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Another Real Estate Question
- Thread starter dawgball
- Start date
You pay for fees one at a time as you want them
It is important to get your house listed in the MLS system (where buyers find your home)
this type of service allows you to get that benefit without paying 6% commission
Drawback you don't get any of the other service unless you buy them ala cart like
Marketing
Signage
Agent handling all apts for showing and inquiries
At salestime someone handling all the details, title co, appraisers, termite letter, lender info, closing document etc...
There are good points and bad points depending on how much time you want to personally put into it - and if you buy alot of their services it "may" add up to what your percentage would have been (standard is about 6%) paid to realtor/s at closing.
Another note: If you are selling your house and buying another and let one company/realtor handle both you can often get them to cut their commission % - because they are getting 2 deals instead of one.
Hope that helps!
It is important to get your house listed in the MLS system (where buyers find your home)
this type of service allows you to get that benefit without paying 6% commission
Drawback you don't get any of the other service unless you buy them ala cart like
Marketing
Signage
Agent handling all apts for showing and inquiries
At salestime someone handling all the details, title co, appraisers, termite letter, lender info, closing document etc...
There are good points and bad points depending on how much time you want to personally put into it - and if you buy alot of their services it "may" add up to what your percentage would have been (standard is about 6%) paid to realtor/s at closing.
Another note: If you are selling your house and buying another and let one company/realtor handle both you can often get them to cut their commission % - because they are getting 2 deals instead of one.
Hope that helps!
...dawg, drop me a line.... I've got a good real estate agent for you if you're looking for one.... 
Damn, I would hate to think that you might screw up and call that worthless ex of mine....
Damn, I would hate to think that you might screw up and call that worthless ex of mine....
- Feb 12, 2000
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Thanks.
taoist--we ahve a realtor in Nashville already. A friend of my wife's family. We are coming up there next weekend for appointments.
Nicki--This company does the marketing, gives signage, and does the closing process for us (closing process if the house sales costs another 1/3% of sale). We will also have to pay the buying agent the standard 3% if the buyer has one. I figured up the costs to go full commission or this route. Full commission would be a little over $10G while this route with paying a buying agent (this would be max cost) is around $5500.
This seems to be legit. You get on MLS and FMLS. You are also listed on realtor.com as well as some other sites (none are as good as realtor.com, though). The part I liked the most is that they will do all of the closing paperwork to make sure everything is done properly (liability taken from me) for about $500.
I have an appointment with the guy Monday. I am pretty sure I am going this route if I don't sell the place this weekend!
taoist--we ahve a realtor in Nashville already. A friend of my wife's family. We are coming up there next weekend for appointments.
Nicki--This company does the marketing, gives signage, and does the closing process for us (closing process if the house sales costs another 1/3% of sale). We will also have to pay the buying agent the standard 3% if the buyer has one. I figured up the costs to go full commission or this route. Full commission would be a little over $10G while this route with paying a buying agent (this would be max cost) is around $5500.
This seems to be legit. You get on MLS and FMLS. You are also listed on realtor.com as well as some other sites (none are as good as realtor.com, though). The part I liked the most is that they will do all of the closing paperwork to make sure everything is done properly (liability taken from me) for about $500.
I have an appointment with the guy Monday. I am pretty sure I am going this route if I don't sell the place this weekend!
Dawg-I've been a RE broker for 16+ yrs and my advice is this. If your paying 6% to sell your home your proably paying too much in todays fast moving RE market. If the Buyers agent works in the same area as your selling in, make him/her a deal that you'll give them your listing @ 5%, if you sell it directly yourself to a third party then the fee will be adjusted to 4% and on the buying end see if the agent can get the same compensensation that is offered to a co-broke as a buyer agent fee that way it costs you 0 on the buying end, if it doesn't work that way down there, then roll the agents fee into mortgage like you would closing costs(smart way to do it w/the % rates so low)
If Buyer agent is doesn't sell in area where you live now, then interview 3 brokers, not necessarily for the price, but mainly for commission structure. Have a clause in the listing contract that calls for a commission reduction if the agent sells it directly.
I WOULD NOT USE A DISCOUNT BROKER, REMEMBER YOU GET WHAT YOU PAY FOR.
