As a manager of a very successful Real Estate office, we know all too well we have the balancing act of getting the seller to price their home competitively, so it doesn't sit on the market for an over extended period of time (average days on market varies greatly but typically ranges from 90-180 days, depending on many, many factors), and invest a lot of time many dollars for marketing and advertising, virtual tours, open houses, etc. up-front on the hope (and sometimes prayer) that we'll get our investment back and a pay check at the end. What I think is fair is price your home within 3-5% either above or below the Realtors Competitive Market Analysis (CMA) with some predetermined price reductions written into the Listing agreement so that everyone is on the same page about getting the list price close to market value as possible during the initial term of the agreement so that a successful sale occurs. A good rule of thumb is, the higher the price (above market) the longer the listing agreement! We've done them as long as 1 year, to as short as 1 day! It's all negotiable. The cancellation fee is also negotiable, true. What's the Realtors time and effort worth? I'd like to think that there's a compromise (depending on the situation), and we've re-negotiated the cancellation fee many times "after the fact" once we hear all the facts. Yes, reimbursing for direct expenses is fair, but again, can be a negotiating point as well. The most important advise I can give is make sure you "connect" with your agent up front, get to know each other. You'll be working closely (on the same team) and partnered percentage wise in the end result. If synergy exists, go for it, and work out the kinks along the way because they're hard to avoid.
PS: Our company offers a "Sellers Service Pledge" which allows a seller to cancel within 10 days written notice, as long as the seller allows us an opportunity to remedy. Ask your agent if they have a similar written guarantee.
Henry L Kaplan, GRI, SRES
Licensed Real Estate Salesperson - Florida
Serving all of the South Florida Market
CENTURY 21 Tenace Realty - An award winning office!
561-427-4888 text me for fast answers!
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