Have you wondered if you’ll really saving money by using a discount commission real estate agent / Realtor when selling your home in the Omaha Metro area? How do the services differ between the two types of listings. Discount brokers say you’ll save money on commission putting more money in your pocket. Is that really true? Let’s analyze for a second.
Listing Agents/Realtors have 3 primary jobs:
1. Market the home for sale
2. Negotiate the contract for the seller
3. Manage the closing process
Market the home for sale
If buyers and buyers agents do not know that your home is available for sale, you will not get a contract because of lack of visibility. The multiple listing service has between 3,000-6,000 listings at any given time. A listed home is lost in the shuffle. It’s like a resume that lands on a human resource manager’s desk. Out of 100 resumes, the manager has to pick the 5 best candidates. Out of three to six thousand listings, a buyer’s agent has to select the top 5-8 listings to show their buyer. Being listed in the MLS is not enough. A great full service agent who believes in the power of marketing will do the following to have the listing command attention:
1. Professional photography so the photos POP
2. Manual process for social media blitzs
3. Put you in the Real Estate Magazine (over 20,000 people view this every month)
4. Spend money to put you as a featured listing in top real estate websites like Trulia & Zillow
5. Spend time doing direct agent to agent prospecting
6. Put together awesome open houses!
7. Invest in an online task management system
8. Invest in a showline service
9. Put together non-syndicated ads such as Craigslist
10. Understand information technology and web crawlers to place you manually so that you can be found
Does the discount agent have the funds and time to do all this? Absolutely not!!! If every home that was listed got sold, we wouldn’t have 25%-40% listings expiring every year. The agent that you hire will determine the success of your listing.
Negotiate the contract for the seller
Discount Realtors talk about the money you’ll save on the commission. First of all, the way the industry works, there will most likely be a buyer’s agent involved which means you have to pay the buyer side commission which is between 2.4% to 2.8% of the sales price anyways. A listing agent’s job is to negotiate the highest price possible for their sellers. If a discount agent can’t negotiate a normal listing commission for themselves, what do you think they are going to do when negotiating on your behalf. Wouldn’t it make sense that they would give away your money faster than they just gave away their own? You should hire the toughest negotiator in the business to protect you. It’s like going into a courtroom and hiring a lawyer. Do you want the toughest lawyer who will win the case or the lawyer who charges less and you’ll ultimately lose? Worry about the net money you’ll walk away with and not the listing side of the commission. Not paying attention to this will cost you big in the long run. The agent that you hire directly affects how much you’ll walk away with at closing.
Manage the closing process
It’s inevitable that during the closing process, something or things will go wrong. I have a dedicated closing specialist and her only job in the office is to take care of closing issues so that we get past them and make it to closing. Does a discount Realtor who has to sell double the listings to get the same commission a normal Realtor would make have the time to handle everything? We all only have 24 hrs in a day. Alot of discount Realtors also have other jobs during the day. They work their full-time job doing something else and sell real estate on the side to make extra money. Is this the type of agent you want working for you? Have you heard of part-time doctors- part-time financial analysts? No! We’re talking about one of your biggest assets! Your money is on the line! Legal liabilities are on the line! Hire the best to represent you. What’s the point of listing your home if you can’t make it to closing?
For a free private home selling consultation, call Heeran’s Home Team at RE/MAX Platinum Realty at (402) 707-7878.