Why are Real Estate Commissions so high?

Real Estate Broker/Owner with Assist-2-Sell Buyers and Sellers Advantage

I'm often asked how Real Estate commissions work? Sellers usually have some idea but often are unaware of how it breaks down and why so much. Let me offer my take on this. Commissions are negotiable and not set by law, however, in the markets I work in - Bucks, Lehigh, Northampton and Montgomery counties and Philadelphia, I think 6% of the sale price is not uncommon. So a home that sells for 300K may end up costing the seller $18,000 in commission, thats a lot of money.

When working with a Realtor a typical Listing contract will state the commission rate and MUST state how much, if any, of that money will be offered to a Buyer Broker. Often the Listing Broker will keep half or 3% ($9,000). Some of that money goes to the Listing Agent and the rest goes to the Brokerage, it may be a 50/50 split but it could be anything agreed to by the Broker and Agent. The other 3% ($9,000) would go to the Agent that brings a Buyer and that fee is split with her broker.

With my company, Assist 2 Sell Buyers and Sellers Advantage, there are 3 ways that a consumer can save potentially thousands in commission, and still receive the Full Service you expect from a Real Estate Company.


1. Under my DIRECT TO MARKET program, the fee for my services to market your home and represent your interest is only $2,995, due at closing, with NO upfront or non-refundable fees. Using the above example, this would save a home owner over $15,000!

2. Under my MLS FOR LESS program, we would offer the 3% fee to any Agent that brought the Buyer to us, but my fee would still be $2,995, saving a home owner over $6,000!

3. Under my MLS FOR LESS program, we would offer the additional 3% to any other agent, but if Assist 2 Sell Buyers and Sellers Advantage finds the Buyer, that 3% Buyer Agent commission goes away and you would only owe $2,995, providing both the benefit of the MLS and still saving you over $15,000 in commissions!

The purpose of my company is to provide the Full Service people expect while saving THOUSANDS in commission. 

Please contact me at (215) 804-7140 or danfalco@assist2sell.com if you are interested in selling or buying a home in Bucks, Lehigh, Northampton and Montgomery counties and Philadelphia.

Or visit my website www.ServiceAndSavings.com


Savings based on comparison of paying 6% commission. Commissions may be negotiable and are not set by law.

Comments (0)