Real Estate Payment

Discussion in 'Homesteading Questions' started by farmmaid, Aug 11, 2004.

  1. farmmaid

    farmmaid Well-Known Member Supporter

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    We are selling our home and business through an agent. Just wondering, does the agent pay for the advertizing or the company that he works for. For example, we are listed with Century 21 and one of their agents is handling our account. Does Century 21 pay for the advertizing or does it come out of the agent's pocket?...Joan
     
  2. CraftyDiva

    CraftyDiva Is anybody here?

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    This depends and usually is brought up at the contract signing. Some agencies have the seller paying for advertising. This way if the house doesn't sell by end of contract, they aren't out any money.

    You should ask your agent when you sign the contract for them to sell your home.
     

  3. farmmaid

    farmmaid Well-Known Member Supporter

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    We, as the sellers, are not paying for advertizing..I want to know if the individual agent or the company he works for pays...Joan
     
  4. kz

    kz Well-Known Member

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    I know alot of real estate agents and they all pay for their own advertising.
     
  5. SteveD(TX)

    SteveD(TX) Well-Known Member

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    It can work either way. Often, the broker or owner of the office pays for the advertising up front, then advertising costs are deducted from the commission payment, or split between the broker and salesman. Or, depending on the commission split arrangement, the broker might pay all advertising costs.
     
  6. uyk7

    uyk7 Well-Known Member

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    If you would like to help your Realtor out you can advertise on HomesteadHunter.com. We charge $9.95 to advertise your property for as long as it takes to sell your property. No hidden fees. Just list your Realtor's contact information. You can also send up to four pictures to show everyone your property. Thanks.
     
  7. goatlady

    goatlady Well-Known Member Supporter

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    The office pays for a set standard of advertising usually in the multiple listing, their on-line internet service. Additional ads are usually out of the listing realtors pocket but it depends on the office owner and their arrangement with the individual realtors.
     
  8. jillianjiggs

    jillianjiggs Well-Known Member

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    What kind of listing do you have? There is an open listing where the agent isn't guaranteed a commission from a sale, a listing where the agent gets a percentage of the commission if sold, and a listing where the agent has exclusive rights to sell and gets all commission (of course, split with the broker).

    You're pretty likely to have to pay out of pocket for an open listing. For an exclusive contract, the broker/agent get a good commission and are more likely to pay for all costs, including advertising.
     
  9. rambler

    rambler Well-Known Member Supporter

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    It is possible to go either way - you would have to ask your realitor directly to know for sure. Mostly the company foots the bill, but....

    Now, I know what you mean in the above, but of course, you actually do pay the advertising. It's not directly billed to you maybe, but there are closing costs, and these are what cover the advertising. If the buyer pays the closing costs, you _still_ are paying, because a buyer will factor in these closing costs to their bid price, and would have paid you more for the property, had there been no closing costs.

    Or another way - there ain't no free lunch.

    --->Paul