GL
If Buyer agent is doesn't sell in area where you live now, then interview 3 brokers, not necessarily for the price, but mainly for commission structure. Have a clause in the listing contract that calls for a commission reduction if the agent sells it directly.
I WOULD NOT USE A DISCOUNT BROKER, REMEMBER YOU GET WHAT YOU PAY FOR.
GL
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Thanks, skulldog. The only problem is that I am selling in Atlanta and buying in Nashville. Would that structure work in that situation?
With all due respect, I think the discount brokers have matured over the last few years. I think full service brokers are in trouble. It's very similar to the stock brokers and travel agents. The top 20-30% of the industry will not have any problems because they probably have value to offer. The problem is that the rest of the group is trying to collect the 6% and they are no better than a discount broker.
I think (with no real proof) that the industry is going to be turned upside down. It just doesn't make sense the way it has been for so long. Like I said, if a realtor is good at what they do, I don't think they will have anything to worry about. Just a little extra competition, but they will survive.
My big problem with brokers is the 3% listing fee. I have no problem paying 3% for someone to find me a buyer because they are actually performing a tangible service. I also don't mind paying a flat, reasonable rate to list my house. The 3% listing fee is robbery, though. My feeling is that most full price brokers are more concerned about getting listings because it is an automatic 3% in their pocket. Why waste time with courting potential buyer with a possbility of making an extra 3% when you could be focusing your efforts on obtaining more listings and getting an almost guaranteed 3%? Just seems a little off to me.
I have decided to go this route. I will keep you posted. If I get burnt by it, I will definitely let everyone know not to go this route, and I will probably change my mind about full price realtors.
With all due respect, I think the discount brokers have matured over the last few years. I think full service brokers are in trouble. It's very similar to the stock brokers and travel agents. The top 20-30% of the industry will not have any problems because they probably have value to offer. The problem is that the rest of the group is trying to collect the 6% and they are no better than a discount broker.
I think (with no real proof) that the industry is going to be turned upside down. It just doesn't make sense the way it has been for so long. Like I said, if a realtor is good at what they do, I don't think they will have anything to worry about. Just a little extra competition, but they will survive.
My big problem with brokers is the 3% listing fee. I have no problem paying 3% for someone to find me a buyer because they are actually performing a tangible service. I also don't mind paying a flat, reasonable rate to list my house. The 3% listing fee is robbery, though. My feeling is that most full price brokers are more concerned about getting listings because it is an automatic 3% in their pocket. Why waste time with courting potential buyer with a possbility of making an extra 3% when you could be focusing your efforts on obtaining more listings and getting an almost guaranteed 3%? Just seems a little off to me.
I have decided to go this route. I will keep you posted. If I get burnt by it, I will definitely let everyone know not to go this route, and I will probably change my mind about full price realtors.
been doing this for over 20 years.some people will worry so much about the commision but 1 month after having listing they will lower house price by 10k.do you ask your lawyer or doctor to cut his fee.i will do 5 percent if i am involved in other side with selling you a home.the listing side can often be the hardest way to earn money.for every sale that goes smoothly and quickly you may have 3 that take 6 months or more of marketing or that may fall through because of home inspection.i marketed a home last year at 499,000 for 10 months and did 12 open houses myself on it.could not get the price reduction that i needed and the 2 offers that came in were both 435,000.well they changed companies and lowered the price and sold it for 440,000.i got screwed.i recently sold a listing that a discount broker had.my folks game me the ok to go to 170k to buy home for them.well i negotiated a deal at 160k because other broker had little financial interest in getting hirer price since his fee was a set fee.lastly why would you want someone working for you and helping you get a high price for your property if they can not sell you on their getting paid what they deserve.you might want to work a deal that if home sells in 30 days or less it will be 5 but if it takes 30-120 it will be 5.25 or 5.5.i would do 4 month listing agreement and ask for 2 open houses per month.you might want to pay for home insection up front and sell as is.good luck
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Thanks, lowell. Once again, if you are in the top 10-20% of the industry I think that you deserve the money, but please don't compare yourself to a doctor or lawyer. There really isn't a comparison of education and time preparing the skills, so it isn't a fair comparison. Not that realtors are the only ones that don't compare. My field doesn't either.
I don't understand your idea about increasing the percentage as time goes on. I would be willing to pay someone more for selling it quicker (and for the right price).
