Sell for 1%
While every real estate brokerage is a bit different, many will fall into 2 basic categories: a) more traditional full-service real estate brokerages, and b) those that offer a discount of some kind or a ‘reduction’ in fees. The ‘discount’ description can potentially lead people into trouble with anti-trust laws! ‘Discount’ may imply a reduction in price against some standard price, which there really isn’t.
While you will find many brokerages charging 6% or more of the listing price to sell a home, plus ‘brokerage fees’ or other fees, they are in fact at liberty to charge whatever fee the Broker deems appropriate. But the Broker also tries to remain competitive (in order to stay in business!), so the brokerage fees in a given market often boil down to a similar price, much like grocery store prices or gas prices.
However, the majority of the larger real estate brokerages that developed during the late 20th century and the boom of the early- to mid-2000’s have large offices to support. These often include fancy meeting rooms with high-back leather armchairs, expensive large meeting tables, and fancy reception areas with a receptionist, big photo-copiers, gourmet candies in bowls, executive phone systems etc. These offices have expensive leases or may be owned, in which case they have maintenance expenses, property taxes and possibly a mortgage and insurance to pay.
As we’ve mentioned, all this is expensive! And can you guess how it’s paid for? That’s right – from listing fees. So these ‘big box’ real estate brokerages can’t go lower on price and still pay all these bills.
This is where Select Realty steps in.
Select Realty has a small private office space, so our overhead is very low. In this way we cut out what we (and our home sellers) feel are the unnecessary expenses which are not required to sell your home (see ‘expensive offices’ section above). We therefore pass this saving along to the sellers by way of a 1% listing fee. The extra cash they get at closing is what we call The Select Effect – and our home sellers LOVE it!
Importantly we still pay the buyer-side broker a full and competitive commission, to encourage them to bring their best buyers to your home, but we only charge 1% on the listing side so that our sellers bank more cash.
Time marches on. Is anyone really going to sit and watch the real estate channel to buy a home? Are they going to browse through magazines to buy a home? Typically the only people looking at a flyer from the box hanging under your ‘for sale’ sign are the neighbors, eager to see how much you’re selling for!
It’s not 2005 anymore. These approaches don’t do it. You must get your home online.
It’s the digital approach that we believe in at Select Realty. Read More on the FAQ
Today’s home buyer will turn to the internet to start their home search. This means Zillow.com, homes.com, Realtor.com, houses.com, condos.com, Trulia.com etc. etc. These businesses spend a staggering amount of cash on website development and search engine rankings so that virtually any home-search related phrase that’s typed in to any search engine will bring their websites to the top of the search. These real estate website companies want your information, and then they’ll sell it to a Realtor as a ‘lead’ in the appropriate market.
So the key is to get your home to as many websites as possible, as quickly as possible, at the right price, with great photos & descriptions. This gets the buyers looking at your home, requesting a showing, and buying it!
Of course! – Our Realtors work and communicate directly with you just like any ‘big box’ brokerage, and will provide first-class quality and service to sell your home for the best price possible. Give us a call, text, or send a message through our contact page today!