Ellicott City Realtor Catonsville Realtor

It is tempting for Sellers to choose an Agent based on the commission the Agent charges.  One half or one full percentage point of the sale of your home adds up to quite a savings - I won't argue that point.  The question is - what are you giving up in terms of service for that reduced fee, and is it worth it?  Discount Brokers may tell you that you aren't giving up anything.  In my experience, that is not always the case.

For example, right now I have a settlement that is supposed to take place in 30 days.  As part of my service, I have completed the Home Inspection, the Termite Inspection, and the Well and Septic Inspection, all on the Buyer's behalf.  My next and biggest concern is the appraisal.

When I prepared the package for the lender, I made it clear that the appraisal needed to be arranged as soon as possible.  I then called the Listing Agent (a Discount Broker) to see if it had been scheduled.  I was told last week by the Listing Agent that the appraisal was supposed to take place last Thursday.  I called the Lender on Monday to see if the appraisal had been done.  She said she did not have it, and reminded me that under the new rules, she is not allowed to contact the appraiser directly.

I then called the Listing Agent to follow up on the appraisal, to see if it had been done on Thursday as he had said it would be.  He said it had not, that he had made a mistake, that it was not this listing but another of his that had been appraised last Thursday.  I asked if he had been planning on meeting the appraiser, which is one of the most important parts of what I do when I represent Sellers.  He told me that he doesn't typically meet with appraisers.  I told him that I felt it was ridiculous that he would not be there in person to meet the appraiser and provide comps and a location survey (if available).  I further went on to explain that although my Buyers are confident in their purchase price because of their situation and how this house suits their specific needs, I had concern about the home appraising for the value.

The Listing Agent told me about a refinance of a house in the neighborhood that was a smaller home, but appraised for more money than our transaction.  I asked the Listing Agent how he came by this information, and he said that he was told by his Sellers, who were told by a neighbor (likely story).  Since appraisal values cannot be verified, this information is nothing more than word of mouth.

At this point, the appraisal has not been done.  We are supposed to close in 2 weeks.  My Buyers are out of their home on the day of settlement.  You would think the Listing Agent would be doing everything he could in the best interest of his Seller to get this transaction moving.

When I hear an agent say "that's not something I normally do" - it just reeks of ignorance and inexperience.  If you are a seller considering hiring a discount broker - the reduced fee you may be paying might look attractive.

My advice is to rethink this strategy.  Get your discounts at the mall.  For the sale of your house, take time to consider - do you get what you pay for?

No. You get what you think you are worth.  As a Seller, are you worth the extra time, effort and experience of a full service Broker?