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Real Estate Agents – How Much Commission to Pay?

When you have to deal with buying or selling property, one of the many additional costs you may need to incur are real estate agent commissions. When it comes to the question of how much commission to pay to real estate agents, there is no definite answer. That’s because various factors influence the commission rate a real estate agent may charge.

Try to negotiate

Sometimes, depending on the location or potential profit from a deal, real estate agents may charge commissions as high as 4 to 5 % of the sale value. This is actually a very high amount. It is important to try and negotiate the commission charges with your real estate agent before you finalize a deal. Some agents may reduce their commissions if they feel that you will hire them in the future.

Will you deal in property over and over again?

If you are a onetime property seller or buyer then paying a hefty real estate agent commission or fee may prove to be a complete waste of money. However, if you plan to deal in property often by investing in other places too, it may make sense to strike a deal with a reputed, large real estate company once and for all. Pay them a commission or fee based on their year round assistance and overall service. Real Estate agents usually charge lesser commissions to regular clients.





You can try to sell or buy property yourself

When it comes to property transactions, it isn’t difficult to sell or buy property yourself. The role of a real estate agent is primarily to bring a potential buyer and potential seller together.

However, in today’s world where the Internet plays a huge marketing role, you can easily post your property details or requirements and find potential buyers or sellers yourself. Search optimization

In the long run, this will save you commission fees. You can hire the services of Drouin real estate agents just to seek their advice on a deal if necessary at some point of the transaction.