Traditional vs. 1% Listing Agents – What’s the difference?

So you’ve decided to sell your home. Congratulations! Selling a home can be an exciting but complex journey.

 

But what comes next? You likely need some help because selling a home can be complicated and overwhelming with lots of legal and procedural requirements.

 

Traditionally, sellers hire a real estate agent and pay them a commission based on the home’s sale price. This commission is usually a percentage of the final selling price of your home.

 

This percentage usually ranges from 3-8% and is split between your agent (seller’s agent) and the buyer’s agent. The commission is typically divided equally between the agent representing you and the agent representing the buyer.

 

However, modern real estate services now offer unique and valuable alternatives, giving you more options than ever before. Today, there are new ways to sell your home that might save you money.

 

One such option is the 1% Commission Realtor. A 1% Commission Realtor charges only 1% of the sale price as their fee, which sounds like a deal too good to be true!

 

But it is true! This guide will explain what 1% Realtors offer and help you decide if it’s the deal for you. Let’s dive into the details of how 1% Realtors work and what you need to know.

 

Realtors’ Duties

A Realtor is a versatile professional who handles many aspects of selling a home. They offer a wide range of services to help you sell your home successfully.

 

Here are some key responsibilities:

• Consulting:
  • A Realtor will meet with you to understand your needs, preferences, and motivations for selling. This helps them tailor their service and marketing to find the right buyers.

• Educate You
  • A good agent will ensure you understand the selling process and timelines. They will explain each step so you know what to expect. This includes tips on getting your home ready for potential buyers.

• Connect You With Buyers
  • An experienced Realtor has a professional network of agents, lenders, home inspectors, contractors, investors, and (most importantly) buyers. They use this network to promote your listing, making sure your home gets noticed by buyers.

• Host Showings
  • Realtors host one-on-one showings when buyers are interested in seeing your property in person. This gives buyers a chance to view your home and ask questions. Showings and open houses are crucial for generating interest.

• Negotiations
  • Agents handle negotiations between buyers and sellers to reach a deal. They work to find a middle ground. They manage offers, counter-offers, and repair requests. Negotiation is key to finalizing the sale.

• Paperwork and Administrative Tasks
  • Real estate transactions involve a lot of paperwork and deadlines. There are many forms and documents to handle. Your agent will prepare documents, ensure proper signatures, review contracts, and more. They make sure everything is done correctly.

 

Other Responsibilities:

• Advising on mortgages, financing, and market conditions
• Performing a comparative market analysis, estimate property value, and setting a sales price
• Coordinating with various professionals to complete the sale
• An Advocate Looking Out for Your Interests – Realtors have a duty to look out for your best interests. They are on your side throughout the selling process.

 

Traditional vs. 1% Listing Agents

Both traditional and 1% Listing Agents offer the various services detailed above. However, 1% Listing agents offer a set package of services for a 1% commission fee at closing, a charge that’s lower fee compared to traditional agents.

 

To put it into perspective, let’s say homes in your neighborhood sell for around $500,000. With a traditional agent charging a 3% commission (one of the lowest rates), you’d pay $15,000 in commissions.

 

A 1% Listing Agent charges $5,000, with the buyer’s agent getting their 3% fee, saving you $10,000.

 

You both make more money and save more money while still getting the same services!

 

Due to this, the 1% agent model and other discount models are gaining popularity as consumers realize their value. People are looking for ways to save money while still getting good service, which is offered by 1% Listing Agents.

 

The 1% real estate agent model is becoming more popular, and as technology improves, traditional methods will need to adapt as they’re already left in the dust!

 

Interested in selling your home with a 1%  Listing Agent? Contact us here at Zold!