I'm curious to find out what kind of success people have with enticing the buyer agent with 2.7+% rates?

I have heard recommendations from other people that it can really help attract more people.

In your experiences, does this really work?

Is it really worth the extra .3-.6%?

I guess it would depend on what is normal in your market. The typical buyer agent co-op in my area is 3%, so I would say that you have to go over that in order to attract more buyer's agents. I have seen listings advertised with 3.5% in my area as well as selling bonuses. I would guess that they must work some of the time or people would stop doing it.

I think that the MOST attractive thing to a selling agent is a really well priced house--all the extra money won't do a thing if it's overpriced or in poor condition. That said, if you have a motivated seller (perhaps a corp. client who may earn a bonus from his/her company if the house is sold in "x" number of days, or the sellers have an accepted offer in on another property...), a bump-up on the commission is certainly attractive. For me, personally, I'd prefer to see a selling agent bonus of "$xxxx" because in my office all commissions are paid on my split, but bonuses are paid, without split, to the selling agent.

It should be more about what the buyer's needs than the commission amount.

C'mon guys, let's be realistic.

Lets assume the following:
You have a buyer that wants to look at homes. he has time to look at four, and wants to buy. There six homes that fit the criterea. They are offering the following co-ops to the buying agent:
3.0% , 3.25%, 2.75% , 3.75% , 2.5%, and 3.5%.

Now, honestly, which ones would you try to show him?
(which one would you try to get him to buy?

Now remember, you have just depleted a lot of your savings earlier this month paying Uncle Sam his rightful dues. And the graduation gift for the kid is just around the corner, and Mother's Day, etc. etc.

KJ-
In my ever so humble experiences over the past 30 years in the business, I have discovered repeatedly time and time again, that, if you can offer "above market rate" to the cooperating broker, that the property will generally sell faster.

I had an agent tell me that he would not write on my listing, if my seller did not increase the commission for the sellling side, which would have resulted in a decrease in my commission. I talked with my clients and they said absolutely not. I was doing an excellent job and my commission rate would not be cut to accommodate the other agent. My listing still sold in about 24 hours after going on the market, even with the lower commission.

ABrown,
I would have asked for the agent to put that in writing before presenting it to my seller. Then I would have presented it to my local board along with an ethics violation complaint form. If the agent would like to ask his buyer to make up the difference, then fine. But to make writing the offer contigent on raising his commission, well, that I have serious issues with. I hope his buyers knew his position and dropped him like a hot rock.

Kudos to you for doing such a great job that your sellers stood behind you!!

An associate in my office had an experience just like that last week. She had a listing offered at 2% to the selling office and the home is priced at $450,000. Before an agent made an offer she wanted the commission increased to 3%. She eventually submitted the offer and took 2%.


Mike
www.liveinvisalia.com

The preferred method to increase Buyers agent showing and offers is to offer a Bonus rather than the increased Commission. Brokers often don't like it but agent love it. In most cases the Bonus goes to the agent with out brokers taking a split.

That way a seller can get far better showing result at a cost far less than if the commission were increased to place the same incentive for buyers agents to place the property on their showing list.

A Bonus will generally result in faster and higher sales result.... but they must be real....

Some false offers are for bonus with full list price or no bonus....

To be effective the bonus must be for any offer Accepted by the Seller.

Otherwise, you have shot yourself in the foot and no one will even look at your future offers of bonuses... agents talk and being ripped off is one thing we all talk about.