During years of record home prices and record home sales, as was a few years ago, the real estate climate can create an atmosphere where so called discount brokers make false and misleading claims, detrimental to the home sellers’ interests.
After using the slogans like “Pay high commissions? Or pay less and get more”, discount brokers are luring sellers into listing with their companies without understanding the consequences.
When a broker secures a listing, the broker and homeowner agree on a commission to be split between the listing company and the buyers agent. Under most discount brokers commission structures, they have passed the entire commission reduction on to the buyers agent, keeping the higher percentage for themselves.
The buyers’ agent plays a crucial role in the sale of a home. Although the listing agency is responsible for all the advertising, signage, and other promotions associated with selling the property, it is the buyers agent who brings in the qualified buyer. Buyers agents will naturally focus their efforts by showing homes offering more generous commission splits. Over 87% of buyers rely on real estate agents as their primary resource to find a home. Homes which are shown more often, sell faster and for higher prices.
Crossroads understands that to market a home successfully for our clients, we must work effectively with the entire real estate community.
After using the slogans like “Pay high commissions? Or pay less and get more”, discount brokers are luring sellers into listing with their companies without understanding the consequences.
When a broker secures a listing, the broker and homeowner agree on a commission to be split between the listing company and the buyers agent. Under most discount brokers commission structures, they have passed the entire commission reduction on to the buyers agent, keeping the higher percentage for themselves.
The buyers’ agent plays a crucial role in the sale of a home. Although the listing agency is responsible for all the advertising, signage, and other promotions associated with selling the property, it is the buyers agent who brings in the qualified buyer. Buyers agents will naturally focus their efforts by showing homes offering more generous commission splits. Over 87% of buyers rely on real estate agents as their primary resource to find a home. Homes which are shown more often, sell faster and for higher prices.
Crossroads understands that to market a home successfully for our clients, we must work effectively with the entire real estate community.
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