When the Utah County Real Estate market was hot it
was easy to sell homes. The flat fee
commission brokerages thrived. This occurred between
2004-2007 in Utah County. Flat fee commission
brokers lost popularity between 2008-2012. In 2014 and 2015
we still see flat fee commissions in Utah County but
consumers are more familiar with what they are getting than
in the past.
Remember, you still pay a buyer's commission
when listing your home. The commission you offer to a
buyer's agent is between you and your listing company. This
is typically 3% but variable. If you choose to list with a
discount brokerage you will pay $199 plus the buyers
commission. Just think you can hire a company like Team
Teasdale Realty for not much more than this and you will get
a professional team of agents that will protect your price
and do all the work for you.
A seller would pay a
low fee to get onto the MLS. The Realtor would post
the listing to the MLS and in many cases not service
the listing. The buyer would be
charged a nice credit card fee. The buyer would
typically be the one showing the home, negotiating
the sale, doing the follow-up, selling and marketing
the home.
I have meet many sellers that were extremely
disappointed with the flat fee service. They had
their credit cards charged and felt like they
received little to no service. Did they really
expect service? Did they really expect to get top
dollar for their home? Did they think the Realtor
would chase every buyer lead? Selling a home is a
skill and not just data entry. It is like paying a
doctor in a back alley to perform a surgery for $199.
You Get
What You Pay For!
You are paying to get on the MLS and not for any
service. Do you think the home seller is at a
disadvantage when I bring a buyer on their flat fee
listing home? I have been selling homes since 1995
and have sold over 1,100 homes. This is like putting
Hulk Hogan in a wrestling ring with Pee-Wee Herman.
Sorry, I am from the eighty's decade and use actors
from the past to make a point. If you are
unsure who these people are please Google their
names and look at their size difference.
I have a fiduciary duty to my buyer to get him the
best price and terms on his sale. This seller is
cannon fodder to me. They have no Realtor to defend
their price and terms. I will bring my comparisons
and politely debate a better price and terms for my
client. Many sellers will give a lower price than
they should. What is the point of a flat fee
commission? The seller often leaves a ton of money
on the table and gets absolutely no marketing or
service. It is like going to court without a lawyer
and representing yourself without the savings.
If you want a flat fee commission just ask a
professional Realtor that is skilled in marketing
for a discount. Many good Realtors will give you a
better commission if you just ask. The flat fee
commission brokerages were once much more popular.
Since the real estate market has become increasingly
difficult in Utah County many buyers have dumped the
flat fee commission idea and returned to the
traditional Realtor.
Years ago sellers would say, "I
am going to hire a flat fee commission broker and
save money." Now the sellers say, "I hear the flat
fee commission companies don't offer good marketing
and or the service I need." Sellers are becoming
more educated about flat fee commissions from the
internet and through word of mouth. I see it like a
fad diet.
A revisit to the airline industry tells the story. While
consumers demanded and got lower fares, they paid dearly by
sacrificing safety, baggage fees and comfort. Anyone who has flown in a
cramped seat, hungering for a hot meal, and looking over the
wing wondering if maintenance had been performed definitely
is paying a high price for low prices.
Buying a home in Utah County is not the same as getting a
hot stock tip, or buying a seat on an airplane. The one
advantage that the industry has is that every home,
neighborhood and transaction are unique, and value can only
be quantified by comparison. That gives the agent willing to
hold the hand of even the most die-hard Internet consumer an
advantage. Without complete market knowledge of a given home
and its neighborhood, it is anyone's guess whether the
seller sold for too much or too little or the buyer paid too
much or too little. Hire an experienced Utah County Realtor
to sell your home and you will likely net more money than
paying for a flat fee commission.
If you are thinking of selling a home in Utah County contact
one of the highest producting Realtors in the past two
decades. Did you know you can put your home on the MLS
without paying a flat fee? Did you know you can negotiate
the commission amount with the individual Realtor?
Commission is adjustable to your needs. Before you rush to put your Utah
County home on the MLS for $199 you may want to contact
Paul. I can save you some money! Contact Paul Teasdale of
Team Teasdale Realty.
