It is not unusual to overhear a conversation about discount real estate brokers. The 2 percent realtor has gained a tremendous amount of popularity over the past few years.
Many home sellers are discovering they have more than one option on the table when it comes to the realtor’s commission. They are finding out that they no long have to pay the traditional 6% realtor’s commission at the closing table. This new and dynamic trend has created many low-cost listing programs. It is also imperative to mention that more discount real estate brokers are now showing up on the real estate scene.
The Principal Of The 2 Percent Realtor
The principal of the 2 percent realty knows it is important to implement marketing campaigns that will attract home sellers interested in maximizing their profits from the sale of their property. This is the main reason why you will see dozens of 2 percent realtor websites on the internet. These realtors understand that property owners are now interested in realtors that offer flat fee listings or discounted commissions.
There are many discount real estate brokers, but all are not the same. It is critical for you to understand the meaning of a flat fee listing and a commission free listing. Is the realtor offering a full or limited service? Does the company use licensed brokers or hourly employees? You must get the answers to these questions before you sign an agreement with the 2 percent realty.
There is an old saying, “You get what you pay for!” This is especially true when it comes to real estate. In many cases, you are getting less than what you deserve by companies that provide limited service (discounted listing fee). Please keep in mind that unlicensed employees may be involved in the sales process. This is why it is critical for you to have a full understanding of the services provided by discounted real estate brokers.
Understand What You’re Paying For With 2 Percent Realtors
Many Realtors are notorious for promoting themselves as a 2 percent realtor. They will use a flat fee to solicit you before you meet them in person. This fee MLS (Multiple Listing Service) only covers a small portion of the traditional realtor services. In short, you are paying a realtor to post your home for sale in your local MLS. You will not get any professional assistance during the sales process. This poses a serious problem for home sellers with no sales experience or knowledge of real estate.
On the surface, it seems like a good idea to pay a $300-$500 flat rate listing fee. You must realize that you will be extremely disappointed if the listing fails to produce a buyer before the listing expiration date. Realtors are governed by a board of realtors in their particular area, and they pay annual dues that cover their access to the local MLS. Realtors don’t have to pay extra money to post their listings in national MLS platforms like Trulia, Zillow, and Realtor.com.
Don’t Sell It Yourself
Listings are funneled to the national internet platforms within one day of the agent submitting it to their local MLS. In some instances, home sellers are given a sign and a lockbox. Please keep in mind that your small fee only takes care of the basic service. In the end, you will discover that you need more than an MLS listing to find a qualified buyer for your home.
For example, a reputable company with an exceptional professional scheduling service should handle the viewing of your home. This will ensure that potential buyers are monitored closely. You will also get more feedback from potential buyers. The feedback could lead to striking a deal. You may have to screen some of the potential buyers and handle the negotiations. This could be intimidating if you don’t have experience in these matters.
An experienced and licensed 2 percent realtor can handle these things with ease. There are many advantages to dealing with a real estate professional that offers full service for a reasonable flat fee. You should avoid doing business with discount real estate brokers offering limited service if you are not a seasoned For Sale by Owner (FSBO).
Flat Fee Realtors Are Illegal?
Flat rate MLS listings are prohibited by law in some states. For example, a real estate broker must provide full service when they represent a seller in Colorado. Despite this state regulation, some brokers are not abiding by this law. Why should you do business with someone who is not willing to abide by the law? It is a grave mistake for home sellers to do business with people involved in unethical business practices.
Fortunately, there are ethical discount real estate brokers around today. An ethical 2 percent realtor will always make an earnest effort to educate the public about their services. They offer flat fee listings, but they go the extra mile when it comes to providing the full package of traditional real estate services. They are not interested in cutting corners or taking advantage of their clients.
What Do 2 Percent Realtors Provide That Most Don’t?
Technology helps a 2 percent realtor excel in helping their client find a buyer for their home. It is not hard for a realtor to list their client’s home on multiple digital platforms and devices. This makes it easy for the 2 percent realty to connect with buyers in the market.
In the past, real estate agents spent lots of time in searching for qualified buyers. Today’s technology makes it easy for agents to list the home and communicate with interested parties. Instead of months, these matters are handled in days.
It is vital for you to do your due diligence on prospective discount real estate brokers. Your due diligence can help you save thousands of dollars. Your due diligence will also help you avoid becoming prey to agents that use small flat fee advertising scams.
Choose your 2 percent realtor with care. An ethical 2 percent realtor offers many advantages you cannot afford to ignore. In the end, you are the one who will be left holding the bag if you are not able to find a buyer for your home.