U.S. CitiesCity-Data Forum Index
Covid-19 Information Page
Go Back   City-Data Forum > U.S. Forums > California > Los Angeles
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
 
Old 06-05-2012, 09:18 PM
 
2,064 posts, read 3,845,788 times
Reputation: 1459

Advertisements

I am getting ready to put my house on the market. I live in Redondo Beach in a pretty desirable area without a lot of inventory (west of PCH, 2 blocks from the beach).

The listing price will likely be just shy of $1m.

I know that traditionally in my area, the commissions are 5% (2.5% to the buyer agent / 2.5% to the seller agent).

A few years ago when the market was strong, I remember some companies like Catalist that were setting commissions at 3% (1.5% each) and that may have been pushing it.

I am wondering if it'd be ok to reduce my commission from 5% to 4% so it would be a 2% / 2% split.

Are there still some people lowering commissions or is this really just something that is not done in today's market? I personally don't feel that the .5% will make a big different to a buyer's agent since there isn't much inventory and the purchase price will be pretty high.

If the buyer and I are at an impasse, I will not expect the agents to step in and pay for the difference out of their commissions.

Any thoughts?

RVD
Reply With Quote Quick reply to this message

 
Old 06-06-2012, 03:45 AM
jw2
 
2,028 posts, read 2,751,908 times
Reputation: 3370
I do not know the full impact of your strategy but I will say these days, more and more buyers are finding their own properties online and asking their agent to arrange a showing. It seems the days of agents only showing properties with higher commissions, if they ever existed, are numbered.
Reply With Quote Quick reply to this message
 
Old 06-06-2012, 09:26 AM
 
2,064 posts, read 3,845,788 times
Reputation: 1459
I posed the question to one of my friends who is an agent. I haven't heard back yet but I think he'll give me an honest answer as a friend. But then again, he is an agent so he obviously has an interest in keeping commissions high.

Back when I sold my last house in 2004, I went with 4% but as we all know, it was a different market back then. Work for a selling agent consisted of getting the listing, hosting a broker's open house on thursday, hosting an open house on saturday and sunday, reviewing the multiple offers on monday, asking the top 3 bidders to bid again, and closing the deal by wednesday. 1 week of work was pretty much all it took back then.

It's a little different now...
Reply With Quote Quick reply to this message
 
Old 06-07-2012, 10:23 PM
 
62 posts, read 126,621 times
Reputation: 56
In my experience trying it, they'll give you some schpeal about "Do you want me to work 20% less hard to sell your house?" and will guilt you into 5%.
Reply With Quote Quick reply to this message
 
Old 06-08-2012, 06:43 AM
 
Location: So Ca
17,604 posts, read 16,394,053 times
Reputation: 15391
Cough up the 5% (and be glad that you weren't selling during the days when it was 7%). It doesn't matter that you live in Redondo Beach; right now it's a buyers market and you want to sell your house. Right?
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:


Options
X
Data:
Loading data...
Based on 2000-2016 data
Loading data...

123
Hide US histogram

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > U.S. Forums > California > Los Angeles
Similar Threads
View detailed profiles of:
Follow City-Data.com founder on our Forum or

All times are GMT -6. The time now is 10:03 PM.

© 2005-2020, Advameg, Inc. · Please obey Forum Rules · Terms of Use and Privacy Policy · Bug Bounty

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35 - Top