9 Tricks to Save Cash on Realtor Commissions

1.     Negotiate

Before choosing someone to list the home, each home seller should interview at least three real estate agents. Do not be afraid to ask for a discount on the commission as part of the interview process. While the reduced commission will be agreed by some sales agents, others will not. Much depends on your home's price range and how fast and easy the agent thinks it's going to sell. The more you know about your own market, the easier the job of the agent will be to price your home. A Los Angeles Times article recommends that your home be "pre-staged" to make an agent more eager to list it, and thus maybe more willing to reduce the commission.

2.     Choose a real estate agent with a reduced fee

Several real estate discount brokerages have been opening in recent years. They charge sellers reduced fees while keeping the buyer's agent commission at the standard market rate, saving about 25 percent of the seller's total commission fees. Actual fees vary depending on market conditions, but these companies and other discount brokerages can save thousands of dollars in fees while providing their customers with full services.

3.     Flat-fee listings

While some homeowners want to sell their home alone and are confident that they can handle home showing and negotiating with potential buyers, they may be concerned about marketing their home to buyers and real estate agents. Flat-fee listing services enable homeowners to use Realtors to place their property in the Multiple Listing Service (MLS). Listing the home on the MLS exposes the home to real estate agents working with buyers who may be interested in the property, and usually includes placing the home on real estate websites that potential buyers visit. Other than a few hundred dollars ' fee, the sellers would pay the buyer's agent's commission only.

4.     For Sale by Owner

Homeowners can also choose to completely sell their home on their own, creating their own marketing materials, advertising, displaying home conditions, and negotiating conditions. There is a wide range of services available to FSBO sellers, including MLS listings for flat fees, advice access to real estate agents, and FSBO listing websites, all at different fees. If the buyer works with a real estate agent, the seller may negotiate the terms of the sale, but the buyer's agent commission will generally have to be paid

5.     Dual Agency Sales

Dual agency refers to a scenario where both the buyer and the seller are represented by the same real estate agent. Dual agency is illegal in some states; in others, agents have to reveal this relationship to both parties. If your listing agent works with buyers and sells your home to someone with whom he already works, this might be an opportunity to ask for a discounted commission as this one agent earns the entire commission. But be careful to encourage a dual agency situation, because the real estate agent may find it difficult to represent the interests of both buyers and sellers fairly.

6.     Keep looking

If you are looking for a real estate agent, keep an open mind and be sure to interview a number of prospective agents before signing up with anyone. Prepare some questions to help inform your decision on which agent to choose before you meet with any agents. If the agent has a proven record of fast sales, then you may decide to pay a higher commission rate. Keep in mind, however, that if the demand for houses is high where you live, then most Realtors in the area will have a proven record of fast sales.

7.     Ask what you are getting in return

Ask how a higher commission is justified by the agent and what other, less expensive agents are not doing. Why are you going to pay more for their services? It may cost more advertising for the wealthy in publications and websites for luxury home sales, or the agent may have more contacts than a cheaper agent does.

8.     Hold out for a higher selling price

This tactic may not help you negotiate with your agent on a lower sales commission, but it will at least help you pay for their services without subtracting their fee from your request price. If, within the first week, a buyer offers on your home near the asking price, the impulse is to take the offer. But as the experts have pointed out so well, the 100 commission real estate Florida agent has more to gain by quickly selling your home than by waiting an extra week for a $10,000 higher offer that meets your request price.

9.     Look for alternatives

By selling services individually or for a flat fee to get your home on the MLS, many companies offer alternatives to traditional real estate agents in miami. However, some agents were known to go out of their way in order to avoid showing those houses. Or sell your own home and hire an attorney to do the paperwork. You will both save thousands of dollars by not paying commissions if you find a buyer who will still meet your asking price.