What's the going rate for Broker's fees?

Kalindras

Kalindras

Joined
Aug 24, 1999
Messages
933
Howdy, all!

We're trying to sell some property over in East Texas, which we foolishly purchased as recreational acreage, long before we moved up to the frosty North, and we've contacted several Realtors in that area to list it.

The question I have is this: What's a fair percentage of the listing price for a broker to earn as commission? I know that realtors around Texas usually get between 3-6% on houses and residential properties, but a lot of the folks dealing in raw acreage want considerably more. We're looking a few who are asking 10%, with ANOTHER 5% for Seller's brokerage. Of course, these are the firms who seem to actually EARN their fees--we've listed this property repeatedly with firms who seem content to let the land "sell itself." One of them didn't even put the land into the MLS listings! They literally stuck a "For Sale" sign on it, no phone number, and apparently expected people to just magickally make offers!! I should have their confidence!!

Anyway, I'm really wanting to sell the land, but I also don't want to get suckered in the process. So, any of y'all have any thoughts on what's a good range for fees?

Better yet, any of y'all wanna buy some land?!? :D It's near a lake!! And it's got trees!! And...er...dirt! Yeah, lots of dirt!! :p

Thanks in advance for your wisdom, folks.

Kal
 
The Forsale sign is cheaper than adverts in newspapers. It also gets the attention of those who drive by regularly and think I would really, really really, like that land. There are buyers that go past and have never considered it but will reverse up and have a good look.

We have a small section of our development company doing a property agency. The subprime issue and down turn has meant that their listing in newspapers is not getting the coverage a year or so back and is getting cluttered meaning almost nil hits. It does sell the agency though to new clients wishing to sell. Those hits that occur tend to be opportunists trying to buy up cheap for investment.

3.5% for a home and 3.5% - 7.5% for land. It must include for all legal fees and costs. You can offer an incentive with a % for a minimum sale price with a bonus of an additional 5%-7% on anything over that.
 
Whoa! Does the real estate market in Botswana have any resemblance to the real estate market in east Texas?
 
vacant land here is a standard 10% commission. tell them to stuff the buyers broker crap. If they can't sell it them self then they can split the commission between the 2 brokers.
 
Surprisingly there is a specific field of property marketing and economics (based on freemarket human nature) that applies anywhere in the world with the exception of war Zones. South Africa mimics the USA very closely including frequently using agencies from the states and sharing regulations. .............Regrettably they followed into the shadow of the subprime.




When Bush coughs,

Africa farts.
 
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