[OmegaSupreme]

Originally Posted by hotjambalaya

I can't believe people put up with 6% commission to be honest.

1.5% in London and I'll even haggle that down, and agents in Vegas do even less then ones here. They seem to think they deserve 3% when all they do is take 5 terrible photos and stick a lockbox on a door, at least the buyers agent is compiling lists and driving the buyer around.

If there's anyway to list it yourself Id be all over it

Do a fsbo or get a license and list it yourself

[skugelstadt]

Originally Posted by hotjambalaya

I can't believe people put up with 6% commission to be honest.

1.5% in London and I'll even haggle that down, and agents in Vegas do even less then ones here. They seem to think they deserve 3% when all they do is take 5 terrible photos and stick a lockbox on a door, at least the buyers agent is compiling lists and driving the buyer around.

If there's anyway to list it yourself Id be all over it

They also market your house, negotiate on your behalf, facilitate legal documents, keep the process moving along with the varies parties involved, hold open houses, evaluate potential buyers (my agent weeded out weak buyers) you are using their experience/expertise and guide you through the whole process. If not done correctly you can drag the whole process on for months, you still have to pay taxes, insurance, house payments etc. It's kinda like representing yourself in court. I'd rather have a good lawyer (unless it's a very minor legal matter).

[ScoopLV]

Originally Posted by LVAllen

Nope. Buyer pays, every time. It may not show up on the closing statement that way, but it's reflected in the price, which is fluid and set at the seller's discretion. Thus a house that might have been listed for $250k will be listed by an agent at $275k, and ultimately sell for $265k.

And this is why hearing buyer's agents crow, "My services are FREE to you," makes me cringe.

If average people knew just how badly they are being [intercoursed] on typical real estate deals*, they would get their own license and do it themselves. Most buyers put up with this because they're afraid of making large purchases. And they're content to remain ignorant.


* Of course atypical deals exist. And so do atypical agents.

[beachhead]

I've done it both ways. When I use an agent, I know that I'm essentially paying for "one stop" convenience. I'm getting the marketing, and (potential) buyer hassles out of the way. I'm also gaining access to a much larger marketing pool than I can fsbo. This comes at a cost, sometimes it's been worth the cost, other times in my life it hasn't been needed.

If every transaction was an "easy" one, we wouldn't need real estate agents. Add a couple complications, and they are definitely earning their money. And if you get a professional one, not just a "listing collector", they really earn their keep.

[LuisSuarez]

Originally Posted by hotjambalaya

I can't believe people put up with 6% commission to be honest.

1.5% in London and I'll even haggle that down, and agents in Vegas do even less then ones here. They seem to think they deserve 3% when all they do is take 5 terrible photos and stick a lockbox on a door, at least the buyers agent is compiling lists and driving the buyer around.

If there's anyway to list it yourself Id be all over it

In the UK all the estate agent does is print flyer, run newspaper ad and stick photo in the agents window.

[ScoopLV]

Originally Posted by beachhead

I'm also gaining access to a much larger marketing pool than I can fsbo.

If you set your price properly, it will sell anyway. You only need one buyer, after all.

[beachhead]

Originally Posted by ScoopLV

If you set your price properly, it will sell anyway. You only need one buyer, after all.

Oh, I agree proper initial pricing is the most important part of any sale. The key is finding that one buyer, and letting them know the property is available. That is what I pay for when I choose to use an agent. When I'm ready to sell something, I want it gone, asap. Sometimes I want to cast my net wider, because I don't know where that one buyer is.

[ScoopLV]

While reaching a broader audience is nice, having an extra 6% wiggle room is nicer, in my opinion.

[jackmichigan]

When an owner lists a house for sale, the Listing Agreement, which sets the commission, is between the Listing Broker and the homeowner. To facilitate a sale, the Listing Broker may agree to share the commission with a Buyer's Agent (which is standard if it's listed on an MLS). So, technically, the Listing Broker is paying the Buyer's Agents commission--although, effectively, it's coming out of the Seller's pocket. That's why a lot of homeowners try to sell FSBO--because the Seller is the one paying the commission and they feel they can save that amount by handling the sale themselves (but, hopefully, with the help of a real estate attorney for legal advice and to handle the closing).

Just remember that the amount of the commission is negotiable. If they refuse to negotiate, shop around.

Originally Posted by LVAllen

Nope. Buyer pays, every time. It may not show up on the closing statement that way, but it's reflected in the price, which is fluid and set at the seller's discretion. Thus a house that might have been listed for $250k will be listed by an agent at $275k, and ultimately sell for $265k.

Absolutely not. A selling price is based solely upon what a Buyer is willing and able to pay. Period.

[OmegaSupreme]

Originally Posted by jackmichigan

Absolutely not. A selling price is based solely upon what a Buyer is willing and able to pay. Period.

You're missing the point, all they said was the buyer ultimately pays the commission

This is true now more than ever, it is entirely a seller's market