Become a Costera Luxury Property Agent

OPTION #1: Under this BFPO, an Agent is not billed and makes NO payments to the Broker during their 12-month term. This is solely a performance-based plan and there are NO out-of-pocket expenses to the Broker with this option. The Broker fee is originally set at 20% (80/20 split) of the Gross Commission (GC). Once an Agent generates gross commissions "above" $40,000 GC, the Broker fee will automatically go from 20% and be "permanently fixed" at 10% (90/10 split) of the GC per transaction side and for any 12-month term thereafter. Performance-Based BFPO (No payments = $0/year ~ $0/month).

OPTION #2: Under this BFPO, the Broker fee is set at 10% (90/10 split) of the Gross Commission (GC) per transaction side and for any 12-month term thereafter. Annual BFPO (1 payment at $720 = $720/year ~ $60/month).

OPTION #3 or #4: Under these BFPO's, the Broker fee is set at 5% (95/5 split) of the Gross Commission (GC) per transaction side and for any 12-month term thereafter. Option #3: Semi-Annual BFPO (2 payments at $720 = $1,440/year ~ $120/month); or Option #4: Annual BFPO (1 payment at $1,200 = $1,200/year ~ $100/month).

* All BFPO's are based on a “minimum” of 2.50% commission per transaction side of the Residential Sales Price (SP), or a minimum of $625, whichever is greater. There are no prorations, refunds or credits that are returned back to the Agent. Prior to your Anniversary Date (12-month renewal), the Agent must notify the Broker, in writing, with at least 30-days prior notice of Agent's 12-month Anniversary Date if Agent wishes to choose another BFPO. If not, the Agent's current Option will be automatically extended for another 12-months and cannot be changed until the Anniversary Date renewal is up again.

Please keep in mind that real estate commission percentages and sales compensations are negotiable between Seller and Broker, and therefore, may vary and are not set at a fixed percentage or dollar amount. Additionally, there is no limit to the maximum commission percentage or dollar amount per transaction side as well. There are NO Transaction Management System (TMS) fees associated with “residential sales” transactions under any BFPO, however, for “leasing” and “commercial” transactions, the Broker takes a flat fee of 25% of the TGC received plus a TMS fee of $100 per transaction side for “leasing” transactions and $250 per transaction side for “commercial” transactions. Any other associated costs and/or variable fees involved, as described in footnotes [4] - [7] below, may apply.

Compensation: How much do REALTORS® make?

As a REALTOR® (independent contractor) your income/compensation is completely commission-based and will vary based on your skills, experience, location, market conditions, your connections, work ethic, and so on. If you're looking for a very general average, the average annual income for REALTORS® throughout the state of California hovers around $100,000 ~ Indeed.com.

Obviously, California is a very large state and the real estate market can vary significantly from area to area. While the average annual income throughout the state of California represents a fairly high number vs. the national average, the salary range, as an example for REALTORS® specifically located in Mission Viejo, CA (our main office location), falls somewhere between $100,000 on the low end and around $400,000 for top earners - averaging around $200,000 annually ~ Indeed.com.

Why is there such a huge gap in pay? Well, in order to become a top earner, agents must commit a significant amount of time, energy and money into their business. Hard work is essential to high salaries, however. Like any career, real estate agents who build a solid foundation of hard work and dedication to the business will find the most success. Agents who don't put out a dedicated and consistent effort, typically fail to succeed within their first year or two in the business. With that said, multi-million dollar homes around Los Angeles, Newport Beach, San Diego, Palm Springs, and other areas, mean there are REALTORS® making well above the average annual salary. Star agents in California can make millions annually. While these numbers may seem out of reach, if you are a REALTOR® in California - your chances of multi-million dollar sales are higher than any other state.

Associate | REALTOR® Designation

In order to perform real estate transactions with Costera Luxury Properties, you must be a REALTOR® member. REALTORS® are allowed to refer and receive client/customer leads and also scout for and refer other real estate agents, Recruits, to join the Brokerage as described in footnote [2] below. REALTORS® can perform real estate transactions - be engaged in listing, selling, leasing, renting, counseling, and providing comparative home values. REALTORS® are participants and subscribers to the MLS and can also perform real estate transactions, e.g., gain REALTOR® access to the MLS, lockboxes, etc. REALTORS® with the Broker can refer but are not allowed to engage in providing legal/financial advice, managing, appraising, or arranging financing of real property. If you're still wondering what a typical REALTOR® does, please click here.

