View property (land only) questions for realtors.

[Smitty]

Listing at 3 million (not mine – I wish!) and they are asking 6% commission. Is that normal in this day and age? What about a flat fee?

Also, it is about 14 acres selling as one piece. Can’t you make more by selling as smaller lots? Or, do you have to run water, power, access and everything before splitting up a big piece like that?

Thanks to anyone willing to give free advice!

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[miws]

Can’t give you free (or at a cost) advice, Smitty.

But, can give you a free bump!

Mike

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[jissy]

Smitty: We’ve paid 6% commission on all RE deals in the last 10 years, residential and commercial alike. Although on 1 deal (unbeknownst to my agent until signing, commission was only 5% listed by the selling agent). And to get a deal done before when neither side could compromise enough, said agent reduced his fee just to get the deal done (believe me, there was a VERY nice door prize in it for him when all was said and done). I think with the right agent it can be up for discussion, but in other circles I’ve heard agents state flat out that they were just not going to work as hard or out-lay any extra advertising $$ for a lesser fee.

I think Redfin does a flat rate but am not totally familiar with their policies to know for sure.

As to selling a few lots rather than the whole? In some cases, yes that can be more profitable, but depending on the municipality, that can mean years of short-platting that costs a GREAT deal out of pocket on the front side. If you don’t have the cash to do it, the whole parcel at once is the way to go. Once upon a time did a small short-plat in Tukwila — a ridiculous municipality with crazy-a$$ hoops! We were dividing 1 into 3 and honestly, maybe profited the same had we just sold the 1 piece b/c it took so danged long!

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[Smitty]

Great info jissy-thank you so much.

This is prime west facing view property on Whidbey with beach access. Sounds like they are going to sign with an agent for 6% which seems fair. This is a tough market so they will earn every penny if they can get 3M. No one in the family is willing to develop the land – but that sounds like a lot of time effort and money……..

Thanks again.

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