The problem:
A series of paradigm shifts in the real estate industry made running a medium-sized brokerage unsustainable.
The solution:
Our technology driven referral network and productivity suite helps brokers recruit more agents with less overhead by providing tools to immediately increase their revenue.

RealtyNetwork Solutions (RNS) is a Licensed Real Estate Brokerage and Exchange Company in the state of California. Through our partnership with RealtyProx, a real estate transaction management platform, we have created a membership referral system that is designed to enhance profitability for Real Estate Companies and Sales Associates within the Network.

Member Benefits
  • Customizable Virtual Office
  • Web-Based (Nothing to Install)
  • Brokerage Management
  • Collaboration Tools
  • Permissions Management
  • Transaction Automation
  • Workflow Management
  • Real-Time Pipeline Management
  • Real-Time Tracking and Reporting
  • Fillable CAR Forms
  • Document Management
  • One-Click Document Packaging
  • Built-In Vendor Services
  • Built-In Escrow Solution
  • Built-In Email, eFax and SMS
  • Calendar, Tasks & Reminders
  • Client Management
  • Electronic Signatures
  • Short Sale Processing Tools
  • Skilled Short Sale Processors
  • One-Click Title Order

Paradigm Shifts and Their Effect on Small to Medium Brokerages

During the 1970’s, Real Estate Brokers were generally able to attract, recruit and make a profit by adopting a 50/50 commission split between their company and their agents. Unfortunately, the years have taken a toll on Brokers; commission splits have reached levels that are threatening the ability for the average Brokerage to maintain their business. In other words, there simply is not enough margin for the average Broker to continue operating profitable businesses.

The fact of the matter is, the majority of the real estate service/affiliate industry (Title Companies, DOC Escrow Companies, Home Inspection Companies, Pest Control Companies, Home Warranty Companies etc.) have lived off the sweat and blood of the Real Estate Brokers, while at the same time the margins for the Brokers has diminished to unsustainable levels. This has resulted in the average Broker having to utilize their own production to subsidize their overhead, just to keep their doors open. As a result, the “Paradigm Shift” RNS is launching, is no longer an option for the average Brokerage, it is now a matter of survival.

Let’s take a look at the historical changes we’ve witnessed over the past 40 to 50 years:

Paradigm shift #1: The 1980’s brought to the market several new franchises that were launched onto the market resulting in a shift in commission splits between a Broker and Agents throughout the industry. With the introduction of these franchises, agents were exposed to paying a desk fee and were able to keep 100% of their commissions. Consequently, Brokers attempting to compete were indirectly forced to increase agent commission splits up to 90% to 100% in order to compete, recruit and retain agents in their local markets. This resulted in Brokers having difficulty running their business on extremely thin margins.

Paradigm shift #2: The 1990’s new franchises were born, creating the second shift also pertaining to commissions between a Broker and Agents. These franchises offered “Team” concepts as well as sharing in some of the Brokers profits at the end of each year. However, it is our opinion these profits appear to be minimal to the average real estate agent as the profits can be controlled to manipulate year end income and expenses.

Paradigm shift #3: The 2000’s, a plethora of new companies with 100% commission plans hit the market, thus creating the third shift which pertained to commissions between a Broker and Agents. These franchises offer 100% commission splits with only minimum monthly fees. Unfortunately this shift is now creating a hardship for the average Broker. In addition, as the real estate market slowing down in the late 2000’s, it became extremely difficult for the majority of agents to meet their monthly desk fee and agents reverted back to a straight commission structure with no desk fee. Unfortunately, Brokers who need to compete with the marketplace, had to also compete with the agents taste for a high commission splits. RNS has developed such a system to assist Real Estate Brokers by utilizing advanced systems and tools that enable Brokers to “Reduce” overhead and “Increase” revenues.