Seven Things to Consider For a Commission Advance Company
Even though the real estate industry can be a lucrative business, you won’t always have a steady string of sales. You also have to get accustomed to waiting for a month, maybe two or three months to receive your commission. This is one of the main drawbacks of working in real estate. This lag period can be frustrating, especially if you have a lot of pending expenses that need to be handled. Don’t wait until your debts surpass your assets. Join thousands of successful agents who decided to grab the reigns of controls of their cash flow by hiring a commission advance company.
There are several commission advance solutions out there, but you’ll quickly realize that they’re not all the same. Here are seven tips to help you find the best commission advance company:
1.Brief Waiting Period
A commission advance ensures that you don’t have to wait to get paid! Some of the tops commission advance companies will NOT take more than 24 hours to process your payment. If you come across companies that take longer than 24 hours, we recommend crossing them off your list. Keep in mind, you’re trying to expand your real estate business, so there’s literally no time to waste.
2.No Undisclosed Fees
This is obvious. You don’t want to submit your application and then suddenly be hit with a “processing fee”, “administration fee”, or any other fee. The commission advance company you hire should be entirely transparent about its fee structure. There should not be any additional charges, such as processing fees, wire fees, and holdbacks. The individual who is assisting you with your application should clearly explain what the fee is and why it’s charged BEFORE you sign above the dotted line. Make it a point to read everything before signing. If the commission advance company agent keeps mentioning stipulations, then you can expect hidden fees. Keep in mind if your application processing surpasses the ten to twenty-day mark, then you will have to pay extension fees.
3.Computerization of Services
Some of the best real estate commission advance companies have an automated processing system. This means from application to the repayment, and everything occurs online. No one uses fax machines or mail-in applications anymore. In fact, if the commission advancement company you’re considering still uses either of these communication systems, then you can expect a long wait time. Getting your commission advance should be a hassle-free and easy experience!
4.No Minimum Amount, Only Maximum
The point of getting a commission advance is to get ahead of your expenses. The commission advance company should be able to give a maximum amount, without any restrictions. In fact, some of the top commission advance companies offer up to three advances. Most will fund the advance in two payments if the request is for a large sum. These are:
– Listing Advance: This is offered when there is no specific buyer, rather a listing agreement made with the seller. You require up to 2 to 3 listings in order to qualify for a listing advance. This will depend on the commission advance company you hire.
– Commission advance: This is a straightforward advance based on the criteria that there is a buyer, a settlement company or escrow, and a closing date.
– Commercial commission advance: This transaction is similar to an advance on a residential property, except more details about the transaction are required. Real estate commission advance companies will assess your documentation and, after approval, will proceed to discuss terms and pricing. After the agreement is drawn up, it is sent to the settlement company or escrow, followed by funding from the commission advance firm.
As a part of due diligence, when closing approaches, it is a real estate agent’s duty to keep the commission advance company informed of any updates or changes related to the transaction. Once the real estate transaction closes, the settlement company or escrow will pay back the commercial commission advance and the fee directly to the company. The balance is paid to the real estate agent.
The company you select for your commission advance should be able to offer perks such as referral incentives, rewards, discounts towards e-commerce or retail shopping, loyalty programs, bonuses, etc. It is their way of demonstrating appreciation for your business.
6.A Mobile Version of the Website
Leading commission advance companies have a mobile app so that you can submit a request for a commission advance, anywhere, anytime, and on the go! The app will save your information and keep it confidential. The next time you submit an advance request, the process will be faster. You should be able to access free guides, marketing strategies for your business, etc. to help grow your real estate business.
When you’re applying for your first commission advance, it’s natural to have questions and concerns about the process. Even though you can seek answers from the commission advance company’s website, nothing compares to speaking to a real person. At Just Commission Advance, you will form a lasting relationship with your customer service representative.
Choosing the best commission advance company requires careful consideration. They should work with you and your needs. More importantly, they should expedite the application and approval process so that you can get access to funds as quickly as possible.
A commission advance company like Just Commission Advance thrives on providing superior customer service. Give a call today for a free estimate on your commission advance.