Quote:
Originally Posted by QuilterChick
Yes, some are "bare bones" listings, they put the listing in the MLS and you take all the calls, show your own property, etc. You will get representation according to NC law of course. Most have graduated fee schedules starting around $400 and go up from there.
Remember, if you sign up with a flat fee listing service and your listing is in MLS, you are still obligated to pay the cooperating (co-broke) agent who brings the buyer. If the listing agent happens to bring a buyer, he/she will most likely charge the other 3% as well. It is unlikely that your own agent will bring a buyer because they are a listing service, not a traditional service. At least 85% of listings are sold through the MLS system. You have only a slim chance to get a buyer on your own.
Do the math. Flat fee $___.00 plus 3% (approx.) commission to the co-broke = $___.00 or 5% or 6% whatever your full service agent's fee is.
The difference may not be worth it to you to get minimum service.
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Wrong. You the seller can negotiate the commissions paid. What is this "other 3%". Only if someone is gullible enough to go for it. There is no other 3% unless you agree and most of the time the only reason a seller pays that other 3% is because they went hook line and sinker for the default commission structure.
In the MLS listing you can specify the commission paid to the coop agent. It DOES NOT have to be 3%. Try flat fee plus 2% to co-broke. Think no one will show the house? Wrong. Maybe if you are trying to sell swamp in Florida but otherwise there are plenty who will show it and bring in potential buyers.
Asking a RE agent about commissions is like asking a car dealer about car prices.
I routinely look at houses that of all places come from craigslist. Laugh all you want but did you know more and more agents are placing ads for houses on craigslist? Buyers are looking there. Why? Simple and here is how it works:
Buyer engages a buyer agent. Buyer agents sets up buyer in agent's portal. Buyer looks at listings. Guess who controls that portal. Most of the time the buyer agent filters it. Not always but most of the time. Ask yourself, why?
Start looking around through other sources and suddenly you start seeing lots of listings that are active but you never see them. You also see exclusive listings and pocket listing that never hit the MLS.
I routinely check ads on craigslist, then a simple check tells me who the owner is along with all their contact information. I call the listing agent and tell them I want to look and make an appointment to see the house. I tell them right up front I am not represented nor do I want them to represent me, I want the door opened. Only a few times have I had them refuse. When that happened a quick call to the owner solved that little issue and all was well again.
As a seller, you have just as much luck at bringing in your own buyer than relying on REAs. More people find houses by driving around than relying solely on the REA.
That statistic about the percentage of homes sold via the MLS? What you aren't being told is that a buyer driving by your house and then contacting a buyer agent is included in that statistic. But what was the initial point of interest? That buyer driving the neighborhood, not some REA doing a lot of work.
Let me tell you a little secret I saw a seller do with a flat fee agent. They wanted to sell quickly so they made up a magnetic sign with a simple "3 bdrm, 3ba SFR and then the address and contact phone. They put the sign on a rental car door and parked the car on the same street as an open house for a similar property. They got flooded with calls. Nothing anyone can do to stop something like that.
The best ad you have though isn't an agent. It is the curb appeal of your house and the sign in front saying it is available. You can promote your own house for sale easily as effective as a REA and for far less money.
Those open houses? Not for the sellers benefit, they are for the REA's benefit because that is where they do their business. They actually use your house as their office. They won't ever tell you that though. They had out cards like the government prints money.
At most open houses I attend, it is rare that the buyers are accompanied by a REA. Most are buyers on their own. They ask questions and the REA hosting had better answer. If they don't report them to the seller and things change immediately.
As a seller, YOU are taking the risk, you are paying for things, it is your house to sell. Take charge and control and it can very well work out much better for you and at far less expense.
As a buyer, I love to see flat fee listings with a reduced or no commission situation. Why? Because I know that my offer is net to seller and they know it too. It isn't $500,000 - $30,000 in commissions. It is $500,000. Suddenly my offer looks so much better and we both win. I get a better price and you get more net in your pocket.
More and more, the typical sale transaction offer is a boilerplate form that takes a few minutes to complete. Most are easily read and understood and a few bucks to an attorney makes the unclear, clear. The rest of it is phone calls, not anyone driving to a fro talking and making arrangements.
If you think that somehow you are protected by a REA in a transaction remember this: The broker has a legal team (or attorney) and they are there for the broker's benefit, not yours. CYA always comes first. The the Agent is the second beneficiary of that legal protection. Last and least is you the seller or buyer. That legal team or attorney is not bound to represent you no matter what anyone says. You are last in line and don't forget it. For that reason, always get your own.
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