Occasionally someone will ask me why we charge a simple flat fee for our home selling services, rather than a more traditional percentage-based commission.

I ask why not?

We treat all our home selling clients the same way. We do the same job for each of them. We carry out the same work for each of them. We strive to achieve the best possible outcome for each of them.

So why we would charge them different prices based on the value of their home?

Perhaps we should be ask those REALTORS® that charge a percentage why they do it their way?

They might argue that a percentage model encourages them to get the most amount of money for their clients. The actual difference in commission is so small if they get another thousand or two for the seller, it’s hardly an incentive and anyway, isn’t that greed? As fiduciaries not salespeople, aren’t we supposed to put our clients’ interests first. I think the answer is yes. Our client’s interests ALWAYS come first.

Does it work?

During my 20-year career I have sold approaching 1000 homes for my clients. Most were sold using our flat fee system. As our team grows to include other home selling advisors, we will serve larger groups of clients and more people will benefit.

How do we calculate the price?

The price we charge for our program is based on the actual cost of providing the service, a contribution toward overhead and a margin of about 10%. The next time you talk to a traditional REALTOR® ask them how they come up with their percentage. You will probably hear much shuffling of feet and some mumbling about it being a tradition I expect.

Is it fair?

The same flat fee for everyone. That’s fair.

How do our client’s benefit?

Everyone receives the same treatment. We provide the same FULL-SERVICE plan for everyone. Because we are value priced, most of our clients will save money, compared to the traditional 7 and 3 commission formula.

Perhaps one day all REALTORS® will charge a transparent flat fee.

Until then, we are happy to serve and ready to help you and your friends.

About the author:

You can read more about the author of this blog by clicking this link – Stuart Neal Broker Owner & REALTOR®.

Want more information about our transparent & affordable full service FLAT FEE home selling programs? Please feel free to call our broker owner Stuart Neal at: 780-760-2014 or visit our home sellers page www.FlatFeeRealtyAdvisors.ca 

Posted by Stuart Neal on
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