Why Agents With Low Commission Rates May Hurt Your Transaction


Low commission rates seem enticing, but they can cost you more than they save. Here’s why.

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A seller recently told me they hired their first agent based on a low commission rate. Though their agent offered a commission that was 1% lower than others, this seller sure paid for it in a different way. The home sat on the market for six months, and it cost about $10,800 in upkeep over that period.

That 1%-lower commission rate cost the seller a lot more than what they saved.

There’s more to hiring an agent than just commission rate. If you get an agent who doesn’t actively try to sell your home, it will certainly cost you, regardless of their rate. And if you find an agent who will negotiate their rate, that’s not a good sign either—if they’re willing to give up their own potential earnings, they’ll likely be willing to give up yours, too.

All that matters at the end of
the deal is what’s left in your pocket.


What you need to consider is the net profit you’ll make instead of the commission rate. After all, all that matters at the end of the deal is what’s left in your pocket.

If you have any questions or need further information, feel free to reach out to me. I look forward to hearing from you soon.

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