From: jfox@hooksett.East.Sun.COM (John Fox - SunExpress IR)
Newsgroups: misc.invest.real-estate
Subject: Re: Negotiating a lower commission after an
Date: 19 Dec 1992 17:21:54 GMT
Organization: Sun Microsystems, Inc.
Distribution: world
Reply-To: jfox@hooksett.East.Sun.COM
NNTP-Posting-Host: hooksett.east.sun.com

In article 82Fk02T92fCY01@JUTS.ccc.amdahl.com, jpr30@ccc.amdahl.com (Jay P Robinson) writes:
>In article <1glkgvINNjvg@seven-up.East.Sun.COM> jfox@hooksett.East.Sun.COM writes:
>>In article 7813@pbhyb.PacBell.COM, ajcueva@pbhyb.PacBell.COM (Al Cuevas) writes:
>>>In article <22850@drutx.ATT.COM>, drb@druhi.ATT.COM (BurrittD) writes:
>>>> Has anyone out there ever tried to get a realtor to lower
>>>> his/her commision after an offer was submitted (below asking price)
>>>> on a house.
>>>> 
>>>> since I am losing 5 K on the deal it seems only fair that
>>>> you only get 3.5% instead of 7%. This assumes the person who
>>>> made the offer is not working with a different realtor.
>>>> 
>>>"SEEMS ONLY FAIR????"  
>>>
>>>Tell us DAVE... Does your employer ask you to give up 50% of your
>>>salary when they miss their estimated income by 5%???
>>>
>>>Al Cuevas
>>>Pac Bell
>>>510-823-1498
>>>
>>
>>
>>If it meant not getting any salary, like what would happen to the broker
>>if they sale didn't thru, I might be up to getting half. Certainly better
>>than none!
>>
>>I'll admit half is a bit extreme to forgo, but it certainly shouldn't be
>>considered unreasonable for a broker to be asked to drop a couple thou off
>>their commission, if it means making a sale...
>>
>>
>>
>>John
>>
>>
>>
>>John
>
>Sellers who want to play childish games of lets-burn-the-realtor-for-his-commision 
>dont deserve the professional help of a realtor. Game playing is not necessary if 
>you simply do your homework....

(text deleted)

It's a market, like any other. Given the fact the sellers *often* sell for
less than even realtors predict, I see no problem the a seller asking for
a concession from the broker. I wouldn't call it childish, or playing games.
It's strictly business. If the broker doesn't want to engage, they can walk
away.
Now when we negotiating on house prices becomes non-existant, I'll be the first
to defend brokers, but when offers of 10-20 percent lower than broker-recommended
become commonplace, they can and should share the loss.



John




































































 On the other hand, a realtor should be experienced 
>enough to short-circuit these games up front, before the listing agreement is signed.
>
>First of all, this is a *Buyers* market. Expect to get less than the asking price!
>
>Second, realtors know what your property will probably sell for - ask for their honest
>opinion and then ask for a net sheet. A net sheet shows you how much you will net after
>all the selling costs (escrow, title, realtor fees, etc) are deducted. The net amount should
>be within a couple hundred dollars of what you will actually receive.
> Actually, you need to do three net sheets:
>
>     - Your asking price  
>     - A reasonable selling price that meets your financial requirements
>     - Your rock-bottom price
>
>If you cannot live with any of these numbers, you have no business putting your
> house on the market, and trying to screw the realtor, IMHO.