Why Real Estate Agents Are Choosing Culture, No Incentives, When Choosing A Brokerage

For years, the recruiting conversation in real estate centered on one question: What is your split? Commission structures dominated broker pitches, agent interviews and career decisions. The logic was simple and seemingly unshakable: the highest split wins.

That logic is breaking down, and the shift is happening faster than most brokerages realize.

Why the compensation-first model is losing relevance

Agents are still leaving for new opportunities, but they are not chasing commission percentages the way they used to. They are chasing something more foundational: culture. Not the surface-level perks or the branded swag that gets handed out at conferences, but the actual environment in which they will build their business, the leadership they will interact with daily and the systems that will either support their growth or quietly undermine it.

The compensation-first model made sense in a different market. When real estate was purely transactional, splits served as the primary differentiator. Brokerages competed on structure because structure was measurable, and agents made decisions based on take-home dollars because that felt like the clearest path to success.

But independence without infrastructure has diminishing returns, especially in a market that rewards strategy over speed. Agents are beginning to recognize that a 90% split at a brokerage with weak systems, inconsistent leadership and no investment in agent development is not actually more valuable than an 80% split at a company that provides mentorship, technology, marketing support and a collaborative environment where top performers are accessible rather than siloed.

What agents need to evaluate now

If you are considering a move, the questions you ask during the interview process matter more than the commission structure being pitched to you. Here is what to look for:

Training and development

• Does the brokerage offer structured onboarding?
• Is ongoing education available and encouraged, or is it generic compliance videos?
• Are there clear pathways for development at different career stages?

Leadership accessibility

• Can you meet with leadership before signing, or are you only meeting recruiters?
• How does leadership show up for agents when they need support?
• Are agents looped in when it comes to decision making, or does information only flow in one direction?

Culture and collaboration

• Does company structure encourage collaboration?
• Do more experienced agents mentor newer ones?
• What does agent retention look like, and why do agents stay or leave?

These questions reveal whether a brokerage is designed to support your growth. If leadership cannot answer them clearly and confidently, that is information worth considering before you make a decision.

How to evaluate total value, not just commission splits

When comparing opportunities, look beyond the percentage on the offer letter. Consider:

• Time saved: Does the brokerage provide systems that free you to focus on revenue-generating activities, or will you spend hours on administrative tasks?
• Growth potential: Will you have access to mentorship, collaboration, and resources that help you close larger deals or expand into new markets?
• Long-term viability: Is the brokerage investing in its future, or cutting costs in ways that will eventually impact agent experience?
• Reputation and brand: Does the brokerage’s positioning in the market align with the clients you want to serve?

The question is no longer just “what will I earn here?” It is “who will I become here, and will this environment help me build the business I actually want?” 

What this means for your next move

For agents evaluating their options, this means the competitive advantage has shifted. You are not just choosing a commission structure. You are choosing the environment that will either accelerate your growth or quietly limit it. The brokerages that understand this will not just recruit better, they will retain better, which matters far more in a normalized market.

Culture is not a nice-to-have. It is the foundation of sustainable growth, both for you as an agent and for the companies competing to earn your business. The agents who recognize this early will build stronger businesses. The ones who continue chasing splits without evaluating total value will likely find themselves making the same move again in two years, still searching for what a better commission structure cannot provide.

Rainy Hake Austin is a brokerage leader at The Agency.

This column does not necessarily reflect the opinion of HousingWire’s editorial department and its owners.

To contact the editor responsible for this piece: tracey@hwmedia.com