With the program that I signed up for, my realtor is basically only there to do the paperwork and list us on FMLS, MLS, and realtor.com, etc. I do all the meetings and negotiations. I work from home, so this works out better for me than it would most.
lowell--I don't mean any of my comments as a shot. I just have a bad taste in my mouth about the industry. One of my biggest problems is that you charge a percentage instead of a set fee. It shouldn't take anymore effort to sell something worth $165K for $165K than it is to sell something at $450K that is worth $450K. If a buyer is in that realm, they are in the realm. The realtor has nothing to do with that. I think the real estate business will be turned upside-down in the next 5-10 years. The internet is just starting to learn to compete, and I think this will wreak havoc on most of the industry. Just an opinion, though. I think if a realtor does work hard for thier cilents, then they have nothing to worry about.
I don't understand your idea about increasing the percentage as time goes on. I would be willing to pay someone more for selling it quicker (and for the right price).
With the program that I signed up for, my realtor is basically only there to do the paperwork and list us on FMLS, MLS, and realtor.com, etc. I do all the meetings and negotiations. I work from home, so this works out better for me than it would most.
lowell--I don't mean any of my comments as a shot. I just have a bad taste in my mouth about the industry. One of my biggest problems is that you charge a percentage instead of a set fee. It shouldn't take anymore effort to sell something worth $165K for $165K than it is to sell something at $450K that is worth $450K. If a buyer is in that realm, they are in the realm. The realtor has nothing to do with that. I think the real estate business will be turned upside-down in the next 5-10 years. The internet is just starting to learn to compete, and I think this will wreak havoc on most of the industry. Just an opinion, though. I think if a realtor does work hard for thier cilents, then they have nothing to worry about.
Hey Dawg,
been a realtor for 8 years, most lawyers and doctors in our little town have all bought homes through realtors, well educated indeed. It is tough work, just make sure you do everything, and i mean every little detail by the book for a buyer will not hesitate to hire a well educated lawyer to take you to court over something you said or didn't say.
Good Luck
ll
been a realtor for 8 years, most lawyers and doctors in our little town have all bought homes through realtors, well educated indeed. It is tough work, just make sure you do everything, and i mean every little detail by the book for a buyer will not hesitate to hire a well educated lawyer to take you to court over something you said or didn't say.
Good Luck
ll
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So because a doctor buys a house through a realtor means that you are as educated? nice try.
Sounds like just another scare tactic from a scared industry.
Realtors are going to have a choice over the coming years. Either realize that technology is not going to allow them to charge the rates that they have for years and adopt, or go to the poor house keeping with their old boys club attitude.
It's obvious to me that noone is as intelligent as realtors, so I guess I should just pay them over $10K to sell my home (or more as I move along through my life).
For those realtors out there that work hard for their clients, keep up the good work and you will continue to succeed. Others that have to scare people into going with their services, best of luck.
I'm done with this thread, and thanks for your answers.
Sounds like just another scare tactic from a scared industry.
Realtors are going to have a choice over the coming years. Either realize that technology is not going to allow them to charge the rates that they have for years and adopt, or go to the poor house keeping with their old boys club attitude.
It's obvious to me that noone is as intelligent as realtors, so I guess I should just pay them over $10K to sell my home (or more as I move along through my life).
For those realtors out there that work hard for their clients, keep up the good work and you will continue to succeed. Others that have to scare people into going with their services, best of luck.
I'm done with this thread, and thanks for your answers.
Dawg- So it's all about the bad taste. If you hate realtors that bad, then sell it totally on your own if your so smart. Just because someone goes to school for many years(only because it's required by law, not because they feel it's the right thing to do), doesn't make them any smarter that you or I. I don't think LL was infering that because he sells to DR and lawyers that he's educated(if sure you are LL), face it you hate realtors period, is really what this is all about.
What pisses lawyers, doctors and alot of other so called professionals off, is that the really good realtors make a hell of alot more $$$ than they do, without all the schooling , dawg-do you fall into that category(sp).
The internet has helped realtors more than it's hurt them, now buyers and sellers are more educated in the process of buying and selling of homes. I haven't heard any good realtor being" A scared". One of the biggest FOSBO website owner who also owns a mortgage company used a realtor to sell his home, talking about a scam.:nono: :moon:
Lowell- well said, we've all had that happen.
