In my interview with Mike Work, Mike told us that he believed in a total restructuring of the current system of Brokering real estate.

 Mike has had a ton of experience as he was one of the first variable commission brokers in the Country, and he along with yours truely helped the flat fee listing popularize across the net.

Well, I found a couple blog posts of late that really is interesting if you are considering a non-traditional real estate model.

Zip Realty

Zip Realty is a survivor. It was one of the first online Realty Shops that has grown over time. Zip offers the rebate model and may be in trouble if you believe the post by Russel Shaw.

From Russel’s post:

Let’s break down the compensation plan of an average zipagent:

• Avg Net Revenue/Transaction $7,400
• Avg zipAgent Commission 50%
• Avg Agent Commission/Transaction $3,700
• Transactions/Agent/Month .60
• Avg Monthly agent income $2,220

While at the Freakonomics blog, steve posts that Redfin ( the Iconic Real Estate 2.0 Net Firm)

“clients who use their discount brokerage firm pay a lower percent of the list price than the typical home buyer in Seattle (99.329% of the listing price with Redfin vs. 100.233% with other agents).  That difference in price is worth more than $4,000 per purchase, on top of the already discounted fees/commission sharing.”

One wonders after the Fat Uncle (Investors), are thru feeding these two pioneers if they will be able to still float.