Fee Comparison
There are several key issues home-sellers encounter with traditional real estate agencies. Specifically, the compensation for the realtor scales while the amount of effort, skill and work required does not. In short, the value received by the client is not commensurate with the fees charged. We've addressed some of these issues below so that you can see the dollars and “sense” involved.
The Percentage Problem:
|
House A |
House B |
|
| Value | $200,000 | $300,000 |
| 6% Commission | $12,000 | $18,000 |
| Difference | $6,000 | |
Question:
What does the owner of House B get for the additional $6,000?
Answer:
Nothing.
Solution:
GreatNEST Flat Fee pricing. House A and House B pay the same fee. Makes sense!
The "One Size Fits All" Problem:
Traditional Real Estate Sale
|
Value: $300,000 |
|
| 6% Commission: $18,000 | |
| Party #1 Brokerage A 3% $9,000 |
Party #2 Brokerage B 3% $9,000 |
| Party #3 Listing Agent 50% $4,500 |
Party #4 Buyer's Agent 50% $4,500 |
Problem:
It is assumed the above is the only way to sell a home.
Reality:
Home sales do not have to include four parties. They may include only three, or as few as two.
Question:
If I'm the seller and my sale only includes two or three parties, do I save my money?
Answer:
No, not if you listed with a traditional firm.
Solution:
GreatNEST, where we ask you to only pay for the parties that actually sell your home.
Example Home Sale
|
House A |
House B |
|
| Value | $300,000 | $300,000 |
| Listed By | Traditional Brokerage (3%) | GreatNEST ($4,950)* |
| Sold By | Traditional Brokerage (3%) | GreatNEST (2%) |
| Commission Due | 6%* | Fee + 2% |
| Total | $18,000 | $10,950 |
| GreatNEST Savings | $7,050 | |
* This is an example used for illustrative purposes. Commissions are negotiable and not set by law or regulation. There is no standard commission.