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The compensation changes will have a downline effect on how sources of business will get paid for delivering their leads to a broker. As we know, the quality of leads delivered varies greatly, but the referral fees often don’t vary that much. Let’s explore how changes in compensation models might affect the various types of company-generated business lines. These are my hypotheticals, which may shake out quite differently from what I am exploring here. Or they may not.

You can count on brokerages and agents trying a myriad of compensation options until the norm settles in. No matter what, there is likely to be commission compression. People can become very creative when it comes to a payday. Expect to see all kinds of models pop up that may look cheaper on the surface, but are not in the end.

Before we tackle how commissions on relocation referrals are paid, we need to examine the ramifications of this settlement for the local buyer and seller. Read on to see Part One in the four-part series. Who stands to be hurt the most?

While the changes coming in July are stressful because of so many unknowns, we have to stand our ground and continue to educate those in control of policies about how their inaction may derail their talent mobility goals.

While I get the sense that corporate mobility executives don’t really want to deal with the upheaval in the real estate industry regarding agent compensation, they are directly impacted if they relocate even one buyer or seller. Waiting will only create exceptions to policy, frustration, and failed moves. I get it; corporations might end up paying three commissions if they relocate a seller who also buys. However, they may also pay exactly what they currently are or even less if they have a solid policy addressing all possible variables. If this, then that.