What pisses lawyers, doctors and alot of other so called professionals off, is that the really good realtors make a hell of alot more $$$ than they do, without all the schooling
, dawg-do you fall into that category(sp).The internet has helped realtors more than it's hurt them, now buyers and sellers are more educated in the process of buying and selling of homes. I haven't heard any good realtor being" A scared". One of the biggest FOSBO website owner who also owns a mortgage company used a realtor to sell his home, talking about a scam.:nono: :moon:
Lowell- well said, we've all had that happen.
skulldog said:What pisses lawyers, doctors and alot of other so called professionals off, is that the really good realtors make a hell of alot more $$$ than they do, without all the schooling
...now THAT'S the funniest thing I've read on this board in quite some time. :lol2 :bs: :142smilie :142smilie :142lmao:
Hey Dawg,
No, sorry didn't mean to imply that at all, after i read it though, i could see how that could be inferred sorry. Just tired of getting bashed for a job, I am just not impressed by doctors and lawyers, especially the latter, it seems we put them on a pedestal way before the earn it, just because of there education.
It my dealings with people in the legal profession they almost never have an answer to a question you have, they have to "do research" which means read something from the law library and give u an answer at a price that you don't have a clue as to how there fee is derived. Doctors on the other hand, havn't been to one in24 years scare me to death, i do have 4 kids though who visit often mostly for ailments that i can diagnose just can't prescribe the medication. Anyway sorry for sounding sarcastic, but do be careful about your negotiation with a buyer, cuz i am totally serious about people being sue crazy and again good luck.
Peace,
ll
No, sorry didn't mean to imply that at all, after i read it though, i could see how that could be inferred sorry. Just tired of getting bashed for a job, I am just not impressed by doctors and lawyers, especially the latter, it seems we put them on a pedestal way before the earn it, just because of there education.
It my dealings with people in the legal profession they almost never have an answer to a question you have, they have to "do research" which means read something from the law library and give u an answer at a price that you don't have a clue as to how there fee is derived. Doctors on the other hand, havn't been to one in24 years scare me to death, i do have 4 kids though who visit often mostly for ailments that i can diagnose just can't prescribe the medication. Anyway sorry for sounding sarcastic, but do be careful about your negotiation with a buyer, cuz i am totally serious about people being sue crazy and again good luck.
Peace,
ll
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LL--no problem, and it sounds like you are one that won't be affected by the internet. i signed on with the peopel that I did to come in and do the final closing/negotiation portion of the work. i will let you all know how it goes. thanks for the advice and good luck.
skulldog--i'm not worried about people who make more money than i do. i would rather not see slimy people (in any industry) do so, but that's just a personal preference. i don't hate all realtors, but i do hate realtors in general. most come off with an air about them for whatever reason. most say scare tactic sayings. and most don't care about helping people. that's what bothers me. you also accidentally agreed with me. as i stated before, a good realtor has nothing to worry about. it's the bottom 60+% that will be losing their gravy train. hopefully you are in the other portion and you can still keep making more than the lawyers and doctors.
p.s. i do realize that i went back on my word and stayed with the thread. that's just the opinionated asshole part of me coming out
skulldog--i'm not worried about people who make more money than i do. i would rather not see slimy people (in any industry) do so, but that's just a personal preference. i don't hate all realtors, but i do hate realtors in general. most come off with an air about them for whatever reason. most say scare tactic sayings. and most don't care about helping people. that's what bothers me. you also accidentally agreed with me. as i stated before, a good realtor has nothing to worry about. it's the bottom 60+% that will be losing their gravy train. hopefully you are in the other portion and you can still keep making more than the lawyers and doctors.
p.s. i do realize that i went back on my word and stayed with the thread. that's just the opinionated asshole part of me coming out
Dawg,
I will agree that there are some arrogant a hole Realtors, quite a few on our local board, the funniest one is a gal who advertises using the Christian fish symbol and who I think is well can't say,(against ethics) I really do try to help people it is neat when you match people with a house, particularly first time home buyers who are so intimidated by the whole process, been in the business long enough to start getting repeat customers which is pretty cool, you know you did your job right when that happens. As far as our industry becoming obsolete can't see that happening, but wouldn't hurt to weed out a few, guess thats true in any business, geez u never know.
