negotiating realtor commissions

[JVR1]

i'll be looking to sell my place and move into another (being build) hopefully early april.. just wondering if someone can help me set a fair commission guideline for the realtor (and my pocket)

i've heard it used to be 6% on the first 100G then 1% after

but with the market the way it is maybe 3-4% on the first 100G and then 1% after??

also, is this commission then split if the buyer has their own realtor?

on a side note, when i should be on the market? should i be getting my 'ss in gear or do i have a few more weeks?

[Mangina]

Realtor commission is 7%, and then 3%. The 2 realtors will then split that.

[HRD2PLZ]

Originally posted by Mangina
Realtor commission is 7%, and then 3%. The 2 realtors will then split that.

Most Realtors charge 7% on the first $100,000 and 3% on the balance of sale price. Out of this, the listing agent would keep 3.5% on the first $100,000 and 1.5% on the balance of sale price. The buyer's agent would then be offered 3.5% on the first $100,000 and 1.5% on the balance of sale price. Commissions are negotiable though. I am just not sure you will find a Realtor willing to work for 6% and 1%, either that, or they just won't work your listing very hard.

[redline]

You might be able to do a deal with the selling realitor but leave the buyer alone or they will not bring people to your house...

[Mangina]

Also keep in mind that you get what you pay for. A realtor that agrees to cut their comission is not going to work to sell you place. Imagine if I came to to your work and offered you half of your wage. How hard would you work for me?

[Weapon_R]

Yeah, try and negotiate the seller's realty fee and leave the buyer's alone. Most listings with low commissions or former FSBO flat rate commissions sit on the market for a while because buying realtors 'forget' to show your listing.

[D. Dub]

If a realtor cannot negotiate a fair market price for his/her services with you ---

how are they going to get you a fair market price for you property???

[Mangina]

Originally posted by D. Dub
If a realtor cannot negotiate a fair market price for his/her services with you ---

how are they going to get you a fair market price for you property???

So a realtor bending over and letting you knock him/her down on the commission is suddenly going to stand up for you to get the best price on your house? I'll have what your smoking.

[D. Dub]

Originally posted by Mangina


So a realtor bending over and letting you knock him/her down on the commission is suddenly going to stand up for you to get the best price on your house? I'll have what your smoking.

Ummmm dude................ that 's exactly what I was saying.....A good realtor sticks to his guns for a fair commision for his services.

[TrevorK]

Originally posted by D. Dub


Ummmm dude................ that 's exactly what I was saying.....A good realtor sticks to his guns for a fair commision for his services.

I think to expand a good realtor is able to convince you why the commission that he is asking is fair and reasonable. He should be able to sell you, on him.

If he can do that, then he can convince others that the house is fair and reasonable.

[JVR1]

appreciate all the input from everyone so far.. i know my initial 'guess'itmates were a little dumb but i wanted to see where the 'lowball' line was (and i think i went way past it ) ..

i've done a bit of research and can understand the fact that all that money doesn't go directly into the realtors pocket. From my perspective though, it's like they're salaries just doubled in a year with no extra effort.. in the end i guess that's real estate for you.

perhaps i'll try going for somewhere around 7% on the first $100,000 and 2% on the balance of sale price..

[B17a]

Originally posted by TrevorK


I think to expand a good realtor is able to convince you why the commission that he is asking is fair and reasonable. He should be able to sell you, on him.

If he can do that, then he can convince others that the house is fair and reasonable.

Agreed. However I've always found it odd that realtor commissions are essentially fixed. I mean, when you take a company public for hundreds of millions of dollars, the underwriters' fees are fully negotiable.....

[D. Dub]

Originally posted by TrevorK


I think to expand a good realtor is able to convince you why the commission that he is asking is fair and reasonable. He should be able to sell you, on him.

If he can do that, then he can convince others that the house is fair and reasonable.

Yup that sums it up

[autumnrain]

how much do u wanna save?
I am a realtor.. and i know there are alot of realtors on this site.
use beyond maybe you can get the discount lol
some realtors will do 6% of the first 100,000 and 3% of remaining balance...

[JVR1]

not to sound sarcastic but i was hoping it'd be more than just a thousand bucks (which works out to like 6%)