What do Realtor's get paid? We work hard and have very high expenses. For example I spend about 65% of my total commission on marketing, advertising and expenses. Buyer's do not have to pay a commission. If a property is a short sale my experience is that the commission is 2-3% to each agent. When I take a listing, depending on factors the commission is 2.5-3% for my services to list the home. My company will not allow me to offer the buyer's agent anything less than 2.5% commission. That puts the total commission at 5%-6%. This is just from my experience. I have heard in other states it can be as high as 7%. Leases, land and commercial property usually have higher than customary commissions. These are the averages and it varies from one agency to the other as does the level of service.
The Carrabba Group
Seriously, totally free.
Because when a Realtor works with buyers, they get paid by the seller. That's why you should always always always work with a Realtor if you are looking to buy!
If you are a seller, that is negotiable. But keep in mind that whatever you agree upon, 50% of that goes to the buyer's agent. So if you agree on a very low commission and have to split it, the buyer's agent may be less incline to show your property if they see that they will only be getting a very small commission. It's mean, but it most likely happens.
Buyers do not pay any commission for our services. All commission comes from the Seller of the property.
Please let me know if I may answer any questions. My E-Mail is EdwinE@bhhscalhomes.com
Berkshire Hathaway Homeservices
Cell (805) 990 2178
Buyers usually don't pay their agent direct...their fee comes from the "listing" agent as stated above. There are companies that will rebate a portion of their "selling" fee to you at close of escrow.
When choosing an agent to represent you look for experience, confidence, and chemistry as buying or selling a home is stressful and you want someone you like on your side. Good luck...
Jeff and Cheryl Fox
800-917-8080 Toll Free
16133 Ventura Blvd. 7th Floor
Encino, CA 91436
As for the fee to market and list a home for a seller. This is negotiable! There is no set fee, it is against the law to set fees as Jason stated. I hope this helps. :)
Larry and Stephanie Watson
REALTORS, E-Pro, Eco-Broker
Both Of Us 818-606-0080
R.R. Gable, Inc.
Listing broker agent 3% of sales price - broker can takes a % based on realtors contract
Buyers broker agent 3 % of sales price - broker can takes a % based on realtors contract
Listing agreement with seller can vary what the listing broker and buyer broker can earn based on seller specifications.
Monique is correct regarding after an real estate agent receive the % from broker they have to cover their own expenses from car, insurance, gas, maintenance phones, computers, websites, office desk fees, website expenses, pass keys, signs, lock boxes, office supplies, state regulated educational classes, realtor board fees, much much more.
As Jason mentioned below. I would contact both kinds of agencies. Full service agencies will do everything from list your home in the MLS to creating post cards and fliers to door knocking your neighborhood and much more. Discount agencies obviously will not do as much as full service agents.
Keep in mind that everything in an agreement between you and your agent is negotiable. However, most full service agents believe that their work is worth a certain amount. In the long run, you get what you pay for.
Hope this helps...
It is against anti-trust laws that the answer to your question can not be disclosed here. You should contact both full service firms and discount firms in your area, ask them what their firms fee is for listing and what that includes.
Jason Ewing, GRI/CNS
Coldwell Banker Triad, Realtors