Will You Cut Your Commission?

How many real estate agents have been asked that question....will you cut your commission?  When you go to a grocery store do you ask them to lower the price of your favorite cereal?  Or better yet, do you shop for the cheapest architect or the cheapest dentist?  Would you want the cheapest one or would you want someone who knew what they were doing?  I would hope to think that the old saying still holds true, "You get what you pay for." 

6%!  What sellers don't realize is that 6% gets split up four ways!  The listing agent splits with their broker and the buying agent splits with their broker!  This doesn't even take into consideration the other person who takes thier portion from those 4 sides....Uncle Sam!

What people do not understand is that we don't get paid on a commission basis, we get paid on a contingent basis.  You see, we do what we do for free and hope that all goes well so we DO get paid!  We actually put our own money out for advertising, flyers, gas, assistants, etc., and we ask for nothing up front!

What else is misunderstood is the amount of work that goes into a transaction.  People think that we just take some pictures, put up a sign in the yard and wait to get paid!  I wish that were the case! Many sellers believe that and list their house themselves! I make it a point to show my clients the folder that usually is 2-3 inches thick with paperwork by the time that we are finished with the transaction. I let my clients know that there were as many as 43 different people involved in their transaction from the buyer agent and their clients, the title company, the appraiser, the lender, the home inspector, the attorneys, the pest inspectors and more.  That there were hundreds of e-mails, phone calls and faxes made! And that there were hundreds of initials and signatures in the file!  A mistake anywhere in the middle could cost my client thousands of dollars!  I let them know that I get paid not for selling a house but for my consulting, negotiating, and overseeing of all the transactional details. I don't think that a For Sale By Owner (FSBO) realizes all the responsibility that rests upon their shoulders that we relieve them of. 

So, when someone works with an Executive Properties agent, the answer is, "no."  That is because we believe that we can consult a potential client to find out about what is important to them about buying or selling and then base everything we do around that answer.  We believe that when it is time to buy or sell the agent must be representing thier clients interests and not their own.  We also believe that because we work by referral that we must have the integrity with our clients or we will have no future business.  We know that when it comes to our clients money we do treat it like it's our own.

I hope that this sheds some light on the situation and sellers realize that we get paid when and only when they have received what they desired....a SOLD sign in the front yard!