3,071,489
Armen Hareyan Since there is no "customary" commission rate (per DOJ), it follows that there cannot be a "lower than customary" commission rate. That said, regardless of total commission (which is unknown to anyone other than the Seller and the Listing Broker until closing docs are seen by the Buyer) the offered co-broke is not visible to the Buyer when they are reviewing listings and deciding what to put on their list of properties to see. If "all area agents" viewed the offered co-broke as "lower", why would that "attract" them to the listing?
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Ryan Huggins - Thousan...
Thousand Oaks, CA
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Eric McLellan
Frederick, MD
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Susan Emo
Kingston, ON
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Raymond E. Camp
Ontario, NY
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Tony and Suzanne Marri...
Scottsdale, AZ
1,728,556
No; such a listing would receive negative attention.
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Chris and Dick Dovorany
Naples, FL
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John McCormack, CRS
Albuquerque, NM
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Roy Kelley
Gaithersburg, MD
921,504
"Lower than customary ....to attract attention from all area agents?"
No.
Experience has shown this is a good proctice if you want the real estate to "go black' and essentially become invisiable except to those trolling the dark side.
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Jeanne Feenick
Basking Ridge, NJ
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Roy Kelley
Gaithersburg, MD
699,277
Never and I won't show those properties either.
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John McCormack, CRS
Albuquerque, NM
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Roy Kelley
Gaithersburg, MD
1,554,237
Yes, I saw this on a Seinfeld once, it was called the Bizzaro World episode, where everything was opposite.
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Tony and Suzanne Marri...
Scottsdale, AZ
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Roy Kelley
Gaithersburg, MD
3,340,443
Lower than ? We have seen it higher than....but don't use this a a way to market properties.
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Roy Kelley
Gaithersburg, MD
1,847,471
Lower is a bad all around idea as it puts your seller at a disadvantage. Might put YOUR pocketbook at an advantage. Above scenario screams 'where's the agents value potential?' Can't sell yourself to the seller on what you can do.
I just listed an expired listing where this exactly happened & the agent did NOT point out to the seller that paying that percentage would give them no showings.
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Roy Kelley
Gaithersburg, MD
913,818
I've done it, but not to attract all area agents. I've done it because the sellers were at break even, had no money to bring to settlement, and we wanted to avoid short sale and keep price as low as possible to attract buyers. It's rare to see a 4 - 2 split.
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Roy Kelley
Gaithersburg, MD
5,583,328
that's not to attract agents....that's to get the listing.... most agents won't like the 2% cobroke fee... but will show it anyway....
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Roy Kelley
Gaithersburg, MD
6,422,434
2,378,738
there is no customary commission - and no - that attention would all be negative and sometimes even hostile.
1,506,613
How would the other agents even know what commission you listed it at? The total commission is only ever on the listing contract (at least in my part of California).
4,319,773
Armen Hareyan I would rather prefer to go up in co-broke compensation, if possible.
By offering lower than customary commision rate, we can attract the attention, however, the results may not be desirable.
902,238
The common thinking is that this sort of structure would rather deter other agents...
3,986,308
1,731,203
It's a negative in my opinion ....I just recently posted this same question ....only stated higher than customary ...
2,487,222
1,664,536
I have listed for less on my end but the buyers Broker always gets the regular cut.
5,879,035
115,432
This strategy may well get the attention of other agents but not in a positive way in my opinion. No, I would not do it, nor have I.
7,869,279
In our market, a 50/50 split on the commission is customary for residential sales. Deviatation does attract attention but something lower than expectations may not result in a showing by some agents.
1,466,257