Paying someone else for a job, even if they have done a good job, is never something to hope for. The same goes for the Realtors of Playa del Carmen. Real estate agent fees are considered by some to be a necessary evil. Some simply cannot waste the time and resources to sell their home or buy it on their own. Most real estate agents work hard for their commission; even so, it is difficult to see thousands of dollars slip out of your hands and into the pockets of your Realtor.
Most real estate agents are paid through a commission plan that, in most cases, ends up being a percentage of the home’s sale / purchase price. Commission rate percentages will vary from one real estate agency to another, but most neighboring agents will have comparable rates. A common real estate agent fee is 5 to 7% of the sales price.
Once you do the math, you’ll find that 5-7% is a lot of money (in fact, enough for people to make their own purchases and sales despite the difficulty). However, it may be comforting to know that the real estate agent is not the recipient of the full commission amount. After paying your Playa del Carmen real estate agent the agreed-upon percentage, the real estate agent must split his earnings with the agency he works for. If there are other brokers involved in the purchase or sale, these brokers will also get a share of the sale. The agency the broker splits his commission with (usually paying 50%) receives compensation for the real estate agent’s work space, marketing, support, and other resources needed to assist in the sale.
While it is possible to find rates lower than 5% in Playa del Carmen, it can be difficult, especially in markets with a lot of real estate business and little competition between agencies (the absence of competition means little incentive to have a competitive price). Some agencies are open to negotiate prices. Here are two tips for lowering your real estate agent’s fees.
1. Agents who don’t have to give as much money to the agencies they work for have more flexibility in negotiating the price with you. When a real estate agent works for a company that requires 50% commission, it puts the real estate agent in a difficult position of having to compromise the small percentage that they will actually end up with. Some real estate agents are only required to pay 15% to their agencies. These are the types of real estate agents that are most likely to offer you some type of discounted price.
2. There are real estate agent services you can opt out of to save money. Marketing methods like newspaper ads are rarely the ones that end up selling a home. Telling your agent that you are not interested in such underperforming expenses saves the agency money that can then be passed on to you.
If you are still not satisfied with what you can expect to pay a real estate agent in Playa del Carmen, consider all the costs that you would incur if you had chosen not to hire a real estate agent. Remember that when you sell your house on your own you are responsible for paying for all forms of advertising, you pay for your house to appear on the list with a service, you pay for legal advice, you pay for copies, stationery and documentation. You sacrifice money and time that you could save if you hadn’t had to spend so much time selling your property or looking for a new property. Consider time lost from work and time lost with family and friends because you are responsible for being present at open houses, meeting potential buyers, reviewing inspectors, etc. If you don’t follow all the laws and present the proper documents, you could also have to pay a large amount of money in a lawsuit. All costs add up quickly.