Most of you are familiar with the traditional commission-based model for any real estate dealing, where a certain percentage of the sale price will be paid to the agent. However, in case of a flat-fee option, you will pay a fixed amount irrespective of the sales price.
Hence, if you hire Roger & Adam Lowe, who is a flat-fee realtor, then your buying process can become quite simple. They will negotiate on your behalf for any property in Idaho and help you save a lot of money.
What is a flat fee?
As mentioned before, you have to pay a fixed amount as a commission for the flat fee option. However, this payment has to be made upfront after entering into a contract. Most sellers prefer this option as they can save on commission fees. This flat fee is decided at the beginning before any sale negotiation starts.
Since you no longer have to pay a hefty commission if the sale price is very high, a seller can save a lot of money. Additionally, there is a lot more clarity.
What is the difference?
In the flat-fee option, the seller has to pay only once and then forget about it. However, in case of the traditional commission agent model, sellers have to pay a certain percentage of the sales value as commission.
What is a realtor’s percentage?
One of the most important benefits of this option is that a seller has to pay less to obtain the same service.
Let us use an example to better clarify this. Suppose you sell your property at a sale price of $200,000 then you have to pay a commission charge of 3%, which is about $6,000. But if you have opted for a flat fee, you only have to pay a fixed amount.
In this option, you also have to enter into an agreement where the duration of the service will be specified.
However, in contrast to a traditional commission agent, the range of service of a flat-fee option will be limited. Still, those sellers interested in saving some money may prefer this option.
Access
Another important benefit of this option is that the flat-fee agent will offer you access to the market after you enter into a contract by specifying their range of services.
A flat-fee option can be more cost-effective if you shoulder the responsibility of directly negotiating or showing the premises to buyers. By adopting this approach, you will succeed in showcasing your property to several other agents through MLS (Multiple Listing Service)
Flexible schedule
A flat-fee real estate agent provides flexible scheduling, allowing them to accommodate your availability. The process is more convenient because of their flexibility, which guarantees that you may work with them at times that is most convenient for you, particularly if your schedule is erratic.
Conclusion
With substantial benefits like lower expenses, market access, and flexible scheduling, a flat-fee real estate agent is a desirable choice for sellers who want to optimize their earnings while maintaining control over the selling process.
