Hi all!!! I need a little advice. I received my first REO listing from SS Properties. In their listing agreement, there is a clause for me to pay them $250 or 1% of the sales price for a property management fee. Is this usual/customary????

Hi Grant Congrats!! I am new to this industry but from what it seems from reading the posts here most asset management companies take a fee for giving you the listing. You may be able to negotiate or maybe not. Hopefully someone here will know what is standard for SS.

Good Luck with the listing...hopefully it leads to many more.

That is a referral fee back to them. $250 is the minimum if it is low priced house (think $20,000 house), otherwise it is fairly standard to pay a referral fee back to the AM Company that ranges from 20% to 35% of your commission. So in essence you get 2% less your broker's splits. As for SS, I believe that is there standard referral fee.

Yes that is their standard referral fee