Those considering real estate as a career need to help clients get value for the commissions they pay. The article referenced in this raises some interesting points. Including:
There is virtually no situation in which you will end up paying just 1 per cent to sell your home – with one exception. That would be if you were to list with a discount brokerage that offered 1 per cent or flat-fee service and they were able to secure a buyer. They would thus be representing both buyer and seller in the transaction, a situation known as multiple representation, or “double-ending” in the real-estate world.
In most cases with a discount brokerage, you would be paying the listing brokerage 1 per cent plus an additional 2.5 per cent to the co-operating broker or “buyer’s agent” if listing on the Multiple Listing Service (MLS).
- Private sale: Homeowners ditch brokers (money.cnn.com)
- Public perception of real estate agents in Toronto (realestateprep.wordpress.com)
- Why Should I Use A Real Estate Agent? (isell4ublog.com)
- 5 Questions to Ask Your Real Estate Broker Up Front (fool.com)