Peter Mohylsky.   Broker -BRIX REALTY, BRIX REALTY -DESTIN (Miramar Beach, Florida )

Spam prevention
Rainmaker
6,614,333
Roy Kelley
Realty Group Referrals - Gaithersburg, MD

Price reductions are usually more effective.

Jun 06, 2016 08:54 PM
Rainmaker
4,123,172
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

No they do not. I tell sellers instead of a bonus to a buyer's agent, why not reduce your price by that amount or offer closing costs by that amount.

Jun 06, 2016 10:29 PM
Rainmaker
762,647
Brenda Mayette
Miranda Real Estate Group, Inc. - Glenville, NY
Getting results w/ knowledge & know-how!

I've always been perplexed by this approach...  A property either works for a buyer or it doesn't.  I'd hate anyone to think I supported their choice because I'D make more $$.    I'd rather see any monies directly benefit the buyer, i.e. a list price reduction or addition of a home warranty.

Jun 06, 2016 09:13 PM
Rainmaker
849,960
Jeff Pearl
RE/MAX Distinctive / LIC in VA - Lovettsville, VA
Full Service Full Time Realtor

No and no.

Jun 06, 2016 08:28 PM
Rainmaker
1,926,309
Anthony Acosta - ALLATLANTACONDOS.COM
Harry Norman, REALTORS® - Atlanta, GA
Associate Broker

Yes and yes.

Jun 06, 2016 11:58 PM
Ambassador
1,377,775
Susan Emo
Sotheby's International Realty Canada - Brokerage - Kingston, ON
Kingston and the 1000 Islands Area

No, I believe this walks the fine line of bribery.  Any incentive needs to be targeted towards the Buyers

ie a price reduction or decorating bonus etc.  The Realtor should not be benefiting.

Jun 06, 2016 11:38 PM
Rainmaker
920,173
Jennifer Mackay
Counts Real Estate Group, Inc. - Panama City, FL
Your Bay County Florida Realtor 850.774.6582

I think it does - greed will rear its ugly head at every opportunity

Jun 06, 2016 10:53 PM
Rainmaker
5,571,934
Barbara Todaro
RE/MAX Executive Realty - Retired - Franklin, MA
Previously Affiliated with The Todaro Team

no...especially not needed in a seller's market....DROP THE PRICE....THE PROPERTY IS OVERPRICED IF IT'S NOT SELLING....AND THAT STANDS IN ANY MARKET.

Jun 06, 2016 10:31 PM
Rainmaker
1,991,558
Lise Howe
Keller Williams Capital Properties - Washington, DC
Assoc. Broker in DC, MD, VA and attorney in DC

no 

Jun 06, 2016 09:31 PM
Rainmaker
634,282
Kathleen Luiten
Resort and Second-Home Specialist - Princeville, HI
Kauai Luxury Ocean Home Sales

No price reduction is more effective.

Jun 13, 2016 06:54 PM
Ambassador
5,414,363
Bob Crane
Woodland Management Service / Woodland Real Estate, EXP - Stevens Point, WI
Forestland Experts! 715-204-9671

Not sure, but it could make you look desperate and make a buyers agent look dishonest to their client.

Jun 07, 2016 09:58 AM
Rainer
45,807
Andy Madrid
Hawaii Coast Realty, LLC - Kailua-Kona, HI
Expertise, Professionalism, and Service

It might increase showings by agents but I dont think it will bring an offer.  As everyone else mentioned, pricing is key.  If there is going to be an incentive, it should be directed towards the buyer.  I have seen where a property was priced correctly but high HOA fees detered buyers so the seller offered to pay HOA fees for the first year.

Jun 07, 2016 06:08 AM
Rainmaker
5,592,217
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

Peter,

I have seen them work...each market is radically different.  A

Jun 07, 2016 04:19 AM
Rainmaker
1,387,828
Ryan Huggins - Thousand Oaks, CA
https://HugginsHomes.com - Thousand Oaks, CA
Residential Real Estate and Investment Properties

Smells of desperation to me.

Jun 07, 2016 03:52 AM
Ambassador
3,058,472
Kathleen Daniels, Probate & Trust Specialist
KD Realty - 408.972.1822 - San Jose, CA
Probate Real Estate

We do not need bonuses in my market. Generally, it feels desperate to me. 

Jun 07, 2016 03:00 AM
Rainmaker
796,132
Susan Laxson CRS
Premier Sotheby's International Realty - Naples, FL
The Michelle Thomas Team

Yes, they probably help some agents focus on that listing, if there are several like them. I like the program here in Naples that the new home builders are offering and that is to pay the agents their commission once the contract is signed.  Surprisingly the best part of the offer is that the agent gets to keep the commission, even if the sale is cancelled.

