There’s a few companies out there that offer a cheap commission, though you must pay the fees upfront. As cheap as it may be and enticing as it is, there are some major drawbacks by choosing this cheap route.
As an agent, we provide a service and paid a fee or commission once we have completed our service. This keeps our incentive up to not only list a house, but to sell it too. We remain on point throughout the process and provide a great all-round service and outcome.
After having a conversation with an agent who charges cheap upfront fees, it was amazing to see where his motivations were. It was pretty simple, the reason why they were winning listings was because they were using the owner’s greed by telling them they will achieve a big price and listing the property. Once it was listed, he simply focused on the next listing and then the next one.
As an agent, this seemed sort of enticing, you would have to list three times more properties than usual, though the benefit is that you’ll never have to worry about servicing or selling any of them. Just keep on drumming up the listings. Some sell, some don’t, it doesn’t matter. All that matters is getting the next listing. There were even chuckles about getting the actual owners to do the open for inspections. It was hilarious, just cruise from one appointment to another, tell them a big price, get it listed, get paid and then move onto the next.
Not once was their mention of problems getting a deal over the line, this buyer that or we’re so close on a deal but we’re at a stale mate. It was purely a numbers game on who would give in to their greed and get sold a big price to list.
If you’re thinking that the cheap way is the best way because you save a few thousand dollars, I would think just a little outside the box and bear in mind the emotional and financial losses you’ll make throughout the process of dealing with agents like this.