With the immense popularity of real-estate websites, more people are intrigued by the possibility of acting as their own real estate agent, selling their home through one of those listing sites to save on agent fees.
If you’re in the process of selling your home or thinking about selling in the future, you may have considered this option. After all, it seems like a safe way to save money!
This leads to a common question home sellers have: Where does the real estate commission go?
The standard commission rate for a real estate agent is 7 percent. Some may think this is a bit high, but when you consider what goes into selling a home, it’s actually a great deal. Quite simply, that commission is shared by the brokers and their agents. It covers legal and marketing fees and gives you an expert Realtor® who negotiates and advocates on your behalf. Quite the package deal! Let's look more closely at this:
Legal work. Selling a home is a complicated process that involves a lot of paperwork, all of which requires a fine-tuned knowledge of state and local laws.
Experience and networking. At any given time, there are a lot of houses for sale. The question almost every seller must face is: How do I make my house stand out? How do I get it in front of the right buyers? A real estate agent has a network of potential buyers and other agents representing buyers. In addition to knowing which people to put your property in front of, they know how to present it in a way that will bring in the offers.
Get the right price. Buyers are going to come in with their own agents and their own price tag in mind. Haggling might be an ancient art, but it is alive and well in the real estate business. If you're not ready to negotiate, or if you don’t have specific experience negotiating in the real estate sector, you could end up settling for less and lose out on a lot of money.
You've heard it before, but it bears repeating: buying a home is the most significant investment most people will make in their lifetime. Because of this, the vast majority of people continue to trust licensed Realtors® when selling their home. There's a lot at stake, and when you consider all the experience, knowledge and expertise you get, the commission that's taken out is quite reasonable.
If you want to know more about what goes into selling your home, talk to a Coldwell Banker Hedges Realtor® today. They know the industry and can tell you everything you need to know about the Cedar Rapids housing market.