One of the great things about this country is that I have the freedom to choose. I can choose to charge less, more, or different. Anti-trust laws allow me to do this. With technology changing how we do business, I can provide all of the same services, and many more, in most cases, for far less than other competitors. And because my company is smaller, I can do it faster. Of course, commissions are negotiable and not set by law, and there is always someone out there who will charge less. Less is not always best, sometimes it is less. Some agents are charging less while not providing many services at all, or bad service at that. Crummy property flyers, no virtual tours, limited office hours, you name it.
But that is not the point of this post. For years, when a real estate company charged a percentage commission, the fee was not a “variable” fee, meaning, it was a big percentage commission regardless of who sold the home, including your listing agent. So if your listing agent sold the home themselves, they made double, or what some agents call a “double bubble” or “double dip”.
At my company, my set fee is my fee, regardless. If a stranger, my best friend, my Mom or anyone bought your listing, my fee is set. I don’t charge double. Why should I? There is no extra work. I would rather work directly with the buyer than another agent. It just makes life easier. It’s a direct contact, simplifying the communication process, simplifying the entire transaction.
Part of the problem with the traditional real estate environment is that the calls or inquiries that come into an office usually go to the person “on duty” and not the listing agent directly. Hence the extra fee.
What an absolutely archaic way of doing business.