Jun 07, 2016 12:54 AM
Rainmaker
822,252
Olga Simoncelli
Veritas Prime, LLC dba Veritas Prime Real Estate - New Fairfield, CT
CONSULTANT, Real Estate Services & Risk Management

No, the buyers just discount the price by similar amounts.

Jun 07, 2016 12:50 AM
Rainmaker
1,459,827
Michael Setunsky
Woodbridge, VA
Your Commercial Real Estate Link to Northern VA

Peter Mohylsky It might increase activity, but in the end the buyer always makes the final decision.

Jun 06, 2016 11:33 PM
Rainmaker
2,642,412
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

I dont like it. It indicates that money is driving the deal not value

Jun 06, 2016 11:32 PM
Rainmaker
4,047,526
Richard Weeks
Dallas, TX
REALTOR®, Broker

No.  Lower the price.  Win/Win for seller and buyer.

Jun 06, 2016 11:24 PM
Rainmaker
4,103,700
Michael Jacobs
Pasadena, CA
Los Angeles Pasadena 818.516.4393

No.

No. 

The right price matters.   

Jun 06, 2016 11:04 PM
Rainmaker
1,640,286
Sandy Padula and Norm Padula, JD, GRI
HomeSmart Realty West - Carlsbad, CA
Presence, Persistence & Perseverance

Not at all, since it is the buyer that pulls the trigger, not us as their agents.

Jun 06, 2016 11:02 PM
Rainmaker
1,405,049
Raymond E. Camp
Ontario, NY
Licensed Real Estate Salesperson Greater Rochester

As other's have already said the price is the obstacle so lower the price!

Jun 06, 2016 11:02 PM
Rainmaker
1,232,877
Thomas J. Nelson, REALTOR ® e-Pro CRS RCS-D Vets
Big Block Realty 858.232.8722 - La Jolla, CA
& Host of Postcards From Success Podcast

I have not used them, I've been offered them but the house has to work for my client. I do think human nature makes them an effective, often less expensive strategy to the price reduction, but at the end of the day over priced is overpriced.

Jun 06, 2016 10:59 PM
Rainmaker
4,215,187
Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

Not a fan! Usually has the taint of a bribe!

Jun 06, 2016 10:52 PM
Rainmaker
1,231,599
Mary Yonkers
Alan Kells School of Real Estate/Howard Hanna Real Estate - Erie, PA
Erie/PA Real Estate Instructor

No, no. Reduce the price!

Jun 06, 2016 10:50 PM
Rainmaker
3,069,984
Tony and Suzanne Marriott, Associate Brokers
Serving the Greater Phoenix and Scottsdale Metropolitan Area - Scottsdale, AZ
Haven Express @ Keller Williams Arizona Realty

We don't do it - because - we don't think it's a good idea.

Where does it end?

Bonus to appraiser for appraising to contract price?

Bonus to inspector for not finding any problems?

Jun 06, 2016 10:36 PM
Rainmaker
1,738,733
Carol Williams
Although I'm retired, I love sharing my knowledge and learning from other real estate industry professionals. - Wenatchee, WA
Retired Agent / Broker / Property Manager

Yes, I believe it can stimulate activity.  I worked in a market where discounting commissions was quite common.  A bonus was certainly an attractive incentive.  I would never show a house just because of the bonus, though.  It still needed to fit the buyers criteria.  

Jun 06, 2016 10:24 PM
Rainmaker
3,331,943
Scott Godzyk
Godzyk Real Estate Services - Manchester, NH
One of the Manchester NH's area Leading Agents

No, it is either priced right or no one looks at at it despite how much of a bonus they want to offer. 

Jun 06, 2016 10:16 PM
Rainmaker
889,337
Annette Lawrence , Palm Harbor, FL 727-420-4041
ReMax Realtec Group - Palm Harbor, FL
Making FLORIDA Real Estate EZ

A bonus to agent HAS been instrumental in several sales. The effectiveness of such offers are directly related to the listing agents willingness to directly communicate the bonus to the showing agent.

Most often, the bonus is reassigned to buyer incentive within 30 days.

Jun 06, 2016 10:13 PM
Rainmaker
1,157,485
FN LN
Toronto, ON

I have never studied this issue but it might in certain circumstances.  It is the seller's decision regarding whether a bonus should be provided.  There are other more effective ways to generate activity.

Jun 06, 2016 08:44 PM