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edfin’s nationwide rollout of its Redfin Next commission‑split plan a year ago has already begun to reshape agent earnings. The new structure, which can give agents up to 75 % of commissions, also bundles health insurance, a 401(k) plan and company‑sponsored vacations. According to a recent Redfin study, the average agent’s income rose 14 % over the first year, while the top 10 % of performers saw a 20 % bump and the top 25 % an 18 % increase.
The program’s success is reflected in agent retention. Chief of Real Estate Services Jason Ale em noted that attrition among high‑earning agents remains in the single‑digit range, a testament to the plan’s appeal. The positive reception has also fueled recruitment: by March 2025 Redfin had 2,200 agents, including former REMAX star Bruce Tyburski and ex‑eXp agent Brian Wilson, both bringing substantial sales experience.
Redfin’s partnership with Rocket Companies, which acquired the firm for $1.75 billion, has amplified the benefits. Rocket’s vast mortgage‑lender network supplies pre‑approved leads that Ale em calls “the gold standard” of contacts, effectively expanding the pipeline for Redfin agents.
Despite a sluggish housing market this year, agents reported higher earnings per transaction. Ale em emphasized that the commission structure not only boosts pay but also improves close rates, making agents more efficient even in a headwind. When the market rebounds, he expects earnings to rise further.
Portland agent Chaley McVay cited the new model as the reason for her best year yet, noting that the compensation rewards her hard work even amid fewer deals. Her success illustrates how the plan can sustain performance during tough market conditions.
Looking ahead, Redfin plans to refine its incentives and software to keep top performers motivated. The recently launched Redfin Teams program, which began in December 2024, offers team agents an average annual income of $205,274 versus $122,807 for solo agents. Ale em said the company is experimenting with additional perks and tools to preserve the higher earnings levels achieved in the first year.
In short, Redfin’s expanded commission split has lifted agent income, attracted new talent, and positioned the firm to capitalize on a future market upswing while continuing to support its top performers with enhanced benefits and technology.
