I know it's worked well for our company. Ever since fiveostang posted
HERE back in March about increasing the selling commission & not being greedy, I've seen a jump in showing frequency AND sales. It's also become a good tool to discuss with sellers.
It's all in how you present the technique to sellers. Listings with a higher selling commission are among the top of the showing list. This article is spot on!
Realtor says raising her commission pays off Real Estate Articles from Inman News
Realtor says raising her commission pays off
Surviving in a slow market
Monday, June 11, 2007
By Robert J. Bruss
Inman News
Editor's note: Robert Bruss is temporarily away. The following column from Bruss' "Best of" collection first appeared Sunday, July 16, 2006.
DEAR BOB: As a Realtor, I want to thank you for your recent item about the drawbacks of cutting home sales commissions below the customary rate in the community. My specialty is listings. I find working with buyers is much less productive (although I make exceptions for good referrals). I've been selling homes for 14 years and will "negotiate" the sales commission on expensive homes to remain competitive. However, I tactfully tell my sellers if I reduce my commission to 4 percent or 5 percent, the buyer's agents will show my listings last only after showing the full-commission listings. Whether it's ethical or not, that's what happens. You might enjoy knowing about a recent full-commission, well-priced listing I had, which didn't get even one offer after 60 days on the market. It's a beautiful older home but on a very busy street. I suggested my seller raise the commission from 6 percent to 7 percent, with 4 percent to the buyer's agent. She agreed. I held a well-publicized MLS (multiple listing service) "broker's tour" with a deli lunch and got 125 local agents to re-tour the house. Within the week, the house sold for nearly the full asking price. Raising the sales commission can sell a house in a slowing market --Sharon R.
DEAR SHARON: Thank you for your insights based on longtime sales experience. Too many home sellers focus on the sales commission, thinking they are saving money if they cut the rate.
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