Well I’m listing my duplexes - I blame almost all of you, especially Frank and Dave ;-)Going to 1031 into a MHP.I own 5 duplexes free and clear, I want to sell as a package, quick sale price. Realtor suggests 120K each for a total of 600K. Won’t get that of course. All built in 2005, all well kept and rented out at or near market top of about $700 each per month on average. Realtor wants 6% commission. Does that sound reasonable for a deal of this size?PS - I’m already signed up for the boot camp later this month, been listening to the CD’sThanks in advance.
While 6% is the U.S. average commission structure on a house, it is completely negotiable, and we have sold properties at much lower commission rates. But it’s based on several things: 1) the size of the deal (and $700,000 – while a lot of money – is not considered large in a world of $7 million deals) 2) the difficulty in selling it (how desirable the property is and how hot the market is) and 3) how hard up the realtor is for a commission (or they starving, or have more deals than they know what to do with). Only you can answer these questions because you know the properties and the market, as well as interview the brokers. But can you lower that rate? I think so.
How about offering 4 percent if the listing agent brings the buyer on his own.
Most will give a discount if another agent is not an involved.
The agents who do it for less will list the property and not market it.
Thanks for the input. The market is pretty solid right now, and being a package apparently brings in a different kind of investor.I spoke to a Realtor friend of mine in a nearby market and she suggested 5%, so that’s what I want to go with.This Realtor does have a bit of an edge though as they find my tenants for me so they know the business and have personal experience with these properties. They also claim that they have some investors flying in to look at some properties, including mine.
Update - thanks for the help. They agreed to 5%