:
- Marketing materials
- Annual Licensing $450 per year
- Supra Key Dues $152 per year
- MLS Access Fee $114 per quarter
- Errors and Omission Insurance $400 yr est
- 15 Hours of Continuing Education each year
- Sign installs and removal, typically $40-60 per listing
- Business Cards
- Optional Website IDX search $800-$1200 per year
- Professional photography, which we sure know not many Shakopee Realtors take care of this!
- Virtual Tours $89-$199 per listing
Average Shakopee real estate agents can easily spend upwards of $10,000-$15,000 per year in real estate related expenses. One thing we at Remax Advantage Plus and The Twin City Real Estate Team have done is to leverage our time and the real estate team philosophy. We have hired interns to do most of our marketing and prospecting for new business so that we may concentrated on client care and taking care of the needs of customers we are working with. We understand how important the purchase of a home can be and we want to make sure to accommodate. Knowing the urgency of the Shakopee real estate market having only one Realtor can be a hang up if they are busy. Say a brand new Shakopee listing comes on the market and your agent is out of town or busy. You need to get in that house or it could sell! Having a team gives us the ability to have multiple Shakopee real estate agents on our team with the availability to show you the home. Problem solved! If you are search for a Shakopee home for sale make sure to contact us at the Twin City Real Estate Team.