You have decided that you do not want to spend your money on hiring real estate brokers and therefore, you are now selling your house as a FSBO or for sale by owner. Now, it can be quite annoying when you can calls from brokers, isn’t it? Nevertheless, there are some reasons why you would not want to completely ignore a “buyer broker.”
Now, here is the “why” for the statement that I just made. In order to understand that better, let us first know what these “buyer brokers” and “listing brokers” do. While real estate agents are capable of doing both these functions, some specialize in either of the two.
Some of these brokers will call you because they want to list your house. They want to undertake the marketing part for your house. Of course, they will charge you a commission for this, which will vary between brokers and also areas. Most often, it is around six percent of the house’ sale price. Now, if your house does sell, then the listing broker will pay the selling broker 3 percent, that is, half if some other broker brings that selling deal.
As long as people are coming to look at your condo, house or whatever you are selling, you do not need to worry as a FSBO. However, you will be concerned if those lookers are not converting to buyers.
Therefore, if some brokers calls and tells that he or she is dealing with a few buyers and they are interested in being able to show your house, then you might want to consider that. Most often, they will not expect more than half of the general listing commission. This will still allow for savings. You can even negotiate and reduce it to less than half. If your house has a reasonable price then you can negotiate and there is no harm in asking, you just might get it.
To make things work for better, you can also get somebody who knows about this process and has an interest in settling the deal. Now, they might not represent you or even the buyer. However, the buyer wants to buy your house and the broker wants his or her commission.
Now, do not get me wrong here. I am not telling you to pay any more than required for selling your house. However, there is no harm in at least taking the phone numbers and names of any “buyer brokers” who call you. You can call back those you trust when you feel the need to do so.
There is a way that goes in between out and out listing with some broker and doing it all by yourself. You can profit by exploring this middle ground.