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How to Help Your Agent By Marcie Geffner Reprinted with permission from The Los Angeles Times
Why is it that some home buyers and sellers absolutely love the same agent whose name has been erased permanently from other buyers' and sellers' address books? The difference isn't necessarily the agent. More than likely, buyers and sellers own behaviors and attitudes were part of equation. Getting great service from a real estate agent isn't just a matter of luck. On the contrary, buyers and sellers who know how the business works and how they can motivate their agents to achieve peak performance have a definite edge. Here are some tips from realty pros on how you can get topnotch service from your agent: Tips for Sellers 1. Understand the importance of commissions. Real estate agents are salespeople, and that means they naturally devote most of their effort and resources to homes on the market that present the best opportunity for a full commission. Although, a 6% commission often is cited as standard in the industry, commissions are negotiable. Many agents accept 5% and others are willing to work on a sliding scale (i.e., the agents earn more if the home sells for a higher price). Agents say a 5% commission isn't necessarily a disincentive, but 6% is definitely a stronger motivation. Below 5%, motivation, marketing and client service tend to diminish markedly. Even if the listing agent agrees to accept a lower commission, some buyers' agents won't bother to show a home offered at less compensation. "I honestly don't took [at the commission being offered], but a lot of agents will start [showing homes] at 3% for their side, then go to 2.5%. If you are really motivated [to sell your home], you should make it as sweet as possible,'' said Murray Weisberg, an associate manager with Fred Sands Realtors in Brentwood. Agents also say a higher commission gives them room to renegotiate later to bridge a price gap between the seller and a prospective buyer. Although the agents aren't obligated to kick in a portion of their commission, they may be more willing to do so if they're starting with 6%, rather than 5%. Before you sign a listing agreement, it's OK to ask the agent how he or she feels about taking a cut later in the negotiations. 2. Offer a bonus to the buyer's agent. Another motivational strategy is to sweeten the pot for the buyer's agent by offering a bonus on that side of the transaction. "I'm a big believer in giving the bonus to the agent bringing the buyer as an incentive to get my listings sold," said Andrew Manning, a Realtor- associate with Fred Sands in Studio City. "If the seller pays a little extra money, they might get a buyer who might not normally be shown that house. If [the agents] see that [the seller] is offering a higher commission, they'll probably add that house to their list," he said.
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