In a challenging property market with pressure on commission, bold and unachievably asking prices, rising unemployment, rolling blackouts and more it is getting quite hard as breadwinners. And if you have ever wondered why you are working your be-hind off to pay for a Sedgefield holiday home, you simply must read this article. As an agent that has moved around a bit, because I backed the wrong horse (brand) twice, I know what I am talking about. But I am greatful to the moms and pops I joined, I learned wht I needed to learn and I moved on to bigger and better results, without a doubt. Thank you.
I joined Keller Williams Select in May 2021. It was a disaster when I came in and my business partner left to go back to a small mom-and-pop business. I was gutted, to say the least, but I have moved on and I am happy to report that I am the happiest I have been in my entire life. It’s a rough ride as an agent keeping all the parts of the engine moving.
Let’s unpack what makes KW Select different?
So we have a great commission structure. Probably not the best on the market. But it’s competitive. The main thing is the amount your agency earns from “YOUR” efforts is capped at R140,000. Most productive agents pay far more than R140,000 to their agency. Ok, so you pay R320,000 of your commission to your agency but you get free boards, cards and what-knows-more. Is the over-and-above that you are spending a fair price to pay for an admin assistant. And the extra you pay to your agency more than covers the ‘perceived’ free stuff you get. Can you just imagine that extra cash in your pocket (between 10% and 30%+). There is the holiday home right there! You could in fact hire an admin assistant without batting an eyelid. The systems at KW and the processes are quick and easy to navigate. Unless you are not an agent that is willing to leverage technology into the future to keep you in top position. You see, technology really is a differentiator in this game. And sadly the moms and pops of this world, in this game, will find it more and more difficult to compete in the years to come. You decide whether an hour and a free coffee is worth almost 20% – 30% + on your bottom line.
KW Select is differentiated
What is this CAP about?
But what struck me most about Keller Williams when I slowed down to listen was the CAP. You see in a traditional agency setting the Agency earns 20%, 30%, 40% or even 50% (which is where I was at with mom and pop). This model is outdated. It left the building with the dinosaurs. An agency just cannot justify 50%. And I am going to tell you why KW is different.
Benefits of CAPPING
With the CAP, what you pay your agency is ‘CAPPED” at R140,000 per year. So if you are paying more than R140,000 you could be doing better. In fact, when I joined KW Select I thought ‘we’ at the time negotiated a great deal at 80/20. The worst decision of my working life. If I had joined on a 70/30 or even an 60/40 I would have reached my CAP sooner.
Why the CAP is so key
Well the sooner you reach the CAP of R140,000 the sooner you start making more. Your comm no matter what your split goes up when you reach your CAP. KW cannot make more than R140,000 in 1 year from YOUR efforts. Everyone pays royalties and ours are no different at 6%. The other 2% is the most amazing pension plan that we call Growth Share. More about that in another article though and trust me it will blow your mind.
Working for SARS and working for someone else’s holiday home
So are you tired of working for the TAX man and tired of paying the lion’s share away to your agency?
Let’s chat
Then ring in and let’s start the conversation. We are about to launch a new page on our website called Join KW. We have this little calculator that you can play with and trust me play with it you will. Just on my numbers as an agent, I make R179,000 per annum MORE. Nothing dramatic, just doing what I have always done but earning more.
Need more information?
We are taking the rifle shot approach. Gunshot means spray and pray. We are going for the big guns and we have so much to offer. But without giving away all the fun stuff on the 1st go, you should reach out and touch base. Strictest confidence. You know how it is. We get it. You have listings that are live. You have commission that is due and we all know there are some dodgy people in this world that don’t do the right thing.
We want you and we want you now
Call Johann De Wet for more information. Johann is our fearless leader for Keller Williams Select and he can be reached on 067 400 1968. If you need to shoot the breeze and sound us out, you can call me as well or any member of our team. Here is the P24 link to Keller Williams Select. The beauty about not being area bound is that you can work where you live and also work in an area you have, for years worked to establish. No changes to your area when you least expect it. We cover the East Rand, the West Rand, the South of Johannesburg, Randburg Sandton, and the greater Johannesburg areas. Trust me we even cover areas much further out so, do yourself a favour, reach out and ask how we can help you because we really can.
Or connect online
We also have a number of initiatives in play to help agents generate leads. We all love canvassing so much. Visit our website for more info and to really check out our show window to the world.
