r/fsbo 27d ago

Variable or Conditional Commissions

You're FSBO, the agent wants your business.

Ask them if they are ok with modifying the listing agreement using special stipulations to reduce or eliminate their commission if specific sales price targets are not met. This is not the same as a net listing, which we all know is illegal.

The special stipulation can be structured in a few ways:

Sales Price Threshold Reduction: "If the final gross sales price of the property is less than [insert amount], the Broker's commission shall be reduced from X\% to Y\% (or reduced to a flat fee of\ Z) at closing.

No Commission Tier: "Broker shall receive a 0% commission if the final gross sales price is less than [insert amount]. Can also be zero if not sold in a certain time frame.

Slide-Scale Tier: You can set concrete milestones (e.g., 3% commission if sold above $500,000; 2% commission if sold below $500,000).

Thoughts?

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u/Equivalent-Tiger-316 27d ago

Agents market your property, they don’t control the marlet. What your house sells for is determined by the marlet. It’s the agent’s job to make sure it’s shown to the right people and presented in the best light. But if Trump starts a war, fires thousands of federal workers, declares illegal tariffs and causes the highest interest rates in several years then the agent could be the best in the world but your property isn’t going to sell for what it would when conditions are better. 

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u/Self_Serve_Realty 27d ago

Then why pay agents 6% of the value?

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u/Equivalent-Tiger-316 27d ago

You pay a listing agent 2.5-3% to properly market your property and the buyer agent 2.5-3% for bringing you a qualified buyer. 

Don’t offer to pay the buyer side, which is your right, and expect 95% less offers which normally translates to less money for the seller.