Hello:

I'm a bit concerned that my house has been on the market for 6 weeks with only 2 showings. Here are some details:

2 yr old home, new subdivision, 3100 sf
Located in central NJ
8 other models with same floorplan on market
Priced right in middle of all 8
Went with flat fee MLS listing agent
Offering 3% to buyer's agent who brings buyer

A week after the listing went live, I got 2 calls from realtors, only one of which showed the place. The remainder of visitors have been from our own open houses we've held. Also 3 of the signs we purchased from the Flat fee agency were ripped off. We asked a friend of ours in the neighborhood who is also selling (has the exact same floorplan BTW) with a full service realtor. He said he's had at least 20 showings in the last 3 weeks.

The question is this: Considering that there are 8 other houses with the exact floorplan in our subdivision, would you as an agent purposely AVOID showing a home that is flat-fee listed??

Why would local buyer's agents do this, even though we are offering a full 3% commission?

Who is the contact for showings that will tell me if I am going to show it. If I have to contact the owner for showings and present the offer to the owner I may become an undisclosed dual agent. I would present the property to my client and let them know the sellers may ask me, thier agent, for information to help them negotiate and are they comfortable with that?

Minimum service laws just were passed in Ohio. When they go into effect we won't have to worry about that any more! If an agent lists the property on the MLS they have to accept the offer and answer questions from thier client.

As you have indicated, several other properties are listed in your area. These are probably far easier for agents to show and far easier to have a fluid contract process. You are basically a FSBO and although you feel 3% is good... All agent Know they will have to do both sided of the work since you probably have no idea what is required or how to do it.

Will agents avoid your property? YES... it is far simpler to show the others with far less potential for problems. The only way your property will be shown is if a client request it because they may see it on the drive to one of the other properties... if they want to schedule another showing and if they don't find another property before then.

You get what you pay for and you made a bad choice. Your property will probably go "Stale" on the market and buyers will wonder what the problem is with it... resulting in far lower offers and longer marketing time. ALSO Just having it in the MLS isn't anything like having a marketing program... that is just one small part of what an agent does with a listing.

No not for the reason you are asking. Its either what my clients wants or its not.

Here is what I would recomend. Have a CMA done on your area. What has properties actually sold for. Just becuase you are listing in the middle of the pack does not mean you are priced right. Look at more what has sold and if your MLS shows as contract pending. That will tell you what buyers in todays date and time are actually placeing offers on. That is where you want to be priced. For get the actives. You want to be priced where buyers are actually placing offers on. Also how does your MLS listing compare to those that are contract pending. It may not be the commission but what you have in the discriptions may be turning the buyers in another direction. In other words find out what the buyers are looking at and are being attracted to. Zero in on that.

OK realty check is dead on here with is post,i see alot of times in this forum people telling people what they want to hear.The truth is you will hear agents and other people act high and mighty and say "i do what's best for my client".

The reality is most agents won't show mls flat fee listings here is why:

1.There is a high chance as stated above all contracts and negotiations go through the homeowner,so in effect i am only getting 1.5 to do both sides for a total of 3.Most flat fee'rs try to sign up as many properties as possible but when you need them they are knowwhere to be found.

2.I actually know some people who intentionally don't do anything after flat fee mls hoping the homeowner will upgrade to there 6 or 7 percent package or they sell the lead off to a regualr brokerage for a 25 percent refferal fee.Think about it what makes since a flat feer getting 500 or 100 from you and working there tale off to sell it?Or collect the fee and do nothing hoping to refer it off and get a big chunk of money.

I fully agree with Realty Check. I would show the home if the buyer really loved it but of course my first choice would be the one fully represented by an agent.Why take on the liability of dual agent when you don't have to?

With an agent representing you, you can get feedback on showings. Maybe your house is priced in the middle, but some of the other homes are overpriced. Have you viewed the other homes to see how yours compares? Maybe the price and condition don't match what buyers are willing to pay.

If your home was priced right, even if it was flat fee, you'd have a buyer.

Why and how would you be liable for dual agency in a flat fee listing? There's already a listing agent involved.

If a seller wants me to sell his flat fee house I'll do but only if he agrees to his side of the work. If he wants me to do anything for him
he'll have to up his selling side commission. Even then I will disclose to my buyer the activities I will be performing.

You'd be liable for dual agent if the seller tries to sue the flat fee broker, but they can say they didn't provide the data or advice that we did. Some flat fee listings just forward contracts and don't really provide advice, so sellers naturally ask the buyer's agent. When they do, this puts the buyer's agent at risk if they're trying to be helpful or expedite the process.

In Texas, we passed minimum service laws that the discount brokers made a big deal out of, but all it does it require them to represent their client by answering questions, helping with negotiations, explaining the contract, and passing documents to the client.

You are more likely to face a dual agency situation by holding an open houses than flat fee listing. Stop making excuses people just show the house and find a way to get paid.

Not really.

When I see a Flat fee MLS or anything similar I just provide a no-representation notice and that I represent the buyer. The seller is then free to seek legal council. When seller questions me about that I just explain that since they put their home in the MLS with that type of listing that’s the risk they take. And that common sense will tell you that I would be bringing in a buyer that I would be representing. They are getting what they pay for. I say that nicely of course.

I was not making any excuses at all just honestly answering the original question. I have been paid very well and am very conscientious. I would end up taking on the risk of dual agency if the listing agent was not fully representing the seller because I believe in doing a thorough job.
If there is no agent helping on the listing side as in flat fee, MLS listing only, I would be the one to assume responsibiltiy for the seller to make sure all required disclosures are completed etc. Just the way I am.
As I said in my original post I would show the listing but I think if we are all totally honest we show the ones that have full representation first or expect to get paid 5 or 6% for doing all the work.

I'd still say that the house is going to sell if it's worth it. In my market, agents have no issues with flat fee listings or unrepresented sellers if the house is at a good price. Some investors take advantage of the fact that the seller doesn't really have someone working on their side, but most agents try to be fair.

Maybe you can get feedback from a local broker on the price and condition in comparison to other homes.

So if this house is what your clients are looking for and there were also 4 other houses that fit the bill, let me guess you would hold off on this one until number 5 or not show at all hoping that they would take one of the previous 4?
Wow, ethics goes a long way!!!

Ah but my man Jason if you have five homes that truely fit the bill for the buyer in that the only difference is the commission offered then really all things are not equal. If as you say all five are equal then the agent does have the right to show the homes in any order they want and if the buyer likes and makes an offer on the first one then so be it. An agent has the right to earn what ever they want. For the other four as you say are exactly want the buyer wants. What does ethics have to do with that. That is really low of you to cry ethics over it. Simply put if you have several homes all the same then the agent does have a right to push the one they make the most on. Now if the homes are diffenerent then that is a whole nother story. But please if as you say the homes are the same thats not ethics. Thats actually against the law for any one to dictact what an agent can earn.