Associate-Licensee Designation

Associate-Licensee's are defined as Non-REALTOR® Agents who hold their real estate license with Costera Luxury Properties, Broker. Associate-Licensee's are allowed to refer client/customer leads to the Broker and also scout for and refer other real estate agents, Recruits, to join the Brokerage as described in footnote [2] below. Associate-Licensee's can assist other REALTORS® with the Broker, but cannot be engaged in providing legal/financial advice, listing, selling, leasing, renting, managing, counseling, appraising, or arranging financing of real property. Associate-Licensee's are not participants or subscribers in any MLS and cannot perform real estate transactions, receive leads, or gain REALTOR® access to the MLS, lockboxes, etc.

If you, the Agent (Scout), refer other real estate agents (Recruits) to join Costera Realty, you, as the Scout, will receive a $100 Recruiting Bonus each-and-every time one of your Recruits closes a qualified sales transaction with us.

A qualified sales transaction is based on a "minimum" sales transaction of $500,000, and both the Recruit and Scout must be current Real Estate Associates with Costera Luxury Properties.

Upon your request as a Costera Real Estate Sales Associate, our basic training program includes but is not limited to the following: Advertising & Marketing Strategies (e.g., online and traditional); Appraisals; Communications (e.g., Public, Sellers, Buyers, Agents, your Broker, etc.); Comparable Market Analysis (CMA) Reports; Counter Offers & Addenda; Disclosures (e.g., NHD, TDS, MCA, SBSA, Company, Local Area, etc.); Escrow & Title; Financing & Cash Offers; Home Inspections & Reports (e.g., AVID, Mold and Wood/Pest); Homeowner Associations (HOA); Home Warranty Plans; Leasing Agreements & Rental Applications; Listing Agreements & Appointments; MLS Rules, Regulations & Ethics; Negotiations; New Home/Development Procedures & Transactions; Online Security; Personal Safety Practices; Personal Time & Financial Management; Purchase Agreements; Referrals (Offering and Receiving); and Risk Management.

Although the use of a Transaction Coordinator (TC) is highly encouraged for all Agents in Residential Sales Transactions, it is not required or mandatory to use a Transaction Coordinator for Experienced Agents who have over $2 million in proven California Residential Sales Transactions. However, Agents who have no residential sales experience or have sold less than $2 million in proven California Residential Sales Transactions; or do any commercial real estate transactions are required to use a Transaction Coordinator. Please note that Costera Luxury Properties, Broker, is not affiliated with and does not employ Transaction Coordinators to manage transaction files for any of their Agents.

Typically, a TC will charge a transaction coordination fee for their services of approximately $400 to $600 per transaction side. Additionally, all TC fees are the responsibility of the Agent, not the Broker, and are to be paid through escrow once the transaction is closed and complete. 

Agents who have no residential sales experience or have sold less than $2 million in proven California Residential Sales Transactions (RST) must pay the Broker a one-time ONLY New Licensee Supplemental (NLS) fee of $2,500 on their first sales transaction. The NLS fee is used to recover the Company's costs associated with, but not limited to, the Broker's time involved with training and mentoring licensed agents with little to no California residential sales experience as a REALTOR®. The NLS fee applies to all four (4) 12-month term BFPO’s.

All Agents with Costera Luxury Properties, Broker, are encouraged to purchase and utilize all tools necessary to effectively run their own business and are responsible for their own expenses including, but not limited to the following: State licensing and DRE fees; Associated REALTOR® membership dues, including lockbox and key access fees; Automobile insurance, maintenance, fuel and expenses; Errors and Omissions (E&O) insurance deductibles (per applicable occurrence, and is commensurate with Agent's BFPO commission split percentage and fee structure), including applicable attorney fees, court costs, damages, expenditures, and judgment/settlement sums; Client meal and entertainment expenses; Postage and courier fees; Staging costs; Transaction Coordinator (TC) fees; Professional photography, virtual staging, virtual tours and head shots; Graphic design services; Business cards; Name badges; Agent websites; Email accounts; Internet service; Phone service; Customer Relationship Management (CRM) tools; Door-knocking pieces; Event planning; For sale, open house, riders and yard signage; Flags, posts, stakes and banners; Greeting cards, brochures, postcards and flyers; and Mass email platforms.

Costera Luxury Properties, Broker, is a member of the California (CAR) and National (NAR) Association of REALTORS®; a participant to the California Regional Multiple Listing Service (CRMLS); and associated with the following five (5) local Southern California REALTOR® Associations as Designated REALTOR® members:

1) Orange County REALTORS® (OCR);

2) Pacific West Association of REALTORS® (PWR);

3) Rancho Southeast Association of REALTORS® (RSAOR);

4) Tri-Counties Association of REALTORS® (TCAOR); and

5) Pacific Southwest Association of REALTORS® (PSAR).

An Agent cannot join or continue to remain with other associations if the Broker holds no membership in that particular real estate association. HOWEVER, if an Agent insists on joining or remaining with such association, the Agent must have the Broker's expressed written approval to do so. Please keep in mind that additional Brokerage fees/charges may be applicable.