Whet is the going real estate seller's commission rate in South Florida?

Asked by Ttamo1, Wellington, FL Thu Apr 7, 2011

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17
Scott Godzyk, Agent, Manchester, NH
Mon Jun 29, 2015
Some how a question from 2011 has risen back up in the q and a, however it is a question asked daily. The one factis is that it is ILLEGAL for any agent to discuss commissions in an open forum. A home seler should call an agent and ask what they charge and what they wil get for what they will pay. The Sherman Anttrust Federal law forbids agents from discussing what others charge ir an average. so every agent that answered by posting a comment with an average or range, is violating federal law.
1 vote
Bklehto, Home Buyer, Wellington, FL
Wed Mar 29, 2017
Duffy Realty in Atlanta has a model that costs $500 up front and .0075 at closing. You then choose what you are willing to pay a buyers agent. We did 2%....so for a mere 3% we sold a home $30K above the appraised value in less than 2-months. You get the same exposure you would get from any other agent....you do have to do a bit more yourself....but on a $300K home $9K in savings is worth it!
0 votes
Kirsten Priz…, Agent, Naples, FL
Mon Jun 29, 2015
Real estate commissions are negotiable, typically between 5-6 %.
0 votes
You should read Scott's answer below, your answer may actually be in violation of federal antitrust laws.
Flag Mon Jun 29, 2015
Jeri Patrick, Agent, Pooler, GA
Mon Jun 29, 2015
There is not a set commission rate. Best of luck
0 votes
Tom Priester, Agent, Tequesta, FL
Mon Jun 29, 2015
Dear Ttamo1,

We continue to track the value sellers get when selling their home in our market area, which includes Wellington.. There are no fixed rates while 6% used to be what was considered the "going rate". So far this year in Wellington 73% of single family home seller have paid a 6% fee, 22% have paid 5% and others have paid another amount. Unfortunately for Wellington sellers these numbers are high and that is why sellers, and buyers need to be educated and know the truth. For instance, in Jupiter this year the market size is very similar as far as number of sale. But there in 2015 only 47% of sellers have paid a 6% commission which is much, much, much lower than in Wellington. In every case sellers need to shop around and they will find if they are paying 6% they are almost always paying too much.

Sellers need to interview a few agents and not only focus on the fee but what they will get for that money. Professional marketing is actually more important than the listing percentage. Many brokers tack on other fees that both buyers and sellers shell out a lot of money for. Find an agent looking out for your best interest and providing the best value. Just last week we saved a client $450 on fees being charged by a closing agent simply because we negotiated up front for their best fees. When the closing statements came out they had charged a totally different number. Be careful as it is how all of the factors involving a sale are handled that will be what matters.

Shop around and you will find that finding a quality oriented broker is out there who will save you a lot of money and get you the best price for your property. Real estate mistakes are expensive....don't make them.



Tom Priester
Principal Broker

Paradise Sharks Real Estate
561.308.0175
info@paradisesharks.com
0 votes
Diane Christ…, Agent, Sarasota, FL
Sat Jun 20, 2015
This is an old thread but since an agent's post today brought it back to people's attention, there is something both agents and potential customers need to be aware of.

Because of federal antitrust laws, a standard commission does not exist in real estate. No local real estate board or other association of real estate agents has the authority to set commission rates or create any standardized fees for services.

In fact, any attempt among real estate agents to create a standardized fee schedule is and has been viewed as violating federal antitrust laws. To even comment about going rates of commission put agents in violation of antitrust laws --- the mere discussion (such as on this forum) among competitors of prices for services is considered an invitation to fix prices and therefore violates antitrust law.

Agents can discuss the rates charged by their own real estate company but not those of competing companies.

So please understand when agents comment that there is no standard commission rate, those agents are not trying to avoid a discussion of rates with you, they are simply abiding by federal law.
0 votes
Kirsten Priz…, Agent, Naples, FL
Sat Jun 20, 2015
6% is the going rate, but everything is negotiable. But keep in mind you get what you pay for.
0 votes
You do realize that by stating there is a going rate you have violated federal antitrust laws? Perhaps you may wish to remove this post?
Flag Sat Jun 20, 2015
Gary and Kar…, Agent, Boca Raton, FL
Sat Jun 20, 2015
Everything in life is negotiable -
In my fathers day - you could expect to get what you paid for...
In today's world; we get what we "negotiate"...

However, I would think twice about your decision -

What we know -
Your property is located in Florida -

What we do not know -
How many competing properties are on the market...
How does your property compare - Price? Location? etc...

NEXT - understand the competition - You can bet the buyer knows...
If there are no competing properties - or yours stands high and above the others based upon price or location or another compelling factor... The perhaps yes - you can effectively negotiate a reduction from the usual and customary 6% -

With that being said - If in fact there are many immediate options - or your price and or other factors and not "compelling" - you are as they say "shooting yourself in the foot" -
Realtors are human - if there are options that pay more; believe me your home will be skipped -
Your neighbors home - listed for more $$, will have far more activity and in the end your net funds will likely be less and the time frame extended.

Be careful here -

One further thought - and I use this strategy often -
I go the other way - offer a higher than usual - .5 additional % - price high and let the agents work for the bonus $$ - There are opportunities to reduce the commission if a "must be" case evolves.

I have lived, worked and played here full time for the last 25+ years -
I know the area and the market.
If you have questions or would like further information on Buying or selling in Florida -
Call Gary 561.306.7653
Web Reference:  http://www.garyyoungman.com
0 votes
Jason Nazzaro, Agent, Palm Beach Gardens, FL
Sat Jun 20, 2015
Give yourself the Seller's Advantage! Our company policy is 3.5% with Premium Services and MLS. http://www.JasonNazzaro.com
0 votes
marc jablon, Agent, Boca Raton, FL
Thu Aug 1, 2013
I have seen seller's commission rates of between 5% and 12% during the years I have worked in real estate.

