BREAKING NEWS
New Rules of Options to pay Real Estate Agents went into effect August 17, 2024
BUYERS
CAN CHOOSE IF THEY WANT TO USE, AND PAY, AN AGENT TO BUY A LISTED HOME OR NOT -BUT ARE NOT REQUIRED TO DO SO- BETTER AND LESS EXPENSIVE OPTIONS EXIST
SELLERS
NO LONGER HAVE TO PRESET AN AMOUNT TO PAY A BUYER’S AGENT IF THEY LIST THEIR PROPERTY FOR SALE
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As of September 6, Fed-funds futures traders now see a slightly better than 50-50 chance the Federal Reserve will cut its key interest rate by 50 basis points, or half a percentage point, at its Sept. 17-18 meeting.
Keith L. Eliou, Esq., CFP, RIA, MBA
- Financial & Retirement Planning
-Mortgages & Real Estate
-Elder Law & Estate Planning
-Asset Protection Planning
-Medicare & Retirement Planning
-Disability and Income Protection
- Life Insurance
- 529s and Education Planning
This is among the most common reasons we are given for why a seller picks a particular agent. Consider this, if the person is such a good friend, then what discount are you getting from the tens of thousands of dollars that you are about to spend? Are they charging you the same rate as non-friends? Our advice, if they are good friends, pick a less expensive option and get all of the services that you need, and then you can take the thousands and thousands you save and pay for part of one of their kid’s weddings (obviously we are making a point here).
Before you commit to paying tens of thousands of dollars to sell your home with the traditional commission-based model, consider options. This isn’t brain surgery. This isn’t rocket science. Look for the low hanging fruit. You can always stop and then hire an agent who charges the full traditional commission.
By investing a few hours in research (or paying for a one hour consultation with us), you can uncover lots of options that will provide you will the services that you want and save thousands in the process. Probably having a better overall experience by engaging experts in the areas involved rather than working through a generalist, real estate agent, of unknown in-depth qualifications.
You agree to pay a 5% commission on a $500,000 home or $25,000 dollars.
The agent lists the house on Sunday and it sells by Saturday, at or close to the full asking price (maybe even by the same agent or an agent in the same company, which is a whole other issue).
Versus
Versus
4. One step further, you could next advertise your home in the local MULTIPLE LISTING SERVICE, for a FLAT FEE of $300-$400 dollars. Yep, it’s the same MLS that the agent would use