Understanding the "Minus Fee" Program – A New Opportunity

At Kale Realty, we’re always looking for ways to empower our brokers and enhance the value they bring to their clients. One of the tools we’re encouraging brokers to consider is what industry veteran Lynn Madison refers to as the “Minus Fee.” This optional fee structure allows you to generate additional income while contributing a small portion back to Kale Realty to support continued brokerage services.

What is the “Minus Fee”?

The “Minus Fee” is a broker-charged service fee that you include at closing—in addition to your standard commission. It is designed to reflect the high level of service and support you provide to clients. The fee is scaled based on the property's sale price, and you retain a portion of it directly. The remainder is allocated to Kale Realty to help fund support systems, technology, and operational resources.

This initiative gives brokers an opportunity to increase their earnings per transaction while also supporting the brokerage’s long-term growth.

Suggested "Minus Fee" Breakdown by Property Price:

Property Price	Total Fee Charged	Amount Broker Keeps	Remainder to Kale
$0 – $99,999	No fee charged	N/A	N/A
$100,000 – $200,000	$295	$100	$195
$201,000 – $400,000	$395	$175	$220
$401,000 – $750,000	$495	$250	$245
$751,000 and Above	$595	$300	$295

Why Use a Minus Fee?

• Adds Value: You’re offering full-service, professional real estate expertise—this fee reflects that.

• Boosts Your Income: You keep a significant portion of the fee.

• Strengthens Kale Realty: A portion of the fee supports the brokerage’s infrastructure, systems, and services.

• Client Transparency: The fee is disclosed and agreed upon upfront—building trust and professionalism.

  
  

Important Notes

• The Minus Fee is not mandatory, but it is highly encouraged. We believe in your ability to communicate your value to clients and use this tool effectively. It reflects the time, effort, and care you bring to every deal.

• It must be disclosed. The fee should be included in your listing or buyer representation agreements and acknowledged prior to closing.

Be consistent. Consider using this fee as a regular part of your transaction structure.