Karenco59, Home Seller in Massachusetts

what is the going commission rate for a listing broker? and does this rate include the buyers commision or is that a separate rate?

Asked by Karenco59, Massachusetts Wed Feb 23, 2011

Help the community by answering this question:

Answers

10
You pay one commission. The listing broker splits it out to the buyer agent. Remember the commissions are negotiable however what you offer out to a buyer broker may be an incentive to get that agent to bring his clients there.
2 votes Thank Flag Link Wed Feb 23, 2011
I believe that you pay for what you get! My service may be more then "Joe" down the road, but I come to the table with the knowledge and experience my clients deserve. So be careful when you are looking, if someone is willing to discount their service, Which they are getting paid for(Their Money), then they are willing to discount you(Your Money)!
0 votes Thank Flag Link Wed Feb 23, 2011
Karen,
Commissions are negotiable and there is no typical or standard rate. Listing firms do offer a portion of the commission to the buyer's side which is stated on the MLS.
According to the Standards of Practice and Code of Ethics from NAR, real estate agents should NOT be stating percentages on this site. They are in violation!

Laura Feghali
Prudential Connecticut Realty
0 votes Thank Flag Link Wed Feb 23, 2011
The commission rate is always negotiable but I've seen them range anywhere from 4% to as high as 7%. It all depends - higher commission on a lower priced unit will sometimes motivate more buyer's agents to bring buyers. A lot of brokers will offer some sort of a variable rate depending on whether or not the buyer is represented by an agent. If the buyer is represented, the commission you negotiated with the listing broker, is split 50/50. If the buyer doesn't have representation, the listing broker keeps the entire commission.
Feel free to email for more info and I would be happy to provide a free analysis of what your home may be worth in today's market. Masha@preservationproperties.com
0 votes Thank Flag Link Wed Feb 23, 2011
As everyone has stated, listing commissions are completely negotiable. We offer our sellers a variable rate, which means that if the buyer is unrepresented (no Buyer's Agent), we give a slight reduction in our total commission rate.

Most discount listing offices make their money on volume, so they shouldn't have time to take care of your day-to-day requirements or be intimate with your situation/needs/goals. If you're in a "sellers market" with little inventory and too many buyers, it's probably be OK to go with a discount service. Otherwise, get an aggressive, full-time agent with a proven track record selling listings. It's really unfortunate when we run into people who chose the "cheaper" route, only to find out their house either didn't sell or it was a horrific experience.

Hope that helps!
Chris Ratay
303-241-6181
0 votes Thank Flag Link Wed Feb 23, 2011
Karen there is no such as standard! All commissions are negotiable.
0 votes Thank Flag Link Wed Feb 23, 2011
Hi Karen In MA commisions are negotiable, meaning you and your agent can discuss what you need and decide what the rate will be. Marketing varies greatly from agency to agency. It is very important to understand if you offer a lower rate to a buyer agent this could result in your home not being shown. ( If the home sits longer you could actually lose money ) Also make sure your agent shares the total commision 50/ 50 many do not resulting again in the possibility of your home not being shown to potential buyers. ( My company offers 50/50 split ) the best advice I can give you is make sure your agent if a full time Realtor, in this market selling a home is a full time endeavor !
This may surprise you, Look at it this way an agent is working with a buyer for 6 months showing homes almost every weekend- 4 new homes come on the market 3 are offering a certain % comission and the 4th house is offering half of what the others are- most agents would show the first 3 homes and your home may not be shown. Another thought is if the seller is offering less they may be difficult to deal with or have little equity and may be close to doing a short sale, some buyers want no part of a short sale. Call or visit my website if you would like to talk personally I serve the Greater Fall River MA area.
0 votes Thank Flag Link Wed Feb 23, 2011
Commissions are set b y the listing agents office. Buyers agent and listing agent share the amount at closing.
0 votes Thank Flag Link Wed Feb 23, 2011
The commission rate is totally negotiable by you and the real estate agent you are talking with. It will be important for you to ask him to break out the commission rate, for example how much will he/she be giving the buyer broker. If you sign an agreement I would have him/her write out the breakdown on the agreement you sign.
0 votes Thank Flag Link Wed Feb 23, 2011
There is no "going" rate. Commissions are negotiable, and yes, typically the commission that you pay your listing agent is shared with the buyer's agent.

Talk to several local agents, and ask they what rate they will charge. They will happily sit down with you and discuss what they charge, and what services you get for that fee.
0 votes Thank Flag Link Wed Feb 23, 2011
Alan May, Real Estate Pro in Evanston, IL
MVP'08
Contact
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2016 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer