Home Selling in 07302>Question Details

Kate, Other/Just Looking in Jersey City, NJ

Can you negotiate commissions with a broker? We wanted to offer a higher % to incentivize a higher sale. Just not sure if this is appropriate.

Asked by Kate, Jersey City, NJ Sun Nov 18, 2012

We are selling our condo.

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Answers

19
You are definitely One-Of-A-Kind;
Please report to the SMITHSONIAN where you will be made a permanent exhibit.
1 vote Thank Flag Link Sun Nov 18, 2012
Hi Kate,
Yes you can, I understand you want to sell your home, well right now it’s a great time. There’s a lot you need to know if you’re trying to sell your home. I am license in two states New York and New Jersey. In New Jersey I work for Churchill Corporate Services who specializes in relocation, so I deal with fortune 100, fortune 1000, relocation companies, international clients, and insurance companies who ask me to help them find homes to rent or buy. We have a great program for home owners and if you are interested in moving forward, please provide me with the best number and time to call. I look forward hearing from you
Best,

Hector De La Cruz
Realtor Associate NY and NJ
Nest Seekers INTERNATIONAL
Manhattan • LIC • Brooklyn • Miami • Hamptons • International
415 Madison Avenue
Ny, Ny 10017
O + 212.252.8772
C + 973.986.3903
F + 212.252.9347
0 votes Thank Flag Link Tue Nov 12, 2013
Hi Kate,

As my colleagues have indicated, you are a delight!

Honestly, I don't know many agents who search the MLS and make a marked effort to bring their buyers to properties offering the buyers agent/transaction broker a higher commission percentage. If a buyer's agent is doing his or her job properly, he or she has a fiduciary responsibility to the well-being of the buyer, first and foremost.

If you are selling a condo in Jersey City right now, and it is priced appropriately, it will sell. If your condo has been on the market for more than a month without an offer you felt was even worth countering, your unit is not priced right or it is not being marketed right. More than likely (like most things in life!), it all comes down to price.

Hope this is helpful!

Best Regards,

Jonny Lowell-Mazzye
Joseph A Del Forno, Inc
917.284.8206
jonny@delfornorealestate.com
0 votes Thank Flag Link Tue Nov 12, 2013
I always think that real estate brokers should receive extra compensation for difficult deals, Annette . ..
0 votes Thank Flag Link Tue May 28, 2013
curious if anyone is aware of examples or has had experience with seller agents lessening their commission due to an appraisal coming in under the listing price? is this something that should be considered by the agent, especially if they did not prepare an appraisal package for the appraiser? not to mention they were not present for the appraisal.
0 votes Thank Flag Link Tue May 28, 2013
Hi Kate,
You can certainly negotiate a realtors commission either up and/or down. There are many different types of ways that this can be handled. First, you can offer a higher commission split to the participating Realtor...i.e. 3-4% for the selling side and a lesser amount for the listing side. Of you can offer a standard commission and/or "split" but just give a certain number of "pluses" or bonuses to the Buyer directly....like possibly paying for part of the closing costs or other "givebacks." A knowledgeable, highly experienced Realtor will be able to discuss the situation with you and come up with a viable plan that works for all parties.
Thanks for asking the question.
Albert Stinchcomb
Liberty Realty, LLC - Corporate Center/Hoboken
0 votes Thank Flag Link Thu Dec 20, 2012
Hi Kate! Your realtor should have suggested this excellent idea. You always want to be competitive to stand out amongst other listings, especially if there is a lot of competition in your specific product or building.

Remember price and condition are number one on list of priorities here, so if your place is priced right, AND shows great, then offering a competitive commission is the cherry on top and you are on your way to a successful sale.

Best of luck!
0 votes Thank Flag Link Tue Nov 20, 2012
It is a great idea! Just apply it where it makes the most difference, the selling agent gets the bonus. This does not leave out your listing agent, they can find the buyer as well. Good luck,

Jim Simms
NMLS # 6395
JSimms@cmcloans.com
Financing Kentucky One Home at a Time
Web Reference: http://jamessimms.com/
0 votes Thank Flag Link Mon Nov 19, 2012
Greetings Kate,

If your agent were the buyer this plan may work but this is normally not the case. Because you are wlling to pay the agent's involved in your transaction more money for their services doesn't necessarily insure you will recieve a higher sale price for your home.

