1. Agents get a 6 percent commission, no matter what

Most people assume that their agent pockets the entire commission and that commission is a set percentage.

Truth

First, it’s helpful to know that the seller pays the commission, and they split it four ways: between the two brokerages and the two agents.

Finally, the brokerage commission isn’t set in stone and sellers can sometimes negotiate it.

2. If you start with an agent you have to work with them.

If you’re a seller, you sign a contract with the real estate agent and their brokerage which includes a contract term. Once you sign the agreement, you could, in fact, be “stuck” with their agent through the
term. But that’s not always the case.

Truth

If things aren’t working out, it’s possible to ask the agent or the brokerage manager to release you from the agreement early.

Buyers are rarely under a contract. In fact, buyer’s agents work for free until their clients find a home. Sometimes a buyer never purchases a house, and the agent doesn’t get paid.

A sit down or phone consultation is always recommended to help determine if you’ll be a good fit to work together. Take your time, do research, and make sure you’re comfortable with the person you’re
working with!

3. All agents are the same

Many people think of “agent” as a generic term and that all agents are created equal.
Truth
A great local agent can make an incredible difference, so never settle. The right agent can save you time and money, keep you out of trouble and protect you.

Do your research by checking reviews online, asking friends and family for referrals, and looking up past sales experience.

4. You can’t buy a for sale by owner (FSBO) home if you have an agent

In the past, sellers who wouldn’t deal with any agents tried to sell their home directly to a buyer to save the commission.

Truth

Smart sellers understand that real estate is complicated and that most buyers have separate representation. Many sellers will offer payment to a buyer’s agent as an incentive to bring their buyer clients to the
home.

If you see an FSBO, don’t be afraid to ask your agent to step in. Most of the time the seller will compensate them, and you can still be guided through your home purchase with an experienced professional who has your best interests in mind.