Your agent might ultimately receive only 25-35% of the total commission. • Deferred Payment: Agents invest weeks or months of work and thousands in expenses before receiving any compensation, which only comes at closing. If the sale closes. • Buyers Present a Different Set of Challenges: In a highly competitive market, buyers often do not succeed in securing their first, or even second choices of homes. Each contract that is not successful opens the process of searching, finding, showing, writing and presenting offers. Sometimes we "sell" four properties to a single buyer who eventually buys one. That means that we work the equivalent of 4 buyers-worth to earn a single commission. • No Set Work Hours: Agents work until the job is completed. They work on holidays, during illnesses, on vacation, miss their children's events, in their cars, during lunch, on the beach, and on a bench - to negotiate for the buyer or seller the best possible deal. We even negotiate and field calls when we are in the throes of moving ourselves.
Value-Based Compensation Structure
The commission model exists because it aligns incentives - your agent succeeds only when you do. This structure creates several benefits for sellers: • Results-Based Payment: You pay only for success, not for time or effort. If your property does not sell, in most cases, you owe nothing for the work performed or expenses incurred. • Performance Incentive: Your agent is motivated to achieve the highest possible price and best terms, as their compensation increases with your success.
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