Real Esate Agent....

[Instrument 41]

My house has been on the market for 5 months. 5 bed 3 bath 3400sq ft 2 acres, listed for 300K. Had a number of showings two really good open houses. Finally got an offer, $260. My agent called and said that he didn't want to not respond but offer a counter just to get some communication going. I countered with $295. He called me last night and the jest of the conversation went like so;" Hey heard back from the potential buyer and she countered with $285 and that she really couldn't afford to go much higher". I asked him where he thought her top dollar would be. He said I think about $290 but I'm not really sure. I told him that we had our bottom dollar and reminded him of our past conversation that he could definitely sell it at or very close to listing price. He responded with"'well you and your wife discuss it and get back with me on what you can do, regarding price". I said that by the time we pay your commissions it would not leave much for us. He says "well we(his office) have been talking and we can work on our commission amount, just so that everyone can be happy and you an sell your house".

My bottom figure, after commission is $283. How should I approach him with this info? Or for those in this industry have you ever diminished your commission to get a sell??

[Rick V]

When we sold our last house and bought this one (already contracted) the offer was a few quid short of our bottom dollar, same situation as yours. Our agent cut his fee so that the deal would go through. He did however have both houses listed so he still made a frigging killing on both sales.
Just be open with your agent and see what they offer you. The worst thing they can do is say no.

[stomachmonkey]

Your contract with the realtor is for how long? If you are getting close to the end they will be motivated to close the deal rather than risk losing it, contract ending and you sign with someone else which means they got nothing for their effort.

[Eric Coffey]

Originally Posted by Instrument 41

My bottom figure, after commission is $283. How should I approach him with this info?

What is your listing agreement percentage (total)? Assuming a 6% commission, your bottom-line net figure ($283k) is $1000 more than you would net even if you got a full-price offer of $300k. Even then, you will typically net even less when factoring in closing costs.

If you agreed to a discounted listing fee to begin with and your agent is offering a commission co-broke that is well below industry standard, your property will be overlooked by buyer's agents. Obviously that isn't how it is supposed to work, but that is the harsh reality of the situation.

If you find an agent willing to discount the listing, I would want them to discount his/her side only, and not the buyer's commission side. In other words, if you agree to a 5% listing (as opposed to 6%), stipulate that they take 2% and offer 3% to the buyer-broker.

That said, if the house has sat on the market for 5 months than you are likely overpriced (or severely under-marketed). Good luck!

[dennis in se pa]

Both agents can take a slight commission % hit on a $300K house to close the deal.

[Instrument 41]

Contract is for 6 month at 5%. He just left a VM asking if we had come to a number because the potential buyer is really bugging her agent about a response from us. Knowing this, will making her wait a bit longer help or hurt. I do know that this woman has looked at the house 3 separate times and the last time she was here for 2 hours.

[Instrument 41]

The only thing we are paying for is a warranty, no closing cost

[notfarnow]

Originally Posted by Eric Coffey

If you find an agent willing to discount the listing, I would want them to discount his/her side only, and not the buyer's commission side. In other words, if you agree to a 5% listing (as opposed to 6%), stipulate that they take 2% and offer 3% to the buyer-broker.

Bingo. I have done that. A strong selling commission can make a big difference in a market with a LOT of listings and starving agents. I just upped the selling commission to 4% on a home the other day, sold it in 4 days at almost full price.

Originally Posted by dennis in se pa

Both agents can take a slight commission % hit on a $300K house to close the deal.

Not necessarily. Just recently I had a buyer in the 450-500k range, and when we were negotiating the deal the selling agent asked me to swallow 2k in commission. I politely declined, and said I could bring my buyer elsewhere... there's lots of listings out there including mine, so I wasn't going to give up any commission. The selling agent had to swallow it on her own.

On the flipside, I've had to swallow commission when I'm the selling agent, knowing full well that the buying agent isn't going to lose any $$. That's what a buyers market looks like.

Originally Posted by stomachmonkey

Your contract with the realtor is for how long? If you are getting close to the end they will be motivated to close the deal rather than risk losing it, contract ending and you sign with someone else which means they got nothing for their effort.

Not sure of the local RE rules, but 'round here if the house was shown while under contract, the listing agreement (and subsequent fees) extends past expiry if that buyer offers on the home

[ArmbrusterJo]

He did however have both houses listed so he still made a frigging killing on both sales.

[MBAtarga]

We've been going through this as a buyer recently. Our closing is currently scheduled for tomorrow! If the interested party has been to your house for 3 trips - then I'd say she's very interested. You might want to counter with a slightly lower offer - just 1 or 2k less. Have her come up to your price.

[Shuie]

What part of BR? Im currently in P'ville, but shopping BR.

[look 171]

Originally Posted by ArmbrusterJo

He did however have both houses listed so he still made a frigging killing on both sales.

What's a killing? He has other fees and how many of those do you really think he come across in a year.

[Zeke]

Originally Posted by notfarnow

The selling agent had to swallow it on her own.

That would bring her to her knees.

[aigel]

I would counter with 290 with the contingency that your agent needs to chip in half a percent of his commission.

Maybe you do not have to sell, but once the decision is made to sell something, I like to get on with life and a 10k under asking sales price doesn't sound crazy to me in a buyer's market.

That's just my unprofessional $.02

G

[VincentVega]

Dont know your situation, but is a few k worth losing the sale? What if it falls through and the next offer is 270k? After 5 months I would start packing.

Good luck

[Instrument 41]

Well I called my agent. Simply told him I wanted $280000 after his commissions. I decided to not really worry about how much he was making in comm. since he offered. While I was "at it", we have a set of really nice antique cabinets in the washroom that came off the table as a bargaining tool. He responded favorably so we'll see. We were asked about some of the larger antique furniture and an antique law office door I have for my office. We conceded with some of those. But she wanted her laundry cabinets.....

[aigel]

Originally Posted by VincentVega

Dont know your situation, but is a few k worth losing the sale? What if it falls through and the next offer is 270k? After 5 months I would start packing.

I have seen some downward spiral hardheadedness during the downturn where folks didn't sell the house for "too low" an offer. 6 months later they would have killed for that same offer but repeated their mistake a couple of times until they were under water and stuck in the house for good.

G

[Instrument 41]

Yes I do know what you are talking about. I was one of those hard heads a few years back. I did a ground up restoration on an antebellum house. On the market for 2.5 years. Passed up a few offers before I sold it for about 90K under appraisal.

[aigel]

Originally Posted by Instrument 41

Well I called my agent. Simply told him I wanted $280000 after his commissions. I decided to not really worry about how much he was making in comm. since he offered. While I was "at it", we have a set of really nice antique cabinets in the washroom that came off the table as a bargaining tool. He responded favorably so we'll see. We were asked about some of the larger antique furniture and an antique law office door I have for my office. We conceded with some of those. But she wanted her laundry cabinets.....

Definitely report back how it goes. Having the agent eat some of it certainly will tell you if he thinks there is any chance to sell this thing for more. I really think after 5 months you tested the market - unless it hasn't been advertised property (doesn't sound like that from the open houses and interest you got).

G

[Instrument 41]

Agent offered house at $290 and she said yes, while I still am getting my $280. Deal, is almost,done...