Reasonable Commission Explained
Fair and Reasonable: I believe Portland real estate agent commissions should be fair and reasonable. Though I have become increasingly successful over the years, reaching Top 5% in the country, I have maintained a reasonable commission rate of 4.5% to 2%, typically only charging 2% for my services.
I provide more services than a 6 or 7% Portland Agent.
See: Listing Agent Package
See: Buyer’s Agent Package
Typical Listing Agent Commission: The 6% listing agent will typically give 2% to 2.7% commission to the buying agent and keeps 4% to 3.3% commission for themselves.
Typical Buyer’s Agent Commission: If a listing agent does not offer 2.5% to a buying agent it is unlikely the buying agent will show the listing, even though it is illegal to discriminate based on offered commission. The vast majority of the time in the Portland, Oregon area the buyers agent is offered 2.5% commission.
Our reasonable commission: As a listing agent specialist, I keep only 2% and offer 2.5% commission to the buying agent. If I represent the buyer and the seller, the total commission charge is 3%. In the very rare situation where the buyer self represents, the total commission charge is 2%. Most sales conclude with a total commission charge of of 4.5%, 2% for myself and 2.5% for the buyer’s agent.
Team Discount: Most buyers do not want to work with the listing agent and want a buyer’s agent to represent them in the sale. So if we get a buyer lead and they don’t want to work with me, I assign them to my buyer’s agent Kami Price. If she sells it, the total commission charge is 4.25%, an additional discount of .25%. Now if a buyer reaches out to me and doesn’t mind using the listing agent to represent them (both sides) the total again is 3%.
How can I charge 2% and provide more services and marketing than a full price agent? If I save money, you save money. If I don’t have to pay a buyer’s agent, you get a serious discount. If my team member sells it, you get a discount. Secondly, we sell a lot of homes. A lot. We make it up in volume while still being able to provide excellent full service and marketing that has earned us hundreds of positive reviews and multiple customer service and sales awards. Finally, I believe it is a fair and reasonable rate for excellent service and top notch marketing.
Stephen FitzMaurice, Realtor
Top 5% Agent in the U.S.
Portland Area Real Estate Agent Since 2003.