If you are thinking about selling your home, you may also be considering working with a discount brokerage. Before you decide to hire that discount brokerage, there are a few things you should know in order to make the best possible decision for your home sale.
1. How much does it actually cost? Many people believe that working with a discount brokerage means that you will pay a flat fee. While that may be true, there will probably be a note in the small print requiring you to pay the additional buyer agent fee. Make sure you add those two numbers up together; many times, you may have been able to utilize a full brokerage service after all.
2. What do you get for that money? Some sellers who have hired discount brokerages in the past find that, although their house is on the MLS, they do not get any additional marketing from the discount brokerage.
3. What type of communication will you receive when you work with a discount brokerage firm? In the world of real estate, communication is key. However, most sellers who’ve worked with discount brokers have shared that they didn’t get much communication at all.
4. What kind of negotiation support will you get? When it comes to negotiating your sales price, you want to make sure you work with a good negotiator. You aren’t guaranteed that type of service with a discount brokerage.
5. Will they share liability? When it comes to selling your home, there is a lot at stake in terms of liability. When you work with a full-service brokerage, you will share that liability. If you work with a discount brokerage, you are the only one who’s liable.
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If you work with a full-service brokerage, your house will sell for 24% more money.
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Another thing to keep in mind is that, according to the National Association of Realtors, sellers who work with full-service brokerages earn 24% more when selling their house than those who worked with a discount brokerage.
While you can certainly sell your house with a discount brokerage, remember the old adage: Sometimes, you get what you pay for.
If you have any other questions about selling your home or about real estate in general, just give me a call or send me an email. I would be happy to help you!
