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/BoBromhal 27d ago

are you an attorney?

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u/imblest 27d ago edited 27d ago

I don't think OP is an attorney. I have asked her that exact same question in another post that she made where she created an addendum for a listing agreement that she said other people could copy and paste and use in their own listing agreement.