Our recommendation....revisit this plan!

Good luck,

Bill
0 votes Thank Flag Link Mon Nov 19, 2012
Kate, you certainly pay as much or as little as you and broker agree upon. While a higher cooperating commission may get more attention, as mentioned numerous times if your home is over priced; no selling bonus or extra commission will get it sold. As agents representing buyers we have a fiduciary duty to our clients which means we dont push them to pay premium prices merely because we earn more. This would also be a breach of our ethics requirements.
0 votes Thank Flag Link Mon Nov 19, 2012
My tendency is to run the current list of active listings and see how many are listed for what. Usually I then run the list of recent solds and check to see if higher commissions have a better average asking to sold ratio. But yes, if you offer more commission, you agent will take it.

David Leonard
Weichert Realtors
201-333-4443
718-915-2855
dave@davidleonard.biz
http://www.jerseycityhobokencondos.com
0 votes Thank Flag Link Sun Nov 18, 2012
By regulation, commissions are negotiable. In fact, if I understand your question, your desire to increase the commission will be appreciated by your agent.
0 votes Thank Flag Link Sun Nov 18, 2012
Hello Kate. Yes, commissions are negotiated directly between the Client and Broker. You can also offer more or less to the cooperating broker. However, just because you offer a higher incentive to a cooperating broker does not mean the house will sell, especially if it is overpriced.

I hope this answered your question! If you have any further questions, please feel free to contact me by the ways below.

Wishing you all the best,

De Vonte Williamson , LSA
Proudly Serving Long Island
Coldwell Banker Residential
(631)384-3695
http://cbmoves.com/DeVonte.Williamson
http://devontesellsny.wordpress.com/
DeVonte.Williamson@cbmoves.com
"I Stand Behind Getting You Results!
0 votes Thank Flag Link Sun Nov 18, 2012
You have a good idea. Do pursue it. You can increase the commission by a point or two to get other agents' attention. Your house is probably equal to many other properties in the area in many respects, so persuading the local agents to talk up the fine points of your house is an excellent idea.

Few if any agents will steer buyers into a house that is not good for the buyers. It is just a matter of spot-lighting the upside of your property.

Good luck.
0 votes Thank Flag Link Sun Nov 18, 2012
I would agree with Keith and Kinsey you must price the house right and it must appraise. You also get what you pay for this is true with different products and markets. So if you go with a full service broker you will likely receive better exposure to the marketplace, better quality photos and better customer service.
0 votes Thank Flag Link Sun Nov 18, 2012
Even though it should''t matter to a buyers or sellers agent a higher commission may entice more agents to show your property. Really if the property is in a desirable location and staged properly and then lastly and most importantly priced properly these are things that will get your properly sold quickly and at the best price.

I am in Europe and returning on Tuesday and would love to discuss things further with you when you have time.


Darrell Roch
droch@weichert.com
860-209-4136
0 votes Thank Flag Link Sun Nov 18, 2012
In New Jersey the commissions are entirely negotiable. The higher the commission percentage the more all brokers are interested in showing and selling it. However, if the price is unrealistic, it probably won't be of much help, since the buyers won't be interested.

If your condo is priced realistically, a higher commission can be a good tool to get your home sold faster.
0 votes Thank Flag Link Sun Nov 18, 2012
You can definitely negotiate commissions with a broker. However, it seems like price is what's selling in this market. A broker can't get your home to sell at more than market value (what a buyer is willing to pay). I'd suggest offering the best price possible, rather than offering the broker additional incentives. I'm sure any broker would be happy to take more money. Although, a property will still need to appraise for what it sells for. Good luck.
0 votes Thank Flag Link Sun Nov 18, 2012
Yes commissions can be negotiated with the broker. You are wise to offer a higher commission.
0 votes Thank Flag Link Sun Nov 18, 2012
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