The Myth About Discount Real Estate Brokers

Unfortunately, perception is everything! Politiciansagents pay up to half their commission to the
know this, which is why they spend millions ofbrokerage house. This is why real estate discount
dollars on election campaigns. The overwhelmingbrokers are able to charge clients less to list a
majority of people will be influenced by ads andhome and give sellers a rebate without
will vote accordingly. Open any newspaper andcompromising the level of service.
see how ubiquitous real estate ads are and whyMost home buyers today are computer savvy,
not, real estate is the largest industry in the US.their search online for homes go to open houses
When someone wants to sell a home he or sheand often call the broker only when they are
signs a real estate listing contract which providesready to put in an offer. Such clients definitely
a brokerage commission for the listing broker anddeserve a rebate because the tasks remaining for
the selling broker. Typically, this commission runsthe selling broker are minimal.
about 2.5% to 3.0% for each respective broker.One important factor in selecting an agent is that
Since a large percentage of homes arethe seller should feel in harmony with the agent.
approaching a million dollars this represents a costsThe agent is going to be in the seller's home for a
of $50,000 to %60,000 for the homeowner tonumber of days and have numerous interactions
sell his/her home. If you think about how littlewith the seller. Good chemistry between the seller
work is involved by the real estate professionals,and agent is essential in order to have a pleasant
it is simply insane especially in this age ofexperience. The client can also request from the
computers, faxes, cell phones, and the internet. Itagent to see "Testimonials" from previous clients
does not make any sense. This is why a newand to see a list of transactions for the last two
breed of real estate brokers have sprung up: Theyears. Finally, ask the agent how long he/she has
Independent Online Discount Real Estate Brokerbeen in business.
like .Invariably, I find that agents with traditional
The discount real estate broker will list your housebrokers will tout the clout of their brokerage
for less, typically 1% and will give the buyer ahouse and their in-house marketing tools. There is
rebate of somewhere around 1%. How do youabsolutely no truth to this. It is nothing more than
find a Discount Real Estate Broker? You simply doa sales gimmick. It is actually unethical for agents
a search on any search engine like Yahoo orto push their in-house listings instead of giving their
Google, specifying the area you are interested in,clients the full benefit of the MLS.
like the city or county or metropolitan area likeWhen an independent discount broker lists a home
San Francisco Bay Area or San Franciscoon the internet it also gets listed on all major
Peninsula.websites like or and the client gets just as much
These few minutes of searching will save youexposure as with traditional brokers. No matter,
thousands of dollars. This is one instance wheremany sellers are not convinced and pay huge
the old saying "you get what you pay for" doeslisting commissions for exactly the same service.
not apply. There is no correlation between theSome brokers offer free decorating or even full
brokerage commission you pay and the quality ofscale staging as part of their service.
the service you get from a full service discountIt is important for the public to become educated
broker. Many independent online discount brokersabout real estate transactions since most people
are highly qualified professionals who have workedwill be involved one or more times during the life
for traditional brokerage houses before startingin buying or selling a home. Traditional brokerage
their own online business. Clients often ask mehouses have lost and are continuing to loose
how is it possible for me to charge one third thebusiness to online brokers. It is important for
brokerage fee of large real estate companies! Thepeople to understand that discount brokers are
answer is very simple, online brokers have almostjust as qualified if not more so than agents who
no overhead. Brick and mortar companies arework for a traditional brick and mortar brokerage
expensive to run. They have stockholders, highhouse. Sellers can save thousands of dollars and
paid executives, managers, secretaries, andbuyers can receive thousands of dollars in rebate
foremost expensive ubiquitous advertising.by going online and searching for discount real
Depending on the level of transactions, real estateestate brokers in their are of interest.