Real estate commission rates can be a huge cost in selling your home. The average real estate commission percentage is 6%. The listing and buyersreal estate agent commission split is usually 3% each.
Low commission real estate agents are beginning to show up everywhere. Their are agents offering to sell homes for 1% now. How much more more would you make on the sell of your house if you got to keep 3-5% more of the selling price?
Benefits of using a low commission Realtor
Realtors take licensing courses in order to obtain the qualifications for selling real estate. And Realtors keep up with market trends and latest laws by taking continuing education courses to improve their knowledge on a wide range of real estate related issues. They do this to prevent problems in transactions and in order to be able to provide consumers with current local real estate prices to provided the best pricing recommendations. There are commonly five options for homeowners when they reach the point of selling their houses.
1 They get the best selling price for your home:
2. They can use a typical 5-6% commission realtors
3. They can use a discount MLS listing with limited services
4. They can get use a full service flat fee broker
5. They can get a 1% commission Real Estate Listing Agreement
While some of homeowners choose to try and sell their homes without any help to save on commissions, or they use the common 6% realtors to have a professional handle everything, the more reasonable choice is the low commission realtor with a 1% listing agreement. In recent years homeowners have used low commission agents that have started showing up in recent times.
Here are some of the advantages of using a low commission realtor vs. FSBO and 6% Agents:
They get the best selling price for your home:
1% Realtors have their fingers on the beat of the current real estate market and will know what similar properties in your area are selling for. They have the assets and knowledge to get the best asking price and attract multiple offers. With access to their brokers MLS and professional marketing channels, their agency relationships will ensure potential buyers are immediately made aware of your home is for sell and available.
They ask for a smaller percentage of the selling price:
The single most noticeable advantage of choosing a 1% commission real estate agent, and reason most people chose to go with a 1 percent realtor is the price they charge as compared to the typical 6% realtors. 1% realtors typically request for a 1 percent commission for sellers and buyers agent. 1% sellers and 1% buyers for 2% of the total sales price of the house. So for example,with a home that sold for around $500,000, they would ask for $10,000. When compared to the typical 6% which would total $30,000, that?s a lot of equity to keep in your pocket, and this is why a majority of people turn to low commission realtors when they learn that is an option for selling their homes.
They do this all the time and know things you don’t:
It is basic to remember that 1% realtors are still licensed realtors,which means they will still have a much more better understanding of the real estate selling process, and how to operate within it better than the average homeowner. A low commission realtor will give you the advantage of having a expert to manage all the legal paperwork and sales process for you.
They will Sell your house faster:
Keep in mind that homes sold through realtors, as well as low commission realtors, tend to sell quicker than homes that are sold by FSBO,which is again likely due to the added experience held by those who work in this industry on a daily basis. And 1% are often likely to pre-screen your potential buyers to make sure they will be able to buy your home, which can save you time and money in the sales process.