Basics of Real Estate Commission Advance - Just Commission Advance - PowerPoint PPT Presentation

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Basics of Real Estate Commission Advance - Just Commission Advance


If you're an agent or a broker, you can learn the basics of real estate commission advance with us, JCA, one of the leading financing companies in the US. – PowerPoint PPT presentation

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Title: Basics of Real Estate Commission Advance - Just Commission Advance

  • Basics of Real Estate Commission Advances

  • A commission advance is a financing tool
    that real estate agents and brokers often use to
    regularize the cash flow.
  • Are you a real estate agent or a broker? Then
    you might know about this financing tool, but for
    those who dont know much about it, we are here
    with the basics of commission advance for
    realtors. To understand more about it, lets
    quickly get into the details

  • What is commission advance for realtors?
  • You can call advance commission for realtors as a
    financial tool or a service. It enables any
    realtor or broker to receive advance over
    transactions related to real estate. The
    commission is before the date when he would
    receive it.
  • The real estate agents rely on factoring to reach
    a specific amount of advance. As and when they
    get real estate commission advance, they get
    immediate access to the working capital.
  • The working capital is locked in the earned but
    unpaid commissions if they dont get an advance.
    Then they use these commission advances to speed
    up their cash flow so they could grow their
    brokerage business quickly to meet their
    obligations. These obligations may include
    miscellaneous expenses, tax payments, unexpected
    liabilities, and other business obligations.

  • How do the transactions with an advance
    commission for realtors take place?
  • The transactions happen to take place when the
    buyers and sellers agree on the terms, and then a
    purchase and sale agreement is signed. This step
    is followed by the processes which are to be
    completed before executing the closure of the
    deal. These processes include title search,
    property lien search, inspections, and so on.
  • After you are done with the processes, a closure
    date is set, and after that, the commission
    advances are provided to the realtors where they
    get immediate funding of commissions earned.

  • How much does a commission advance cost?
  • When we talk about the rates of commission
    advance for realtors, they are highly transparent
    and competitive. It could be as high as 20 to as
    low as 3, and it entirely depends upon the
    parties involved in the agreement. Moreover,
    there are many businesses whose advance
    commission for realtors depends on the sales and
    different types of costs involved in the process.

  • Here are some of the benefits of advance
    commission for realtors
  • Improves Cash Flow
  • Being a real estate agent involves a lot of
    money, as you always need to put money to keep
    your business running in the market. If your cash
    flow is disturbed, you may end up getting stuck
    in several deals, and you may need to wait for
    more cash to come in to close the deals.
  • Reduces Your Dependence on Debt
  • You know that as a realtor, you need to put in
    money constantly to run your business for which
    many take debts and other loans. For some, this
    is not a feasible option because if you keep on
    taking loans, you may end up accumulating tons of
    mortgages for your business.
  • Quick Approval
  • Commission advance for realtors is the best
    funding they can have as they can get immediate
    funds from the party which they can use as per
    their needs

1601 LBJ Freeway, Suite 150Farmers Branch, TX
75234 Phone 469-351-6205 Fax 817-977-4633 Email
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