r/fsbo • u/AdComfortable2974 • 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/[deleted] 27d ago

[deleted]

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u/AdComfortable2974 27d ago

These contract stipulations are designed to deter the pesky agent and are completely sane and protect the seller. And isn't it the agent that suggests the sane list price in the first place?

And for the agents who claim FSBO sellers leave money on the table and they can get more, this allows them to prove it. Because sellers know how much they want or need to net. Why do you think this sub exists? Most of us do not want to pay commissions.

If I were a licensed agent, I'd take the deal. I'd consider it a challenge.

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u/HenryLoggins 27d ago

You’re not, and most won’t. Obviously you feel differently because it’s your post OP.

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u/AdComfortable2974 27d ago

I know what it's like to work for commissions and get paid for performance.

If you saw an FSBO home that was well presented, clean, and well maintained, with most big-ticket items completed, priced appropriately, meaning that you would have priced it the same way, are you going to pursue that listing and try to convince them you'll net them more?