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Commissions for the seller's relator are fine, but they shouldn't be based on the full price of the house. This setup encourages quick sales rather than getting
by zone411 3y ago
Commissions for the seller's relator are fine, but they shouldn't be based on the full price of the house. This setup encourages quick sales rather than getting the best price. Instead of the realtor earning 3% on a $1,000,000 house, set a base amount at, say, $700,000 and calculate the commission only on the remainder - 10% on $300,000. The same principle should apply to the buyer's agent but in reverse or there should be a flat fee. Their current incentive structure is totally screwed up.