December 17 2023
Redfin announced it is expanding its new agent compensation plan to San Diego and Orange County, California. Under the new plan, rebranded to Redfin Next, agents earn competitive splits as high as 75%, have virtually all business expenses covered, and get technology, support, benefits and customer introductions from Redfin.com.
Redfin initially announced the plan in San Francisco and Los Angeles in late October. Since then, it has signed nearly 40 top producing agents to join its San Francisco and Los Angeles teams, and is having conversations with dozens more top producing agents who are interested in joining the company. Collectively, Redfin's new hires sold approximately one billion in real estate in the last two years. Because of this early recruiting success, as well as the positive reception among Redfin's existing agents, the company decided to quickly expand the plan to additional markets in Southern California.
"We set out to create a compelling compensation plan that would wow agents from across the industry by offering the best of both worlds: a big traditional split coupled with Redfin.com customers, benefits and support," said Jason Aleem. "We couldn't be happier with the early response in Los Angeles and San Francisco and feel even more confident that this plan will help us retain and recruit top talent and ultimately grow our market share in California next year."
The Redfin Next plan includes:
Agents under Redfin Next will work as employees, not independent contractors. Redfin's employee agent model was built to put the customer first by ensuring agents have the support they need to deliver the best service. Redfin uses technology to make real estate more efficient, which is why Redfin has the most productive agents in the industry. Redfin agents close more than twice as many transactions as the average agent every year.
Redfin agents in the company's Los Angeles, Orange County, San Diego and San Francisco markets will move to the Redfin Next pay plan on January 1. In all other markets, Redfin agents will continue to operate under Redfin's existing plan, earning a base salary and bonuses for every closed transaction. Nationwide, Redfin agents earn more than double the typical real estate agent and the company's best agents have earned more than $750,000 under the existing plan. Redfin expects top agents to earn even more under the pilot pay plan.