Good Luck,
ll
I will agree that there are some arrogant a hole Realtors, quite a few on our local board, the funniest one is a gal who advertises using the Christian fish symbol and who I think is well can't say,(against ethics) I really do try to help people it is neat when you match people with a house, particularly first time home buyers who are so intimidated by the whole process, been in the business long enough to start getting repeat customers which is pretty cool, you know you did your job right when that happens. As far as our industry becoming obsolete can't see that happening, but wouldn't hurt to weed out a few, guess thats true in any business, geez u never know.
Good Luck,
ll
i do not compare myself to a dr or lawyer but i am a professional.i do not negotiate with my mechanic or my grocer either.i have learned to just walk away from working for someone who tries to beat you down on your fee.if i can sell a home in 30 days due to pricing ,location or how well the home shows i will work for less.why would i want to take 6 months to a year to sell a home and then get paid 60 percent of my normal fee-that is about what i get when i reduce my fee.my company still takes their full share-i agree there is alot of riff raf in the business.on of the biggest problems is the client is always right and i promise you ,sometimes you do not get paid enough to work for some of the jerks they we put up with.my point is things do not always sell for what they are worth.are you better selling for 125000 and paying 4 percent or selling for 129500 and paying 5.5 percent.fall throughs,home inspection problems,appraissal problems and potential disclosure problems are other issues.either sell it on your own or pick someone you trust,price it right and stay out of their way.good luck
true words indeed lowell--99% of the time you get what you pay for in our industry--i always pose this question to clients who want me to cut commission-- "you want me to cut my commission by a point, right? that's about a third of what i will make on this deal. and while this business is based on negotiations, how would you feel if one of your accounts/customers that you do business with came to you and suddenly wanted to pay you 33% less for the same service that someone else is willing to pay full price for? not very good. that approach often works very well.
taoist- I take it your a dr or lawyer. Sales people are the some of the highest paid people in the country and that's a fact, if that's funny, then so be it.
Lowell- excellent points. Alot of realtors are shit bums just Lawyers, dr, mechanics etc, that's life.
Life is about negoiating(sp), you do it w/your wife , kids and in real estate, whether your a seller, buyer or broker, that's why commissions are set by law.
Good luck dawg it's too bad you weren't selling in the ares where lowell, LL or wcb4 work so we could assist in a professional manner.
Lowell- excellent points. Alot of realtors are shit bums just Lawyers, dr, mechanics etc, that's life.
Life is about negoiating(sp), you do it w/your wife
, kids and in real estate, whether your a seller, buyer or broker, that's why commissions are set by law.Good luck dawg it's too bad you weren't selling in the ares where lowell, LL or wcb4 work so we could assist in a professional manner.
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I went to Nashville this weekend and met with our buying realtor who is a family friend to my wife. The experience was nothing but positive, and she definitely WORKED for us. Coming from the buyer's side, I can see that she is earning her approximate $6K for her commission.
I still don't get what the listing realtor does though. Our realtor worked all week compiling a list based on our criteria through their insider MLS. She also had it mapped out so we could see as many houses as possible in the short time that we were going to be there. What did the listing agents do? I just don't get it. There was a sign in the yards and they approved the times that we were going to be at the house. Other than that I guess I am in the dark as to where they are going to earn their $6K. It's not that any of the companies did anything differently than another listing realtor. They were all just listed on the MLS board that our realtor did the search on. We didn't go the Open House route, so that is one thing that I did not personally witness. Are there other items such as these?
We did look at one new construction to be completed in August where we met the on-site realtor. She was very helpful, but that is a different situation than a resell, IMO.
I still don't get what the listing realtor does though. Our realtor worked all week compiling a list based on our criteria through their insider MLS. She also had it mapped out so we could see as many houses as possible in the short time that we were going to be there. What did the listing agents do? I just don't get it. There was a sign in the yards and they approved the times that we were going to be at the house. Other than that I guess I am in the dark as to where they are going to earn their $6K. It's not that any of the companies did anything differently than another listing realtor. They were all just listed on the MLS board that our realtor did the search on. We didn't go the Open House route, so that is one thing that I did not personally witness. Are there other items such as these?
We did look at one new construction to be completed in August where we met the on-site realtor. She was very helpful, but that is a different situation than a resell, IMO.
