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I did think the OP had a legitimate question as to what kind of commission to pay based on where the buyer came from. Also I was warm to the idea he was willing to pay for the expensive print advertising. I just didn't agree on if she found the buyer on the lesser commission rate. At just this moment, I am rethinking, he's putting money out of his pocket, she could share in that chance by taking less than a whole commission.
See, changed my mind. Might tomorrow too.
I also agree print advertising is just about dead! It just turned off big time a few months ago in proven markets. However, there are still a few print areas that do work but it's specific for type, location and where the general buyers are coming from for that area. I'll place print once in awhile in targeted areas. Doing it now. NOTHING.
I'd say 95% of my buyers come from my own personal website, the rest are walk in's, local flyers that travelers pick up and referrals. Print? MAYBE 1% if that.
My point was don't waste the money on advertising yourself. It's unlikely to sell, you'll be out the advertising money, and you'll still end up listing and paying a commission on top of the time lost(and monthly payments) and ad expenses.
My point was don't waste the money on advertising yourself. It's unlikely to sell, you'll be out the advertising money, and you'll still end up listing and paying a commission on top of the time lost(and monthly payments) and ad expenses.
Oh yeah! Way agreed.
But we do try don't we? If we're smart we'll save money from learning from those "us" that have been there and done it.
We have gone a long way down this road.
There have been a lot of great posts.
However, I don't recall reading the motivation of the seller.
Is there an urgent need to sell?
Is there a job elsewhere?
Are mortgage payments a factor?
Advertising costs vs mortgage payments and opportunity costs
are important considerations.
OP, what is the scenario?
hmm. Are you really a FSBO if a Realtor is involved, even in the background? Are you putting your number or her's as the contact?
Other than that, I'm assuming you are giving her an exclusive broker listing. You're authorizing her to advertise if she wishes and co-broke with other Realtors she tells about the listing.
I would do it, have no problem with the breakdown of the commissions. I don't see the point though...your home hasn't sold at the price it's listed at and if you are going to leave it the same price, what would change? But, hey. The way I see it, it's your house, do with it what you want!
I work in advertising for a real estate company in mass (we advertise in the globe).
you do realize that a typical line ad in JUST the sunday globe real estate section (with a little picture of the house) will cost you approximately $150.00 for the one day. If you're thinking about running a display ad in the globe (say quarter page), the price will be approximately $2,000 (again for one day).
If you signed any agreement (open listing agreement with a non mls addendum) with the agent your ad must include the realtor's information (at minimum realtor's phone number and real estate office name). Running ads with the big boys is going to cost you.
Even the real estate book is also expensive ($150-$475 depending upon size).
If she is a Realtor, she is required by her contract with NAR to list it. As I recall my contract with the local Boards that I belong to, I have one business day to get it entered on MLS once I have a listing agreement. Besides, you want anyone to show it, not just her.
A couple of questions. First, is your local realtor a member of the big city board? If so, then you are getting decent MLS coverage for your community. If not, ask her to co-list with a city board member.
Second, if you provide the money for advertising, do you have a budget? does the Realtor have input? I can spend hundreds on advertising and spin my wheels. Or I can get a Realtor that knows where to get the biggest bang for the marketing buck.
Price dictates sales doesn't matter if the Realtors think your house is priced right. The declining market is hitting the entire country simply because there is a lack of available financing. to overcome the lack of financing you may have to take less, and it could easily be that you are in a market that is going to continue to decline. If you must sell, you may have to take a drastic cut in order to avoid long term payments.
We have gone a long way down this road.
There have been a lot of great posts.
However, I don't recall reading the motivation of the seller.
Is there an urgent need to sell?
Is there a job elsewhere?
Are mortgage payments a factor?
Advertising costs vs mortgage payments and opportunity costs
are important considerations.
OP, what is the scenario?
I would suppose he figures enough time has passed and he doesn't want it to appear his house has been on the market for a long time. Didn't see any great motivation other than a new angle.
I see posts where people think 3 months OMG! It hasn't shown or sold. That is a new idea to me. I'm always surprised, it could be 1 day or 2 years. I"m used to it.
Why couldn't you do this....take it off the market completely. Don't sign with anyone. Then print up a flyer, take it to every local realtor you can find and offer 6% for a closed sale. Let the realtors all know about it and compete. If someone really wants that commission, they will dig up a buyer. In the ads you place in the big papers etc, put something in there about special commission spiff to buyers agent, call for details.
Whenever you get a showing, you sign a special contract only good for that showing.
If you have a tax person, you may want to see if expenses for selling the house can be written off in some way.
If she is a Realtor, she is required by her contract with NAR to list it. As I recall my contract with the local Boards that I belong to, I have one business day to get it entered on MLS once I have a listing agreement. Besides, you want anyone to show it, not just her.
A couple of questions. First, is your local realtor a member of the big city board? If so, then you are getting decent MLS coverage for your community. If not, ask her to co-list with a city board member.
Second, if you provide the money for advertising, do you have a budget? does the Realtor have input? I can spend hundreds on advertising and spin my wheels. Or I can get a Realtor that knows where to get the biggest bang for the marketing buck.
Price dictates sales doesn't matter if the Realtors think your house is priced right. The declining market is hitting the entire country simply because there is a lack of available financing. to overcome the lack of financing you may have to take less, and it could easily be that you are in a market that is going to continue to decline. If you must sell, you may have to take a drastic cut in order to avoid long term payments.
In massachusetts a seller can opt to sign a non-mls agreement which then gets faxed into our mls to show that yes the agent/office has a new listing but the seller has opted to not put the listing on mls. agents have 24 hours to get this over to mls after it's been signed.
to the person who wrote about offering 6% and handing out flyiers to all the local real estate offices. yes 6% is great and yes agents will work to bring buyers to that property but ultimately an agent can't force a buyer to buy the house just because the agent will get 6% commission.
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