have given Next Generation a thought but it does not go in the Multiple Listing system, which is huge
real estate commission
- Thread starter jt tailgater
- Start date
have given Next Generation a thought but it does not go in the Multiple Listing system, which is huge
Couple that money with the money that Geico can save you and you'll be golden...:yes:
That kind of depends. If there is a different selling agent and buying agent the two brokerages split the commission. So 3.5% to each side of the transaction. The agents cut of that depends on what kind of deal they have with their broker. Some get 40% of the split and some get all the way up to 60%. It really varies by brokerage.
So the agents you see in the paper with $20mil in sales for a year are doing alright it sounds like.
Most of the time it is 6% (not that that makes it a lot better:wink
. IMO most of the people that don't think it is a good value to pay a Realtor 6% haven't had a good experience with a Realtor. There is definitely a lot of people out there that just stick a sign in the yard, hold a few open houses and hope it sells. A good Realtor will earn the commission that they charge and you won't ever want to buy or sell a house without them. Those agents are part of the minority which is unfortunate for the public.
Yeah, real estate is a very lucrative career if you are good. Those agents that you see in the paper are the good ones that add value to the transaction and they don't ever have a problem charging 6% or even 7% because there clients won't buy or sell a home without them.
Still free for the Des Moines area - Here's my place if you or someone you know is looking - Ankeny - Cedar Rapids, Des Moines, Waterloo, Cedar Falls And Iowa City For Sale By Owner, Cedar Rapids Des Moines & Iowa City FSBO; IAHomesForSale.com
I'm a licensed Realtor in Minneapolis. There's a lot of ways to negotiate with me on my fee. Here's a couple ideas:
1.) I'll lower my fee drastically if you're going to use me to buy your next property...especially if it's bigger.
2.) I'll let my borrowers pay according to the level of service they require. If you want me spending money on marketing and holding open houses every weekend, I'm getting 7% or it's not worth my time. If you just want me to put it on MLS and let you handle the rest, I'll take significantly less.
3.) I'll let you pay a retainer to start and will charge a smaller commission if it closes (this reduces my risk of spending thousands on marketing and never collecting commission...I'll gamble on my time, but less likely to do so with my money).
Discount brokerages are what you would expect. You get what you pay for. Of course I'm biased, but using a Realtor now is a good idea. The market is complex and there is a lot of misinformation going around making all parties vulnerable to manipulation. In the grand scheme of things, I think it's worth it because good Realtors will more than make up for their commission at the end of the day.
Whatever you do, don't squeeze the buyer's realtor on their cut of the commission. If I'm representing a buyer, I've got my pick of houses to choose from and I'm not showing homes with discounted commission because...well...I don't have to. Most Realtors won't come out and say this, but trust me...we all think that way.
1.) I'll lower my fee drastically if you're going to use me to buy your next property...especially if it's bigger.
2.) I'll let my borrowers pay according to the level of service they require. If you want me spending money on marketing and holding open houses every weekend, I'm getting 7% or it's not worth my time. If you just want me to put it on MLS and let you handle the rest, I'll take significantly less.
3.) I'll let you pay a retainer to start and will charge a smaller commission if it closes (this reduces my risk of spending thousands on marketing and never collecting commission...I'll gamble on my time, but less likely to do so with my money).
Discount brokerages are what you would expect. You get what you pay for. Of course I'm biased, but using a Realtor now is a good idea. The market is complex and there is a lot of misinformation going around making all parties vulnerable to manipulation. In the grand scheme of things, I think it's worth it because good Realtors will more than make up for their commission at the end of the day.
Whatever you do, don't squeeze the buyer's realtor on their cut of the commission. If I'm representing a buyer, I've got my pick of houses to choose from and I'm not showing homes with discounted commission because...well...I don't have to. Most Realtors won't come out and say this, but trust me...we all think that way.
I worked out a deal with my agent a couple years back....if I used them to sell my old house & buy my new house, they returned 2% of the commission. (so the made 1% on the sale & 3% on the purchase of the new home).Also, make sure your agent follows up with the agents of everyone who visits your house to get their feedback....their input could help you make changes that help sell it quicker. Your agent is making good money off of you.....make them earn it!
Good information in this thread. I am having a really hard time getting traffic to my FSBO, and I think a big part of that is probably because Realtors aren't willing to bring buyers - not knowing if they will get commission or not. Just reduced the price another $5,000 and listed with a Realtor - and this thread was helpful in understanding commission.
