Wow! That’s right folks, it’s not a typo. With all the talk these days about commissions being too high, we find a seller that offers a 10% commission.
I spoke briefly with Diane Gordon of Lamb Realty this morning and she confirmed that the seller is offering a 10% commission - 5% for the listing broker and 5% to the buyers broker. She said it was the sellers idea to offer 10% as a unique way to market the property. I mentioned that it was really unusual to see such a high commission and asked if there was anything wrong with the property or whether it was it a distressed sale and she said no. Diane did say it was the first time she ever heard of a commission that high.
I guess the seller just wanted to stand out from the crowd in a creative way. Will it help sell the property faster? I don’t know. Will every broker who has a buyer in this area and price range show this property to them? Most likely.
Diane was out the door when I called so I didn’t get a chance to ask a couple more questions like:
1. How long has it been on the market?
2. Where are you advertising the property?
3. Are you advertising it more than any other property you had?
4. What has been the feedback from the brokerage community?
Best of luck to Diane and the seller!
Listing Info: See Entire listing here
333 East 55th Street
Apartment 14D
Pristine Midtown Gem!
APARTMENT INFORMATION
XXX Mint JUST RENOVATED- Junior 4 in Prime Mid-Town Co-op. Custom Mill Work and Top of the Line Materials from Floor to Ceiling. Not one Detail Overlooked. Brand New Appliances never used. Dramatic Recessed Lighting. Bright Southern Exposure with City Views. Great Closet Space. Top Notch Fill Service Doorman Building. Must See!
ASKING PRICE
$875,000
MAINTENANCE
$1,288.85
BUILDING INFORMATION
Live-In Super
Roof Deck
Courtyard
ADDITIONAL INFORMATION
Shares 298
Financing 75%
Board Approval
FOR APPOINTMENT, CONTACT
Diane Gordon, Licensed Sales Associate
Cell 917-770-0625
Dgordon@Lambrealty.com
Patti West, Licensed Sales Associate
Cell 917-941-5408
Pwest@Lambrealty.com
Thanks to Noah form Urban Digs for following up on this story. He pointed out some interesting items on his post which included:
- Days on MARKET
- Recent Sale Comps
- Active Listings in the Building
- May be overpriced based on recent sales.
- Will it appraise if offer is close to ask or ask?
- Slower market needs a more realistic asking price - not necessarily a higher commission to justify an inflated price.
See his post here: http://www.urbandigs.com/2006/06/10_commission_a.html
Has anyone actually seen this listing?
-rdb°
Thanks to Christine Forgione of NY Houses 4 Sale for pointing out that this may be a great way to get buyers brokers working for you.
See her post here:
http://nyhouses4sale.typepad.com/ny_houses_4_sale/2006/06/calling_all_bro.html#trackback
-rdb°
This is what was projected to happen on the Inman conference a few months ago. Supply and demand. The time is returning where marketing skills are important.
larry - i think the property still has to be priced realistic to current market conditions - regardless of the commission.
-rdb°
rdb: Yes for sure. However, I just spoke to an agent that has started marketing expired listings. His first mailing is getting call backs. He notes most of the mailing went to people that had listed with companies that don’t give any effort on marketing.
Larry
larry - every seller should understand the exact details of what a prospective agents / companies marketing plan is before they sign any exclusive agreement. better yet, the agent or company should make it part of their listing presentation and highlight where, when and how often they will market their property and provide updates on all marketing efforts.
expired listings do happen for various reasons. most often, it’s because of improper pricing and lack of exposure.if that agent you mentioned includes a detailed marketing plan in his listing presentation along with past client testimonials, he should have a a good chance to represent them.
i wish him luck.
-rdb°
Awesome! great marketing. Let me know if it works, please. I’m not competition. I’m from the midwest.
Chris, have you ever heard of a broker in the midwest trying this strategy?
and to think that I do anything I can to screw the broker, look at this crap.
This strategy has been used and 10% does get attention.