How Do We Get Paid?
There is generally a great deal of confusion as well as considerable misinformation about how Realtors® are paid. We are paid a commission, which is based on the selling price of a given property. But there are many aspects to this you are probably unaware of.
When you find a home or property you are interested in, in order for us to get paid, we need to be involved when you first see the property as well as when you write the offer. There are thousands of properties listed on our site for your convenience. We work hard to provide you with the information you need to make the right choice for you and your family. Please remember that we have people on our team who created this site, who work in the office and in the field to provide this information, and continually update and maintain the site. We also answer your questions, and show you homes. When you're ready to see a home, please call DEB at 651-983-0121.
Agents are generally independent contractors, not employees. There's no salary involved and no regular pay day. As independent contractors, each agent must pay self-employment taxes, our own medical insurance, errors and omissions insurance, licensure fees, continuing education expenses, office and equipment expenses, access fees for the MLS (multiple listing service) as well as our own business expenses - mobile telephone, real estate signs, lockboxes, gas, marketing materials, home brochures, etc.
We work on a contingency basis - we are only paid if and when a deal closes. So, if a buyer's financing falls through or there's a problem with the title or the property and the sale doesn't close, we are not paid... period. Because of that, we are very committed to working with you, following the transaction through, and making sure it is a successful one.
We also have a fiduciary duty to you. That means if it's not in your best interest to buy or sell, we'll advise you of that fact - that also means we don't get paid. Now that's commitment! Accordingly, we ask you to be willing to commit to us.
You likely also know that the commission is most often paid by the seller of the property. But did you know that commission is shared by a number of people? First, the listing broker gets paid - that's the company with whom the home is listed and with whom the listing agent is affiliated. If the buyer is represented, the listing broker pays a 'co-broker' commission to the buyer's broker. That's the 'carrot' to entice agents to sell each others' listings on the MLS. Each broker - the listing broker and the buyers' broker - pay their agents a share. By the time all these 'splits' are done, your agent will typically receive only 20-25% of the total commission.
Why should you use a Realtor®? Not all licensed real estate agents & brokers are Realtors®. To use the registered trademark Realtor® an agent must be a member of the National Association of Realtors®. All of the licensed professionals on Deb's team are Realtors® and as such must follow the strict Code of Ethics set forth by the National Association of Realtors®.
The purchase and/or sale of your home is likely one of the most important financial decisions you will make in your life. And each subsequent sale and purchase is typically larger than the one before. The average home in the Twin Cities area costs approximately $240,000. If you had an income tax issue for even half that, would you hire a tax professional? If you had a legal issue of $100,000 would you hire an attorney or handle it yourself? Considering the small cost to you (and if you're a buyer, there is typically no cost) and the tremendous risk, along with the myriad of details involved - it would be foolish not to use a professional Realtor®.
Please see Free Buyer Services and Seller Services.
Do yourself a service and give Deb a call before you see a home or make an offer: 651-983-0121
There are no open houses at this time.