Don’t Choose An Agent Based On Their Fees
Choosing a real estate agent is a crucial step of selling your home.
The real estate agent you employ will ultimately be responsible for the marketing of your home, market insights, price recommendation and the negotiation process with potential buyers.
If you read our blog on what to consider when choosing an agent, you will know that rapport, negotiation skills, track record and strong branding are key factors.
But what about price of their fees?
Unfortunately, when you’re searching for a real estate agent, the 'collect three quotes and choose the middle’ method doesn’t work.
In fact, industry research has shown that choosing the cheapest agent may end up costing you more… much more.
Any agent can sell a house, but a skilled agent will sell it at a higher price and help guarantee your financial future. You need to choose the agent who will leave the most money in your pocket at the end of the day.
For example, the cheaper agent could receive an offer of $480,000 and talk the seller down to that price whereas the agent who charges a higher commission, knows how to work for the seller and talk the buyer up to the desired $500,000 price tag. This comes back to finding an agent who cares about your needs and goals, not theirs.
So while their commission might only be $5000 compared to $10,000, it could end up costing you $20,000 off the sale price of your home.
Not all agents are the same, and they certainly don’t offer the same product for the same price. The right agent is an asset and the wrong agent is a liability.