While the best, most qualified, professional, real estate agents, commit themselves to providing the highest level of service, and focusing on the best interests of their client, while maintaining an absolute commitment to all aspects of the Code Of Ethics, the reality is, their financial success, is based on the commissions, they earn, and are paid. For many reasons, including legal, the rate of commission, paid to a licensed, real estate professional, differs, from transaction to transaction. Factors impacting this rate, vary, based on several factors, even though, in the vast number of instances, they often fall, into a specific range. However, each client and agent, must agree, to the commission rate, for the particular instance. This article, therefore, will attempt to consider, review, and briefly discuss, 5 reasons.
1. Provide different value, and/ or services: Will the agent be more or less proactive, and how much time, effort, etc, will he provide? Are his services, truly valuable, in some particular, differentiating ways? Will the agent and client, both perceive and value these services, in the same way?
2. How the agent values, himself: Some agents follow – the – pack, and either, settle for, or readily agree to, the customary and usual commissions, many others do. In the Long Island, New York, area. while commissions, generally fall into the 3% to 7% range, and it seems, 4% is the norm, there may be many factors, which explain, the differences paid. One should consider, if the individual negotiating for you, either doesn’t consider himself worthy, and/ or isn’t capable of effectively negotiating the fee, he’s worth, how will he be able to be an effective negotiator, for you?
3. Personal skills: Different real estate agents have different skills and abilities, and/ or have these developed, to different levels! Some of these personal skills might include: the ability to articulate and/ or communicate; effective listening; genuine empathy; absolute integrity; negotiating skills; etc.
4. Process: Effectiveness is often related to how well, and/ or effectively one commits to all aspects of the process. These include, but are not limited to: patience and understanding; empathy; service and support; and articulating, thoroughly, all aspects of the transaction process, include marketing and sales, and advice!
5. They ask!: Much of the time, the primary reason, some agents receive higher commissions, than others, is, simply, they ask for it, and are willing to defend, why they deserve it, confidently, if asked!
Clients must determine what they desire from their representative, and whether they might be willing to pay a higher commission, to locate and hire, the one, who best, serves their interest. There is no one answer to this, but much relate to several factors, including the 5, listed above.
Richard has owned businesses, been a COO, CEO, Director of Development, consultant, professionally run events, consulted to thousands, conducted personal development seminars, for 4 decades, and a RE Licensed Salesperson, for a decade+. Rich has written three books and thousands of articles. Website: http://PortWashingtonLongIslandHouses.com and LIKE the Facebook page for real estate: http://facebook.com/PortWashRE