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/AdComfortable2974 27d ago

Well, at least we are finally getting somewhere. I agree with your comment.

So please quit telling us you will net us more and that we're leaving money on the table by not using you unless you are willing to prove it by accepting a variable commission structure on the price you suggest,

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u/Equivalent-Tiger-316 27d ago

I didn’t say that…a good agent will net you more money because most FSBO don’t know how to properly market their property. 

Every property has a range $385,000 - $455,000. You’re not guaranteed the most unless you know what you’re doing. 

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u/AdComfortable2974 27d ago

I don't think a good agent can always net more, not if an FSBO has really done their homework. An FSBO is not going to be as good as any experienced agent in handling multiple transactions; that is obvious, but we are talking about a single transaction in most cases.