Real Estate Commission Monopoly?
Have you ever wondered why it seems that every Realtor charges 6% or 7% commission? Is it a monopoly?
Technically, no it is not a monopoly. According to a listing contract a compensation amount is agreed to between the seller and the listing agent.
But then why does it seem that every agent wants so much?
Much of it is tradition. Over the years people have come to accept those amounts to be charged. This can come to a high dollar amount that is usually split between the listing agent and the buyers agent. It is advantageous for a listing agent to share their commission with a co-operating agent. This widens the marketplace of potential buyers.
Just as if you wanted to sell your boat. Rather than you knocking on every door in your neighborhood to find a buyer for your boat - it is much easier to list your boat for sale on a forum that allows maximum views from the widest possible audience.
Who gets a that 6% commission?
Did you know that 6% commission of a $300,000 home is $18,000?!
For most Indy agents, a portion of their commissions goes to their company. The company has overhead such as office buildings, marketing, executive salaries and a portion goes to their national headquarters.
How does that help you?
The reality is that a vast majority of the value of your agent is the agent themselves. Not their fancy offices, not the executive pensions at the corporate office and not the hot air balloons used to advertise the company. What if you could just pay for your agent without all the other stuff?
Many real estate companies still do business the same way they did 30 years ago. With the advent of the Internet, information and online tools you now have more access than ever before.
Here at Green Pocket Realty we have cut out the bureaucracy and overhead so that agents are compensated fairly without the overhead that has little to no significance to the home seller.
After all, what do you REALLY need to sell your home?
Here is our answer...
A highly effective Realtor who knows how to sell homes including the intricacies of law, paperwork, disclosures and negotiation require that you have a TRAINED PROFESSIONAL working on your behalf.
Strong MLS presence + simulcast to all the major home internet sites such as Zillow, Trulia and Realtor.com.
An agent willing to share their commissions with co-operating agents to bring a a buyer.
The best photography and marketing available to promote your home. Did you know that many agents take pictures with their cell phones? Proper real estate photography requires proper equipment to make your home look its best. A cell phone, as great as they are in many areas, simply cannot do the job of a pro.
High tech systems that maximize efficiency and make selling your home easy and painless.
Now you know. Don't throw away your hard earned money on over-priced agents.
Call us today for a free home estimate including a NET sheet showing what you will keep at closing!