If we're selling a Wellington home that's worth $2million or more, realtors are more likely to consider working for a lower commission percentage.

However, if we're selling a condo in a community whose values have fallen to $50,000 or below, agents may ask for a far higher commission in order to justify the time it will take them to work on that sale.

Oddly enough, it usually takes much more time and effort to sell a $50,000 condominium that it does to sell a $500,000 or a $5 million condominium. The same applies to single family homes.

The reasons are all financial: for the seller and buyer of expensive real estate, the transaction usually represents a fraction of their financial ability. But typically for the seller and / or buyer of a lower cost property, this piece of real estate represents a very large part of their financial picture.

Because their worry factor is higher, the time spent on the transaction is greater. And it is our job, as agents, to give our customers the time and attention and information they need in order to make the absolute best decision for themselves.

That is why we often charge far higher commission percentages (but not higher amounts of money) for less expensive properties.

Marc Jablon, the Jablon Team
Re/Max Complete Solutions
JablonTeam@gmail.com
561-213-6139
http://www.JablonTeam.com
0 votes
Great answer Marc...
There are a couple other factors for sure -
But here, you have touched on a very valid point.
Flag Sat Jun 20, 2015
If anyone implies higher than 6%-10% commission on "representing you in the sale of your property" I would advise you to save yourself the time you won't get back of them talking in vague circles of how they came to the number, and simply go elsewhere.
Flag Mon Dec 22, 2014
This article is very misleading. The insinuation of "choices" and "complexity" is not true in the least bit. The "Choices" being referred to in any case are related to the method of additional advertising, which is handled separate from any commissions being paid for the basis of real estate service. In any event, when representing a seller, a real estate agent should be providing relevant comparable sales, how they intend to market your property an where, the time frame they intend to be able to sell your property within, how much they intend to spend on advertising, and who they are marketing towards with that strategy. This is the standard delivery of any real estate agent and justifies a maximum of 6% of the homes sale value. In the case of auction, the commission is subsequent to the addition of the auctioneer's compensation which justifies no more than 3-4% added to the commission, where total paid commissions in that case should never exceed 10% of the sale price of the house.
Flag Mon Dec 22, 2014
Annette Law…, Agent, Palm Harbor, FL
Mon Jul 1, 2013
$200(could be lower) to 25% (could be more) of the value of the real estate to be sold.
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Buyers and sellers have DEMANDED more options, more choices, to be available when they are about to make a buying and selling decision. The real estate infrastructure has adapted to those demands by providing a mind boggling array of choices. With greater choice comes increasing complexity.
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Your question is like asking, "What the going rate for a new car?"
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Now, when your question is augmented with, "What is the going rate for a full serivce real estate professional who is a REALTOR(r)?", there is much more fabric with which to work. These professionals will ask intelligent questions regarding your goals and provide the appropriate level of service required at the 'going rate' you aggree upon.
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The rate will depend upon if you are looking for a KIA or a Tesla. Be very aware, you do get exactly what you pay for.

Best of success,
Annette Lawrence, Broker/Associate
Remax Realtec Group
Palm Harbor, FL
727.420.4041
http://RealEstateMadeEZ.us
0 votes
Beth Saifman…, Agent, Wellington, FL
Mon Jul 1, 2013
I work with each of my sellers on an individual basis. I will be happy to discuss your specific needs and come up with an a agreement that works best for everyone. Please contact me
Beth Saifman, Keller Williams Realty Wellington BethSaifman@gmail.com
0 votes
I am planning to sell my home. I would be interested in knowing what you charge and get a home value estimate. I live in Olympia in Wellington
Flag Fri Jan 24, 2014
Anna Marie L…, Agent, West Palm Beach, FL
Sun Jun 30, 2013
Everything is negotiable! Please don't hesitate to contact me for further help with buying or selling your property anywhere in Palm Beach County: http://www.RealtorAnnaMarie.ListingBook.com
0 votes
Beth Saifman…, Agent, Wellington, FL
Thu Mar 8, 2012
Commission rates depend upon the area in which you are selling, as well as, whether the property is Residential, Commercial or Vacant Land. Although there are no "Standard" commission rates most residential sales in the South Florida area are currently working at 6% of the purchase price, shared equally between the Listing Broker and Selling Broker.

Hope this helps.
If you have any other questions or need help buying or selling, please do not hesitate to contact me directly.

Beth Saifman
Keller Williams Realty Wellington
561-254-5875
BethSaifman@aol.com
0 votes
Ryan Jennings, Agent, Wellington, FL
Mon Jul 18, 2011
Commission rates are somewhat standard in our area, but do depend on the property beings sold (such as Vacant Land vs. Single Family Home). Most real estate commission rates in our area is 6% (3% to the listing broker and 3% to the buyer's broker).

Thanks,
Ryan Jennings
Keller Williams Realty
(561) 313-2627
http://www.WPBhomes4sale.com
ryan@WPBhomes4sale.com
Web Reference:  http://www.WPBhomes4sale.com
0 votes
Anna M Brocco, Agent, Williston Park, NY
Thu Apr 7, 2011
Commissions are always negotiable between you and your agent, there are no set standards as it would go against Federal Laws....
http://www.justice.gov/atr/public/div_stats/211491.htm
0 votes
Bill Eckler, Agent, Venice, FL
Thu Apr 7, 2011
The fee for professional services is negotiable but the going rates are in a range of between 5 & 7 percent of the sale price.
0 votes
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