Howard County Real Estate Agent commissions (foreclosures, mortgage, loan)

[dukesmom]

What is the going rate for Howard County Real Estate Agent commissions? Can you negotiate the rate?

[Gabrielle]

Rates are always negotiable. When we sold our house in Howard County two years ago the agent asked for 6%, and we countered with 5%. She accepted.

[dukesmom]

Thanks, Gabrielle. I think the market was hotter two years ago, I wonder if 4% would be unreasonable with the way things are today. Does anyone have an opinion on that rate?

[North Beach Person]

Usually agents will work harder with a higher rate. In this market the selling job is much tougher.

[Marilyn Emery]

Commission are not set and are always negotiable. Some agents will negotiate more readily than others. You want to be careful though, like with anything else you get what you pay for. You would be asking the agent to take a 34% discount on their earnings. Your agent will have expenses for marketing, broker split etc. Depending on the price of the house the agent may be making little or no money. The commission is also split with the buyers agent and they may be less likely to show the property to prospective buyers because they will be making less.

[Amanda9905]

The typical rate for a buyer's agent is 3%. If you get your selling agent down to 4%, then that's a huge cut to 1% if he's going to keep the buyer's percentage at that 3%. You want that buyer's rate at minimum of 3% because if it's lower than the norm, agents may be less likely to show it.

[dukesmom]

Thanks for your responses. I've done more research since first posting and found that good real estate agents work hard to sell a house. Along with all your imput I do believe to old adage "you get what you pay for" is true. But... how do you know if you've found a good agent? Most people I ask who have sold their homes the last few years have complained about their agents. I haven't gotten a good recommendation yet. The complaints I hear are - not enough open houses, brochures don't look professional, staging the house, last minute viewings, doors and windows left unlocked after viewings, etc. I don't even know how important all that is to selling a house. Does it all come down to price????? Thanks for your input.

[trying2moveup]

This is my very humble opinion -

You need an agent that is going to be there 24/7 for you via phone, text, and email. Why? Because those that are have many clients but make YOU feel that you are the only one because they are ALWAYS available to answer questions, provide advice and comfort that yes, you will need because selling and buying houses inevitably becomes an emotional experience. These agents work primarily off of referrals from others that had very satisfying experiences with them - and these agents want MORE referrals from people like those and, eventually you as a satisfied customer - and they will bust butt to get them. If you have not had someone tell you about an agent they felt they could always contact and get prompt helpful responses from, then you have not found that diamond out there (and they are out there).

Secondly, the MAIN THING that is going to sell you house is. . . . .the price that you originally list it at. Either it is in pristine condition compared to the comps (SOLD comps, not list unless you are very hard up in your area to get any sold comps) and foreclosures are taken into account (because appraisers will definitely take those foreclosure prices into account after the house in under contract and being appraised for the buyer's loan) AND it is priced a % less than the lowest comp OR. . . .

it has a lot of deferred maintence and is priced well below market value accordingly.

Either way - you are going to attract a owner occupant and more than likely many, that is going to create a bidding war and drive your price up (and yes, that does happen in this market) OR you are going to get plenty of investors interested in taking it off your hands quick.


Being realistic on the price with the primary goal of getting it under contract and sold quickly, along with clear photos accompanying an MLS listing should be all you need.

OPen houses to me benefit agents with making more contacts rather than getting someone in to see your house - if it's on the MLS and someone wants to see it (importance of clear photos highlighting key things like bathrooms, the kitchen, the exterior front, and the exterior back), they will set an appt with their agent to see it - NOT wait for an open house. It is also a way for people to steal your stuff.

Fancy flyers, if the agent wants to front out the $ for that, fine, but again, the MLS listing is key to getting the people in the door and that means clear photos. . .. with a fantastically fair price given the condition. . . AND not shortchanging on a commission.

These great agents do not work for free and they work hard. THey deserve good % in any market, especially the crappy ones like this where deals fall apart all the time because banks change lending regulations and suddenly people don't qualify for a mortgage they could have gotten the day before. Remember the agent has to front all of the advertising expenses and other things and does NOT get paid if there is not a deal that goes to settlement - then, as someone mentioned above - they have to split with the brokerage and the buyer's agent. Then pay taxes and I think agents are considered self-employed so thats fed/state taxes PLUS medicare and social security taxes on top of that. So don't think they are walking away with wads of cash because most likely they are not unless they are selling a multimillion dollar home and after all the above is taken out, they are left with a hefty chunk of change in the 5 or 6 digit column.

[Gabrielle]

I agree with a lot of things that tryingtomoveup said. Our agent was extremely realistic about the recommended selling price of our townhouse based on comps, and our house sold in two weeks. Granted that was two years ago and the market was just starting to tank. Another thing that our agent said was that regular open houses don't really sell houses, they are basically an excuse for your neighbors to come in and see your place. Instead, our agent held an open house for other agents to come in and see our place so they could recommend it to their clients.

[AlicynD]

Trying2MoveUp really said it well.

In this market you need a good agent, a home that is priced well, and a an expansive MARKETING plan. That includes a sign, staging, a professional virtual tour and professional photos, brochures, internet and print exposure, and ways to track those Buyers who come to those marketing pieces and follow up with them; not every agent has those systems in place.