Commission rates are negotiated between client and broker. No listing contract may prescribed or predetermine a fee or percentage. No fee, commission or other consideration has been fixed by any governmental authority or by any trade association or multiple listing service. The best advice is to interview Realtors and determine the amount of service the specific brokerage will provide to maximum the exposure of your home. A realtor will be most comfortable to discuss the commission with you in person. Best of Luck!
Interview several agents see what services they offer and what marketing plans they have. Your home is not just a property each home is unique and different. By interviewing you can find that â€œSpecial Agentâ€ with the right marketing plan that will fit your needs.
Key Points when interviewing REALTORS
TRUST: Choose a Agency and Agent with strong reputations (references/recommendations)
COMMUNICATION: Is very important skill, Well-informed with accurate up-to-date information
SERVICE: What Services will the Agency and Agent Provide?
KNOWLEDGE: Expertise and experience
You've come to a great forum for answers and resources - while we can't post feedback we can certainly discuss with you - so my suggestion is to contact several agents that impress and can help you in your area of interest, and have that discussion with them.
Unwavering Commitment to Service
You are absolutely on point. I would love to be helpful, but it's against the code of ethics and state licensing laws to discuss any commissions with other agents.
However, as others have mentioned, the commissions are usually paid by the seller, so a buyer typically doesn't have to worry about it.
Realtors have a vested interest in negotiating a commission that is acceptable to them. After all, Realtors have bills to pay and have to put food on the table like everyone else. But, commissions are negotiable by law in every state. To imply otherwise, even inadvertently, is unwise
Your profile states "Home buyer", so I assume that you are aware that the seller pays the cost of commission in most residential sales.
It may also be that you've asked your Realtor to "share their commission" with you and you are trying to figure out how much you think they might give you.
You should know that, on average, about 70% of Realtors are part-time. Many Realtors, when they first start in the business, work with buyers. Also, on average, the average Realtor has four transactions per year.
So there is much smaller number of full time Realtors that actually conduct most of the buying and selling.
You might also want to look at the market stats from Trulia in the link below. The report shows that the number of homes for sale is 853 and that 385 homes sold recently. One tool we use to measure the market is "months of inventory". Take 853/385= 2.2 months.
I'd ask your Realtor to find out how many homes are for sale in your price range, and how many sold last month. That will give you your specific market. The rule of thumb is that less that 5-6 months of inventory, you are in a strong sellers market. Further signs of a sellers market:
1. Fewer days on market
2. Multiple offers on properties
3. Fewer homes from which to choose
If this is your experience, then you need to sit down with your Realtor and put together a game plan...because your market values are UP 3.4% compared to a year ago, so the longer you wait, the more the home you buy is going to cost.
If you are looking in Howell or anywhere else, for that matter, I can help you find a home. I will not require that you sign a buyer's agency agreement. I live quite close to Howell. Should you have further questions about any aspect of purchasing or financing a home in NJ, do not hesitate to contact me.
With friendly greetings,
Commission in NJ is negotiable but most agents will not discuss specifics in a public forum. Your best bet is to interview listing agents in your area to find out what is customary.
The best thing to do is interview several agents and see what they offer for what they charge.