Real Estate Commission Rates Are Changing As Real Estate Commissions Are Evaluated

Our society becomes very mobile with today"s useful technology

. In fact, one might say the world is a global transient society. People everywhere are moving to different countries all the time.

There are many reasons that bring these people to these locations. A new job opportunity is likely the largest reason people move. However, some move across the world for adventure and a new culture.

Regardless of the reason, they are in need of purchasing a home. Homes in New Zealand have been sold recently in spite of the market. This encourages home owners to put their house on the market for sale.

Real estate commission fees have been quite high in the past. High real estate commission fees have led many to keep their house. However, new innovative firms are addressing real estate commissions.

Firms are offering new ways to calculate real estate commissions. Real estate commissions in the past have been based on sales price. A certain percentage is taken from the sales price as the commission.

Real estate commission rates have thus been based on the sale price. However, many home owners have not been happy with this price. They believe their house should have sold for much more than that.

Agents were getting a high percentage on the ending sale price. However, if it was a low sales price owners were getting very little. Some realty firms have changed these real estate commission rates.

One firm calculates real estate commissions with two percentages. One percent of real estate commission fees comes from the CV. This one percent is actually charged up to one"s CV in selling a home.

The rest of the real estate commissions is a five percent fee. This five percent real estate commissions comes from the sale price. This is the actual negotiated price the real estate firm gets.

Real estate commission fees calculated this way are much better. This means a home owner gets a much better sale price in the end. The reason is agents are more inclined to work harder at negotiations.

Agents are paid based on real estate commission fees they earn. The higher the sales price the higher real estate commission fees. This saves nearly fifty percent in real estate commission rates.

Real estate commission rates have traditionally been high everywhere. Real estate commission fees this way are very cost effective. Sellers have been very happy with these real estate commission rates.

by: The Property Market

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