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.
But what do you give up when the seller's agent is getting less than 3%? is that person simply listing the house in MLS and other websites and that is it, or the seller's agent is doing more?
If you get your agent to help you buy your next home, they usually will waive the 3% commission on selling your current home. Thus, the 6% becomes 3% because they get their commission from the purchase of your new home.
I wonder how 1% reality compares? 1% for a sellers agent sounds too good, no?
No, that seems about right. We looked into 1% Realty, but ended up going with Resident Realty ($995 seller commission.) I believe the sellers agent role takes less time -- so they afford can charge less. These discount companies will probably not do an open house, and Resident Realty doesn't do fliers -- it uses recorded messages about the house and a 1-800 number on the sign. The do provide MLS and full service closings.
They both charge more for the buyer's agent role, as that requires much more time (driving around, gas money, car wear, etc). 1% on the buyers end "rebates" you 1% (so their commission is 2%). Resident charges the normal 3% for buyer's agent.
In my case I was working with an experienced (20years) listing agent. All he did was put a sign in front of my house took a few minutes to list my house on the MLS with a picture and did less then a hours work on the closing. He made $2500. Unfortunately the market was not smoking at the time, therefore I had to go with the 3% buyers agent fee in order to get realtor's to show my house. It was on the market for less then a month. This was a fair transaction for everyone in the current market conditions at the time.
When I interviewed Remax, Prudential etc. they would not budge more then .5% off the total commission. They told me how they were going to market my house in the paper, real estate magazines,etc, but all I was interested was a MLS listing. I could not justify paying a listing agent a $8300.00 straight up listing fee on a house that was less then 300K in an active market.
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.