This answer is different for every client. In general, my listing agreements last for 6 months and buyer agreements for 3 months. However... if either party decides that our working relationship is not productive, we can cancel at any time. We can also agree to a shorter or longer period of time and can always renew our contract as we get closer to the end date.

I charge 3% of the final purchase price to list a home and 2.5% to represent buyers.

As of August 17th, buyers are required to sign a Buyer Agency Agreement which establishes a client/agent relationship and outlines the commission to be paid by the buyers. (Learn more here).

I encourage all of my sellers to offer a 2-2.5% commission to agents that represent the buyers of their home. (This would bring the total commission to 5-5.5%). Learn more about my thoughts here.

It is important to note that commission is always negotiable.

Here is a list of things I always pay for:

• Photos

• Video

• Home inspection

• Social media ads

• Open house costs

• Marketing materials

Here are some things you may be responsible for:

• Other needed inspections (pest, roof, well, etc.)

• Repairs (we discuss what is and isn't necessary)

• Staging the home (ask about my staging buy-back program)

As much as I wish I determined the market, I don't! What I can control is how I market the property, how I advise you on price (which is part of marketing!) and how I advise you to prep and stage your home. Factors that go in to how quickly your home sells include:

• The time of year

• The price you list your home for

• How many buyers are currently in the market for a home like yours

• The terms you are willing to negotiate

• The current inventory (other homes on the market)

• How well your home shows (staging, cleanliness, curb appeal, etc.)

We actively search for homes for our clients. Once we have exhausted all of the properties on the market, we get to work... aggressively!

• Access to our off market opportunities file (over 40 off market homes!)

• Letters to your preferred neighborhoods with your buyer profile

• Door knocking your favorite homes and areas

• Cold calling owners of homes within your parameters

• Social media ads

A series of recent lawsuits has changed the way real estate commissions are handled. It sounds really scary for buyers, but it's not too different than it was before. There is a ton of miscommunication about the new rules, that we've broken down here.

Let's break it down quickly:

For sellers

Before:

• A seller lists their home. Their agent provides them with a net sheet that breaks down what they owe, what their house is worth, and what their profit would be at a given sale price.

• Part of the net sheet includes a 5-6% commission. The listing agent shares 2-3% of the total commission with the buyer's agent.

• The buyer's agent commission percentage was advertised on the MLS. (Multiple Listing Service)

• They always had the option of not offering a commission to the buyer's agent.

After:

• Commission offered to the buyer's agent is not allowed to be advertised on the MLS.

• Buyers and their agents now have a legal commission agreement, in which the buyer agrees to pay their agent's commission if a seller is not offering any.

• If the agreement between a buyer and their agent is 1.5% and a seller is offering 2.5%, the agent is only allowed to accept 1.5% commission from the seller.

• If sellers do not offer buyer's agent commission:

• • Buyers will negotiate for the payment of their agent's commission.

  • Buyers will ask for a credit at closing to pay their agent, resulting in less profit for the seller.

  • If sellers do not agree to either of these, some buyers may not view the home at all if they believe they can't pay their agent due to the terms/price of the home.

For buyers:

Before:

• Buyers could schedule a showing with any agent, at any time. No contract was needed.

• Buyers could freely attend open houses without representation and ask the listing agent questions about the property.

• Their agent's commission was technically paid by the seller.

After:

• Buyers are no longer able to preview homes without having a signed Buyer's Agency Agreement. (Learn more about the specifics here).

• Buyers may attend open houses, but are unable to receive information about the home that is not publicly available unless they are accompanied by their agent.

• Part of the new BAA agreement includes a commission agreement. Technically, buyers are now responsible for paying their agent's commission.

Busting myths:

1. Sellers are still allowed to offer compensation to a buyer's agent. They are simply not allowed to advertise it on the MLS. The listing agent is allowed to disclose commission offerings if asked, and can advertise it on their website or marketing materials.

2. Buyer's will most oftennot pay for commission out of pocket. If a seller is not offering commission, it can be wrapped up into the loan or taken as a credit at closing.

3. Buyers have always paid commission. In fact, if you think about it... they have always, and will continue to, pay for the full commission for both agents. Think about it this way:

   • A 5% commission on $100,000 is $5,000. If a seller lists the home for $100,000 and the buyer pays full asking- the money is technically coming from the buyer. They are the one funding the loan or bringing cash to the closing table. If there were no commissions, then the value of homes would drop by 5-6%. That same $100,000 home is now "worth" $95,000. The seller is walking away with the same amount of money. Who is saving money if there are no commissions? Buyers.