So you want to sell your Home using an Discount Real Estate Broker? Great Idea!! But what type of Real Estate Services are Offered and which type should you use?
There’s never been a better time to sell your home with an Atlanta Discount Broker. Discount Realtors have inundated the Real Estate Market with different service levels. There’re so many Discount MLS Listing Plans available; Choosing the right level of Service is as important as the Real Estate Company itself.
Generally speaking there are 5 types of MLS listing services offered to Atlanta Sellers.
1.) National Chain type Flat Fee MLS Listing Company which typically charges a Flat Fee to list your home. This type of listing service is generally done over the internet.
2.) National Chain type Discount MLS Real Estate Services typically offer listing services at reduced rates over the Traditional Real Estate Model. Again a lot of this is done over the internet.
3.) Local Flat Fee Brokers (In this case Atlanta) typically charge a Flat Fee. (or a Flat Fee with a small percentage at closing.) to list your home on the Local MLS systems.
4.) Local Discount MLS Real Estate Services typically offer reduced rates with perhaps some additional local market knowledge, experience and expertise thrown in.
5.) Local Traditional Real Estate Brokers provide Full Service Real Estate and probably offer the same local knowledge and experience as your local Discount MLS Broker.
So which is better?
Let me first start by saying HomeAtlantaGa.com offers 3 of the 5 services listed above. We are local (To Atlanta) and we offer an Flat Fee MLS Listing Service, Discount MLS Listing Service and Full Service Real Estate services.
So which type of Discount or Flat Fee Real Estate Service should you choose? The answer will depend largely on your financial position, reason for selling, how much time you wish to dedicate to selling your home and/or how comfortable you feel handling certain parts of a Real Estate Transaction.
Let’s start with the National MLS Listing chains.
In my opinion, I would never sell/list my personal home with a national chain, either discount or flat fee. This to me is just common sense. I want the agent/broker selling my home to be local and available.
So how do you know if an agent or brokerage firm is local to Atlanta? The Georgia Real Estate Commission offers a free search tool. You may look up individual agent(s) or a Real Estate Brokerage firm.
Agent Look Up: http://www.grec.state.ga.us/clsweb/realestate.aspx
Brokerage Firm Look Up: http://www.grec.state.ga.us/clsweb/company.aspx
Make sure you know the Firm’s true name as some companies market their brand under a DBA (Doing Business As) name.
Now, let’s examine the remaining categories.
1.) Local Real Estate Broker offering Full Service
2.) Local Real Estate Broker charging a Flat Fee.
3.) Local Real Estate Broker offering a Discount MLS Listing Plan.
Full Service Brokers:
In certain circumstances Full Service Real Estate Brokers are justifiable. As an example, Discount or Flat Fee MLS Brokers may not offer Home Staging. In this case you may wish to hire a Full Service Real Estate Broker. Another service which may not be offered by a Flat Fee or Discount MLS Broker is listing/selling a home involving a Job Relocation. It really depends on the seller’s situation whether they should hire a Traditional Real Estate Company or a Discount Real Estate Broker.
So what about a local flat fee MLS listing broker?
Typically there are two types of Flat Fee Real Estate Services. One may typically charge a “set fee” to list your home while the other usually charges a “set fee” plus a “small percentage fee” of the sale price. In most instances this small percentage fee is only applicable at a successful closing of the listed property.
So what’s the difference in these two types of Flat Fee services?
Typically the “set fee” broker will list a home according to a predetermined set of standards and that’s it. Once the property is listed you’re usually on your own.
Where as a “set fee plus a percentage of sale” broker tends to offer services far superior to your “set fee” broker.
Some “Set Fee” Brokers will “assist” sellers in selected areas of service, but that word “assists” always makes me wonder.
So which is better a “set fee” or “set fee plus a percentage” listing service? My answer hands down is a “set fee plus a percentage” Broker. In fact, my independent studies have shown a “set fee plus percentage broker” closes 30% more homes (of total homes they list) over the “set fee” companies. The reason behind this is simple; you get what you pay for!
So where is the sweet spot?
I have devised a plan which incorporates approximately 95% of the services offered by many Traditional Full Service Real Estate Brokers while maintaining the cost savings associated with the “Flat Fee plus percentage Brokers.”
Some advantages of this type of listing service include, but are not limited to, no out of pocket expenses to list/sell your home. My plan (The Hybrid Plan) offers enhanced services over our Flat Fee Plan while saving you an average of 1.25% in commissions (Of the sales price) verses the Traditional Real Estate Model.
For more information on our services please visit us at http://www.homeatlantaga.com
By Mark Tidwell