(Closed) Realtor's commission

posted 6 years ago in Home
  • poll: What commission would you choose?
    5% : (9 votes)
    45 %
    5.5% : (2 votes)
    10 %
    6.0% : (8 votes)
    40 %
    Other : (1 votes)
    5 %
  • Post # 3
    Member
    583 posts
    Busy bee

    I did 5% because when we were looking for houses, we did most of the searching ourselves, and we fell in love with the house.  The real estate agent had nothing to do with us loving the house we bought.  I don’t really know much about the whole industry, but I don’t think the commission dictates how they show houses to clients.

    Post # 4
    Member
    600 posts
    Busy bee
    • Wedding: May 2012

    I don’t know how big of a deal it is 5% vrs 6% but I do know that realtors do not usualy get to keep the full amount since their agency usually takes a chunk off the top.

    I would list at 5% if we were to sell our house today, but only because it’s a super nice house and the pictures will do most of the work.

    Post # 5
    Member
    13099 posts
    Honey Beekeeper
    • Wedding: July 2010

    I’d do 5%.  Why spend more than you have to?

    Post # 6
    Member
    2697 posts
    Sugar bee
    • Wedding: June 2012

    @78h2o:  Just FYI, the terms of the commission are COMPLETELY NEGOTIABLE. As in 100%, not “anywhere between 5 and 6 percent” negotiable, but fully negotiable. Saying anything like there is a “going rate” is kinda… illegal. That said, the realtor can walk if they don’t like the offer, but it sounds like this guy will stay.

    I want to break down how commission (generally!) works for a second.

    Say its 6% of 200k =12,000. Half of that goes to the buying side, half goes to the selling side. So your agent’s broker gets that $6000. Half of that goes to the agent, so he would get $3000 (or 2500 if you do 5%) minus whatever other fees his company takes–typically about $200.

    I generally want a 7% commission. I’ll walk away from a home that wants to list under 6%. Its so not worth it, especially given the cheap housing market where I live.

    (Most of the work a realtor does is not in putting up pretty pictures of a listing or making sure people find the perfect house. Most of the work is the contracts. Sorry, reading things like that drives me batty.)

    I’d like to say that buyer’s agents (generally) aren’t going to avoid showing a house due to the commission.

     

    Post # 7
    Member
    7904 posts
    Bumble Beekeeper
    • Wedding: March 2012 - Pelican Grand Beach Resort

    You could make a deal with him and tell him 6% if it sells within a certain time window and 5% or 5.5 after that. Either way, those aren’t bad rates. I’ve seen realtors get more.

    Post # 8
    Member
    11752 posts
    Sugar Beekeeper
    • Wedding: November 1999

    I’d go 6% in this market. It’s fairly standard.

    The topic ‘Realtor's commission’ is closed to new replies.

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