Interview a few agents...... see what they charge, and what their marketing plan will be.
Ask for it in writing.
Compare and contrast what they are offering.
My advice is to focus on the agent.......... their experience and knowledge of your area, and what efforts they will make to get your home sold. Ask what their track record is.....what percentage of their listings sell.
While I understand that the commission is a concern, shopping for the lowest one might not be in your best interest.
There are also flat fee brokers you might want to investigate.
As far as who pays the commission - that's an often discussed/argued point here on trulia.
On the basic level............. the seller pays the commission. The sellers sign a listing agreement in which a commission is stated - to be paid when a buyer is found.The listing agent usually agrees to share that total percentage with any agent who brings in the buyer.
The commission is paid at closing, and taken out of the proceeds of the sale.
So, on the surface, the seller is paying the commission.
Now, here is where the discussions come up............it is believed that, in reality, the buyer is also participating in paying the commission, as the final accepted price is most likely factoring that in.
Without a commission the buyer most likely would be able to purchase the home for less. So, they are certainly , in effect, paying the commisson along with the seller.
Seller pays the commission.
Commissions depend on the size of the property.
F.e. 45K could run for 7%, and more than 45K will probably be 6%.
Sometimes, bonuses are paid to the selling agent - which attracts more agents' attention - say, if they sell at higher price, the agents will get a bonus.
Paying less than is standard for the area puts the seller at disadvantage - many agents won't show the property that pays less in commissions (one of the reasons properties don't sell).
Because commissions should be earned by agent's hard work on behalf of the seller - make sure to select a great marketer/agent - and review marketing plans to see what exposure you'll get to sell your house for the top dollar.
Hope this helps,
Beachfront Realty, Inc.
Great question! Have you ever heard the old adage - "You get what you pay for?" The same is true in real estate. Discount agents will more than likely discount their service. A more experienced agent that may charge a higher rate can actually net you more money down the road.
As Debbie mentioned, interviewing several agents is key. Finding the best fit that works for you and your family that you feel can sell the home at a reasonable rate should be your hire. Best of luck with finding a great agent.
The Twin Cities is still small enough for many agents to work as 'local experts' in their community. The worst mistake sellers can make is to pick an agent in Blaine when they are selling their home in Savage. Familiarity with the neighborhood will be a key factor in selling your home.
There are a few brokers still left in the Twin cities that will sell your home for a reduced commission. But you will have to do much of the legwork yourself. This will include setting up showing appointments, doing marketing material and doing open houses. Unless you are absolutely cash strapped, it's best to use an agent from a full service company.
Sellers pay the sales commission when it's listed through our Multiple Listing Service (MLS). A typical rate for a full service realtor is 6-7%. This is usually divided among four parties, the listing agents broker (company), the listing agent, the buyer's agent's broker and the buyer's agent.
I hope this helps.