hey folks my name is chris at hauseit based here in miami florida today we're
going to talk about a interesting topic a lot of our sellers who are using the
agent assisted fsbo do-it-yourself listing plan
have questions on and that is can i offer zero percent commission in
the mls
well let's talk about this and the question will be easily as applicable
as for sellers who want to offer lower commission and not necessarily
zero you know we've heard requests for hey can i offer less than two percent
can i offer you know one percent can i offer 500 or you know zero in the mls
through our service and the answer is is no first of
all you cannot offer zero or nothing in the mls
because most mls rules prohibit that i mean most ml less
most mls associations require you by default to offer some amount of
compensation to cooperating brokers basically buyers brokers
well if you don't offer anything there's no point of listing your property in the
mls in the first place because to take a step back the whole point of having
an mls for using the mls is to contractually offer commission to buyers
agents so they won't be afraid to show their clients
your listing because when they you know show your listing
they don't need to sign a separate commission contract with you they
automatically know they will get paid because every mls member is
contractually bound when they join the mls to co-broke what they say they will
call brook meaning split you know actually pay the commission they offer
in the mls to cooperating brokers so it's automatically contractual that's
why it's so effective it works so yes if you if you use the mls if you
list your property in the mls you know either you're an agent yourself
or you list it through through a broker for example through our service
or our house agent assisted fsbo service you know you need to comply with mls
rules and offer some form of commission to buyer's
agents now what that is can vary based on the
specific mls for example with some mls's the the one key mls at least in prior
days um you know doesn't specify an exact amount but you know it needs to be
some amount of commission to buyers agents the remnany rls in new york city
you know specifies that the commission that you offer first of all
has to be something you know it has to be at least fifty percent or greater
in favor of the buyer's agent so if it's six percent it needs to be at least
three percent to the buyer's agents if you can't favor yourself as the listing
agent more so again it varies based on the the
mls but generally speaking no you cannot just put zero and hopefully it makes
sense why if you wanted to put zero then why would
you bother doing a flat-fee mls or asian-assisted
fsbo in the first place you would just put a yard sale sign out equivalent and
say i'm selling it you know by myself for sale by owner the traditional method
there's no need to go through the mls in the first place
and in other videos we'll talk about why that is incredibly ineffective and why
you need full exposure by going through an agent assisted fsbo by getting it on
the mls so all buyer's agents can show it to their clients and such
and then you know the the secondary question to this is you know what if
it's offering not necessarily zero but you want to offer something below market
rate like you want to offer one percent when the standard for the area is three
percent or two and a half percent or more
um well we don't recommend that either because
you know say that it's standard for example in manhattan even here in
south florida two and a half percent three percent is fairly common
you want to offer less you want to offer one percent
well it kind of goes along the same logic i mean why would you bother doing
that because if you you know if you're listing your property on the mls to get
the attention of buyer's agents and you offer something that's substantially
less you know they can see it in the mls and
they're going to generally avoid that listing because they can get paid a you
know two three times more you know three percent for example on any other listing
why would they show their client something that's only offering one
percent it's like shooting themselves in the foot you know they see the
commission it's fairly obvious these are you know economical actors working on
commissions so it does matter to people which is why we always say you should
actually offer something market route if you're going this route you know offer
two and a half percent three percent if that's the market norm so you can see at
least all of the action and you know if there's a difference between two offers
you have ones represented one's not you know you can always counter higher to
the represented one if it makes that much of a difference to you
to make up for the commission that you'll have to pay
and lastly you know keep in mind if you're offering something non-market
rate you know one percent or even in new york city you know we've had agents from
you know very large firms there to in writing tell us when we've seen it
before done it before hey you know my firm does not allow us to
show properties at in this price range for only two percent so you know
in the past we have gotten complaints before for for example in the new york
city market you know for less than two and a half two and a half percent so for
two percent you might get complaints which is why we really recommend
for sellers to to offer something market rate that's typically two and a half
percent or three percent and this is not you know something that we dictate you
know it can vary based on the market norms for example in you know eastern
queens or southern southern brooklyn you know the the norms can vary it could be
two percent might be acceptable so we do recommend you offer something that is in
line with market norms so you don't shoot yourself in the foot because
you will regret it later if you offer something that's you know kind of viewed
as a joke early on that's below you know say you offer two percent and you have
people complaining not showing it and later on you realize you you really want
the cooperation of of all the buyer's agents and you raise it to two and a
half percent well guess what you know the listing's already been out there for
a while there's not an easy easy way to to alert people that you've
changed the commission you know and you have to keep track of
of you know like who saw it before and not
and it's just that it's it kills a lot of your momentum
especially since most of the the sort of the viewings and showing requests come
early on in the process so we recommend doing it right from the start offer
something market rate if you just simply don't want to work with buyer's agents
again which is a very very non-strategic move and we'll explain why
that doesn't work then you shouldn't bother with trying to get it in the mls
in the first place anyway
my name is chris at hauseit one of the co-founders here i hope you found this
helpful please leave a comment below if you have any questions we'll get back to
you and of course if you're looking to save
on commission we can help you save all six percent with an agent-assisted fsbo
listing or if you want something more hands-on we have a full service for one
percent listing option where one of our agents takes care of everything for
you from beginning to finish and if you're looking to buy something our
agents can help you save two percent or more by giving you two-thirds of the
buyer agent commission at closing and that can be you know
quite substantial because oftentimes you know developers will offer more than
the typical three percent to buyers agents they might offer five six seven
percent as an incentive to buyers agents and two-thirds of that can cover your
closing costs and more we cover all of new york city long
island and the hudson valley we're based here in miami these days we cover
miami-dade county broward palm beach st lucie and martin counties my name is
chris and i'll see you on the next one