Keep in mind that when you sell a house, if you are using an agent you pay 6% in commissions.
3% of that is going to your agent, the selling agent. 3% is going to the buying agent.
That’s right, in all the sales in Caldwell, 50% of the commission pays for the buyers agent. It is weird, but we have to pay it.
In addition you usually add another 1%-2% for closing cost and associated fees!
Why should you pay for the agent on the other side of the table?
Well really, you shouldn’t, but that is how it is if you decide to sell your house on the MLS (multiple listing service).
However there are a few things you can do to help.
Calculate the commissions paid on the all of sold property in the neighborhood, that would be considered comps.
Price your property correctly
Its not only agents that want to try to get a good deal, but good buyers may want a price reduction. If you’re doing the work of one agent, you can expect to save that money.
Also, there are times in Caldwell, that buyers who aren’t represented by an agent won’t remember to negotiate the buyer’s side commission out of the price for themselves.
One thing you can do is offer a reduced commission (2% or so) to agents who show clients your property.
If you’re pricing your property with the commission, you can negotiate for a better deal for a purchaser who comes without an agent.
However, if you don’t factor in for the buyer’s agent’s commission, you will lose most of the buyers in the market in Caldwell.
Over 90% of transactions happen through the MLS
The MLS is the main database that agents and brokers in the Treasure Valley use to access information for their clients on the houses and investment properties for sale.
Compared to the cost of a newspaper ad, the MLS is a cheap way to market your property to a very wide audience, and no longer requires a large expense.
Each of those sites sells ads. They’ve got packages that let you pay to enhance your listing, feature it at the top of the search, and a lot of other bells and whistles that might or might not get an interested buyer to buy your property.
Sometimes open houses in Caldwell Idaho can be a great way to sell a property, and sometimes they’re a waste of time. Same with newspaper ads, craigslist postings, fancy signs – sometimes they work, and sometimes they don’t.
Advertising and Marketing Are Important
Hanging signs around your neighborhood can get some calls, and there’s some free websites where you can post information. But most times, this isn’t enough if your house doesn’t appeal to the average home buyer.
In theory, real estate agents charge big commissions because they have to spend a lot of money up front to advertise your property. By advertising lots of properties at once, they expect to get more phone calls – and obviously, they’ll make good profits by selling lots of houses.
Some houses will need thousands of dollars in advertising before the right buyer happens to see the ad and call.
Sell Your Caldwell House To Cash Home Buyers
If you want to avoid paying any commissions, try us! We offer fair prices for properties – and we can close fast (in as little as 3-5 days if you need to).
Sometimes we’ll purchase Caldwell houses, fix them up, then rent them out… sometimes we’ll fix them up and sell them to other people looking for great homes in the area, and a lot of other reasons, too – but we love to hear from people like you who are thinking of selling anywhere in Idaho.
We’re investors who care a lot about the Treasure Valley.