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Traditional Commission Structure
Most agencies still use the same rates and commission structure that have been in place since at least the 1960s. Sellers with those agencies can expect to pay 5% or more of the value of their home in commissions. This is then split 50/50 between the listing agent and the buyer’s agent.
If your home is worth $550,000 then a 5% commission will be $27,500 with $13,750 paid the listing agent and $13,750 paid to the buyer’s agent.
Alpine’s Modern Commissions (Homes from $500,000+)
We provide all of the same services as a traditional agency. The difference is that we only charge 1.0% to sell your home and ask that you pay 2.5% to be given to the agent that finds the buyer. You save money because we reduce the percentage we charge to list and sell your home with our full services. It isn’t a discount, just a fair approach to selling your home.
If your home is worth $550,000 you can expect to pay $19,250 in commission with $5,500 paid to Alpine and $13,750 paid to the buyer’s agent.
That is a savings of $8,250!
The Bottom Line
Modern technology such as the internet has fundamentally changed the way homes are bought and sold. Our commissions reflect our true costs for the time and resources we invest to sell your home. While we can’t change what other agents expect to be paid, we can lower our side. Choosing the full-services of Alpine Real Estate means getting your home sold and saving thousands.
Traditional Commission Structure
Most agencies still use the same rates and commission structure that have been in place since at least the 1960s. Sellers with those agencies can expect to pay 5% or more of the value of their home in commissions. This is then split 50/50 between the listing agent and the buyer’s agent.
If your home is worth $350,000 then a 5% commission will be $17,500 with $8,750 paid the listing agent and $8,750 paid to the buyer’s agent.
Alpine’s Modern Commissions (Homes from $200,000 up to $499,999)
We provide all of the same services as a traditional agency. The difference is that we only charge a flat fee of $3500 to sell your home and ask that you pay 2.5% to be given to the agent that finds the buyer. You save money because we put a cap on what we charge for our full services. It isn’t a discount, just a fair approach to selling your home.
If your home is worth $350,000 you can expect to pay $12,250 in commission with $3500 paid to Alpine and $8,750 paid to the buyer’s agent.
That is a savings of $5,250!
The Bottom Line
Modern technology such as the internet has fundamentally changed the way homes are bought and sold. Our commissions reflect our true costs for the time and resources we invest to sell your home. While we can’t change what buyer’s agents expect to be paid, we can lower our side. Choosing the full-services of Alpine Real Estate means getting your home sold and saving thousands.
The national average for a commission to sell a home is between 5-6% of the sale price. We don’t believe it should cost 6% to sell your home. That’s why we introduced our flat-rate commission. For homes between $200,000 – $499,000 we only charge $3500 for our side of the transaction, and still offer 2.5% to an agent that finds a buyer. There are zero upfront costs. You only pay when we sell your home and its due at closing from the proceeds.
For homes at or over $500,000, we still offer a competitively low rate of 3.5% commission. Alpine takes 1% and provides 2.5% to the other side.
Typically when a home is sold, the selling agency charges a commission. The national average is between 5-6% of the sale price of the home. This commission gets split 50/50 between the buyer’s agent and the seller’s agent.
For example, if a home is worth $300,000 and the seller agrees to pay a 6% commission, the total cost to the seller would be $18,000. The buyer’s agent would get $9000 from the transaction, and the seller’s agent would also get $9000 as their share.
Instead of charging 3% of the sale price, Alpine charges a flat-rate of $3500 for being the seller’s agent. The buyer’s agent still receives their share, but at 2.5% of the sale price. In doing this, Alpine reduces the cost of selling a home while still ensuring buyer’s agents have a good incentive to sell the home to their clients.
Using the same example from above, the total a seller would now pay is $11,000. The buyer’s agent would get $7500, and the seller’s agent (Alpine) would get $3500. That is a savings of $7000 for the exact same results!
The commission is paid out from the proceeds of the sale at the time of closing. There are no upfront costs. A commission is only paid when the home sells. If for some reason it needs to be taken off the market (if you decide not to sell) nothing is owed.
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Your agent will perform a Comparative Market Analysis, then work with you to determine the most competitive starting price for your home.