I DIDN'T discount my commission today! A major feat indeed.....

By
Real Estate Agent with Preview Properties

Today I was challenged to discount my commission. I recieved an e-mail from a seller, asking what I charge for a commission. She was looking for an agent who would take a low commission to come and sell her home today....

Here is the e-mail I sent her!

 

 
There are many discount brokerages that charge less than we do. I would suggest For Sale By Owner .com or help u sell in Everett. They put your home on the MLS and then you are responsible for open houses, qualifying buyers, showings, contractual paperwork, addendums, inspections, appraisals, and escrow issues. Keep in mind that typically the selling agent (the one who brings a buyer) gets 3%.. Offering less than that will keep agents away....(Why would they sell your home and be paid less that selling a similar home nearby?)...
 
Our broker's policy is to charge 6% (3 for each side of the transaction)..... However, I would be willing to "rebate" a percent back to you, the seller at closing.
 
Do you want a full service agent who will handle of the details and qualify buyers and get your home sold?  There is a huge difference between putting your home on the market and professionally selling your home to buyers.
 
Respectfully,
 
Jim

 

Comments (7)

Bob & Carolin Benjamin
Benjamin Realty LLC - Gold Canyon, AZ
East Phoenix Arizona Homes

Good for you -- if agents keep on discounting we will all end up going broke-- seriously , can you go to a doctors office and insist on a discount, or an accountant or well you get the idea.

Sep 09, 2009 06:24 PM
Hannah Williams
HomeStarr Realty - Philadelphia, PA
Expertise NE Philadelphia & Bucks 215-820-3376

Jim..I will  not discount my commission either,,If we do not know our own self worth than others will not either.Good for you!

HELPFULHANNAH

Sep 09, 2009 07:18 PM
Marcia Hawken
WILLIAM RAVEIS - Naples, FL
Naples Luxury Specialist

Jim, Once, I had a good friend tell me that he had spoken to an agent who was going to charge four per cent.  I just looked at him and said, well no, I charge 7% being a little cheeky.  He said, fine, seven it is.  You get what you ask for.Luckily, we do not negotiate the commission down at contract in Naples....or rarely, which is a real plus for us.  Good post.

Sep 09, 2009 10:39 PM
Janice MacMillan
ERA Joyner Realty - Valdosta, GA
Associate Broker

Jim ~ well said! Why would you discount your commission? It is more work finding buyers these days and when all is said and done in the end you probably should of raised it.

Sep 10, 2009 12:46 AM
Tom Boos
Sine & Monaghan Realtors, Real Living - Grosse Pointe Farms, MI
Providing the very best of service to Sellers and

I will not take a discounted commission arrangement.  There are pleanty of "discount brokers" who will.  If it's all about commission without regard to the level of service provided.

Sep 10, 2009 02:47 AM
Joe Pruett
Investment Real Estate, LLC - Pembroke Pines, FL

Hi Jim,

I also agree with you and used a very similar statement to yours with my prospect.  After I completed some preliminary rental and sales comparable work for him... his first question was "What is the lowest fee obtainable for selling?"  Not a very good way to begin a relationship.  So, if it happens for us, it happens and, if not, maybe I've saved myself a headache.

Good luck and good post.

Sep 29, 2009 07:48 PM
Tony and Suzanne Marriott, Associate Brokers
Serving the Greater Phoenix and Scottsdale Metropolitan Area - Scottsdale, AZ
Haven Express @ Keller Williams Arizona Realty

The time for the "discount" versus "traditional" commission has come and gone.  The new words I see from consumer posts all over the web are "reasonable" and "exorbitant". 

Sep 14, 2015 09:12 AM