Utah Flat Fee MLS vs. Traditional?
Utah Flat Fee MLSvs. Traditional? More than 90% of all homes in Utah are sold using the Realtor’s Multiple Listing Service or MLS. To get your home listed on an MLS, you have to hire a Realtor who is a member of your local MLS. You can either hire a traditional Realtor and pay him or her 6% of your purchase price, or you can hirea flat fee Realtorand pay a lowflat fee no matter what your house sells for. UtahFlat Fee Agentis a subscriber to the Wasatch Front Regional MLS. The advantages of a traditional service listing is that you pay nothing upfront and the Realtor offers you their full assistance, expertiseand services to sell your home.
The downside is you pay a full 6% commission, which can be a lot of money. Whenyour house sells, your Realtorwillnormally take 3% or half thecommission you agreed topayand give that to theRealtor whobrought you a buyer. Once in a while, you can find a Realtor who will only charge you 4% or 5%. They almost always give the buyer’s realtor 3% and your Realtor keeps the difference, but not always.
That’s where you need to be careful if you hire a traditional Realtor. If he or she does not offer the buyer’s Realtor at least 2. 5 -3% (especially in a buyer’smarket), your chances of selling your house just dropped dramatically. Always demand they offer at least 2. 5 – 3%. Most traditional Realtors will help you price your home.
They will take and manage all the appointments. They will list your house on the MLS and put a sign in your yard. They will advertise your home on the internet. Somestill advertise ina newspaper or a magazine, but these types of advertising are no longer very effective since almost everyone uses the internet to search for homes these days.
Most importantly, full service Realtors help assess the condition of your home, neighborhood, amenities and are able to help you adequately price your home which is critical. If you don’t mind doing much of the work it takes to sell your house, you can save a lot of money by using a flat fee service. The Wasatch Front MLS sells most of the homes in Utah, so it is definitely worth it to get your home listed on a MLS. UtahFlat Fee Agentis a subscriber to the Wasatch Front Regional MLS or WFRMLS. Because the listing agent is doing the listing for so little, beprepared topay a fee upfront, take your own photos,price your home, manage your own appointments, perform your own followup,negotiate your own deals, fill out your own contracts, etc. Also, it’s important to remember you are only saving the listing commission.
You will still need to pay a buyer’s agent a commission too. One of the biggest potential downsides to using a flat fee service, is sellers may not be able to get the expertise they need to get their home sold, so they end up using a full service brokerage to sell their house. Why is this? Even though most flat fee brokerages say they offer unlimited broker support, the reality is they probably don’t have much time to devote to your sale.
Their fees are so low that, in order to make a living, they have to list a lot of properties. As you can imagine, most of their focus has to be on getting more listings. These brokerage sign up hundreds of listings each year and, the amount of time allotted to each individual listing becomes very thin. This is not to say you can’t sell your house using a flat fee brokerage.
But many don’t and those that do, often experience frustration and less favorable terms. UtahFlat Fee Agentoffers a hybrid of these two types of services. We offer all the same necessary services of a traditional full serivceUtah real estate brokerage, but we do it for a flat fee, that is thousands of dollars less than a traditional full serviceagency.