Business Week magazine reports real estate commissions in some parts of the country are going up as anxious sellers are willing to pay more to attract the attention of agents with buyers, and listing agents are become more particular about the homes they list.
The magazine said commissions of 8 percent are not unusual in hard-hit parts of the country – such as California – and that some home builders are paying agents as much as 10 percent to help them reduce inventory.
Business Week quoted an agent with EXIT Realty in Minneapolis as saying he charges sellers 6 percent commissions for his “typical menu of services,” 7 percent if the seller wants a guarantee that the home will be sold in 39 days, and for an 8 percent commission he’ll do free home staging and mount additional advertising.