Average real estate commissions nationwide are 5.1%. Surprised by this? You shouldn’t be. Over time, technology has made a Realtor’s job easier and also lowered overhead.
In the past 15 years; cell phones, email, computers, digital signing, virtual tours, flyers, and of course the internet have drastically changed the way we do business. This is certainly cheaper than the days of homes books, newspaper ads, flyer boxes and personally delivering an offer to the Seller’s agent.
Instead of $25+/month for a fax line, we have efax solutions for $6.99/month that go straight to our email in .pdf format. Cell phone plans can have unlimited minutes on 5 lines for what it used to cost for 250 minutes 10 years ago, and you can get data on top of that. Buyers are able to see pictures and virtual tours online to eliminate homes that don’t fit them before they schedule a showing. You get the idea.
Still surprised because you know someone paying 6% or even 7% plus transaction fees to sell their home? It’s still being done every day in these rural areas because home sellers still believe it is typical. Realtors are pocketing more of your money because costs have dropped instead of passing the savings on and adjusting to the times.
Don’t overpay. It’s your hard earned equity and you deserve it. There are Realtors that offer competitive commissions that keep more money in your pocket. They have adjusted to the times and are not cutting anything except the commission. This allows maximum exposure to all marketing channels online and offline to funnel buyers straight to your home. Search around, there are some in your neighborhood!