The real estate commission and fees play a crucial role in local property market stability.
Real estate agent commission in the ACT significantly depend on the number of servicing real estate agents and property types. On an average, metropolitan ACT property sales incur a 2.08% commission rate. For regional areas, a higher rate of 2.51% is typically charged by local real estate agents. It is important to gauge into all other possible sources of fees such as home staging, marketing fees and the likes. These fees may change depending on what is agreed upon on top of what is under the commission’s structural rate.
On the one hand, places such as Broken Hill, Orange and Mudgee have higher rates of 3.0%-3.25%. Their marketing campaign and advertising costs, if you compare to known cities, are generally higher. Selling a property in these areas hard due to the low economic activity.
On an average, metropolitan ACT property sales incur a 2.08% commission rate.
For regional areas, a higher rate of 2.51% is typically charged by local real estate agents.
Fixed or discounted commission structure indicates that a fixed amount or percentage will be taken out of the eventual property sale price. Once a house is sold, a fixed amount will be paid to the agent. In most cases, agents that offer these rates will more likely sell a property faster than tiered ones.
Tiered structure commissions works in such a way that the agents will get their fee depending on the price that your property sells for. If it sells off at an average price, then the initial fee will be deducted. But if it sells off at a high price, then a higher commission will be deducted as well.
Experienced agents will charge higher and negotiate at a higher rate and those with less will charge less. It always comes at a compromise but good negotiation skills will definitely make the bargain better, if not, worth it.
Finding a cheap real estate agent commission is not as easy as it sounds. Most of the time, sellers may have to compromise.
Cheap rates may come with greater marketing costs but cheaper sales expectations. If you sell your property at a fixed or discounted commission rate, you could get potential buyers in no time.Fixed or discounted commission structures may be considered the “cheap” but the best possible way to go around the competitive real estate market. This will allow you to save time, effort, all the while finding easy and fast buyers. If you are, however, willing to allot more time to stretch your asset cost of selling, opting for a tiered structure could be another good choice to consider.