In most cases, a Realtor is an independent contractor who can determine the fees he will charge for his services. For this reason, Realty fees vary considerably. Below are some of the most common fees you may encounter as you search for the right real estate agent.
Though some Realtors don't charge clients any fee until someone purchases the home, others may require the seller to pay an upfront fee to the Realtor at the time of the listing. This fee can vary considerably based on the Realtor's skill and experience.
Some Realtors perform different services for clients based on the price the client is willing to pay. For example, a basic package may involve placing your home in the local real estate listings and putting a sign in your yard, while a larger package may include an open house or an online virtual tour for potential buyers.
When a Realtor sells your home, he will charge a commission. Typical commissions range from 3 percent to 6 percent of the sale price, though some Realtors may charge more. You will not pay this fee until closing. If your home sold for more than the value of the mortgage, the Realtor will typically deduct her fee from the proceeds you receive. If your home's buyer was represented by a different Realtor, the two Realtors will usually divide the commission.
Before you agree to work with any Realtor, ask about the fees he will charge. Realtors should explicitly disclose all of their fees in the contract you sign when you list the home. Feel free to shop around for the Real Estate Agent with the most affordable fees, but don't discount the Realty Agent's level of skill or experience. Though highly sought-after Realtors may charge higher commissions, they may be able to sell your home faster.
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