What are your thoughts about realtors who charge less than 6%?

Asked by AL McCaw, Las Vegas, NV Tue Mar 18, 2014

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4
Dan Tabit, Agent, Issaquah, WA
Thu Mar 20, 2014
Al,
Please Google the Sherman Anti Trust act. I for one would welcome a discussion, but Federal law prohibits agents from doing anything that appears to indicate there is a standard or normal pricing. As I understand things, you are allowed to say, Hire Me, I charge X% for my service, but the minute two agents from different offices discuss commission amounts, it's considered a conspiracy to fix pricing.
I don't know if anyone will take you down, but rather than risk it, I'd encourage this post and the other to be removed. How you decide to proceed is up to you, but you can also ask your broker since if I'm correct, they will also be hurt by this.
1 vote
Dan Tabit, Agent, Issaquah, WA
Tue Mar 18, 2014
Al,
You're question has appeared twice and is inappropriate and potentially illegal. Consider removing it.
1 vote
Al, clearly you're confused as to what the anti trust laws mean - I strongly suggest you reach out to someone who can explain them to you. Under no circumstances should agents discuss what they "think" about what other agents do or don't charge. Companies, however, CAN advertise what they charge....it's the discussion AMONG agents that can be seen as an attempt at price fixing, and is illegal even if that is not the intent.
Flag Wed Jul 9, 2014
Annette,
Why would anybody want to take me down for asking an innocent question? I'm not aware of my question being a violation of the Dept of Justice. For what? Asking other realtors about their thoughts of commissions less than 6%?
Flag Tue Mar 18, 2014
Illegal? There are brokers in my town who advertise in billboards charging 4%. I'm just curious how other agents feel about this. Why would my question be inappropriate?
Flag Tue Mar 18, 2014
Annette Law…, Agent, Palm Harbor, FL
Tue Mar 18, 2014
Al,
DANGEROUS QUESTION.
Supplying the number is extremely dangerous for you.
It only takes one agent who wants to take you down to send your question to the watchdogs.

If anyone has read this far, "What do you think of agents who ask questions clearly in conflict with the Dept of Justice rulings and could result in further restrictions on real estate professionals ability to manage their business?"
0 votes
I think 6% is overcharging a seller especially when all that is done is to put a property on the internet. Not like the old days when a sellers agent actually worked.
Flag Wed Mar 19, 2014
Terri Vellios, Agent, Campbell, CA
Tue Mar 18, 2014
Realtors, and Sales Agents charge what their Broker has determined to be the rate in their office. Commissions are negotiable.
0 votes
Great point Terri.
I am not a realtor but know that all commissions are negotiable; so am not sure why it would be bad if a company charges less than 6%? With increasing technology & industry tools that can shorten the sales cycle with less effort, maybe a reduced commission is a trend for that marketplace.
Flag Mon Apr 21, 2014
Terri, you are absolutely correct. However, if a broker has determined that the entire office will charge only 4% for all of their transaction, I'm simply asking how other realtors feel about this. That's all.
Flag Tue Mar 18, 2014
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