I received an email today from a development in Orlando (one of the standard emails we receive marketing various projects) but this one read "23% Commission" in the subject and nothing else. Of course I was intrigued Upon opening it I see that it indeed offers "23% for a limited time". There's no mention of how long this promotion lasts, no info whatsoever on the details of the commission, illegible writing at the bottom (it appears to be the disclosure statement), but there's a picture of a really pretty woman in the middle of the flier. Maybe that's the hook. A lot of money and a beautiful gal.
I don't know, but if someone's offering such a large commission it's probably because the units aren't moving. If they aren't moving, wouldn't it make sense to drop the price by 10 or 15% instead of increasing the agent commission by such a large number? Don't get me wrong, I'm all about making money but isn't the marketing department's priorities skewed? Agents making more money doesn't make the units any more attractive to the buyers.
Price the units properly and compensate agents well, that's a recipe to success.
I had an REO property that ended up paying me 25% due to a flat fee and a LOW price.
This one sounds like quite a scam, maybe they will pay you a 23% referral
Jeff - 25%? I'm impressed! 23% referral sounds much more realistic, which I don't have a problem with but don't market it in a manner that an agent thinks it's 23% commission. That's misleading.
Adam - LOL!!! That could very well be how it works out.
It sounds to good to be true but all you can do is check it out.
Desperate times brings desperate measures.
Tchaka - This sounds like some kind of scam to me. Doesn't sound right. If they are trying to sell by offering a 23% commission that just plays in to the public perception of the greedy real estate agent. Of course if it is actually a referral fee that is another thing entirely. Our office traditionally offers a 25% referal fee. Makes you wonder about an agent who doesn't know the difference between a comission and a referral fee.