In this first blog of the week, we are going to talk about some pretty crazy myths that YOU, a potential client, might believe. See how we enlighten the truth behind these myths.
- Real Estate Agents Are Paid A Salary.
WRONG. Despite what the public thinks, most real estate agents actually own their own business even if they are sponsored by a broker. They are partners with the broker and that broker does not pay them a salary. It’s all commission!
That’s right, they get paid only by commission and manage to look professional, put on broker events and home buying events as well. They do this all for you!
And speaking of commission…
- The Agent Keeps All of The Commission.
First of all, you potential-home-shoppers out there need to know that the commission is legally paid to the agent’s brokerage company and then it is paid to the agent.
No matter what the commission is, the amount paid to the agent is not the entire commission that you pay when you sell your house or that the seller pays to the buyer’s agent to sell their house to a buyer. The split varies based on the company that your agent is with. And then the split is split AGAIN if your agent is on a team. Again, depending on the team that your agent is with the split will vary.
So no, the agent doesn’t keep all of the commission.
- An Agent’s Gas, Mileage and Other Transportation Expenses Are Reimbursed
Oh how we wish that this was true. The 10+ trips to show a buyer homes every time a new house hits the market and only to find out that that buyer wants to wait and see if anything new and interesting comes along. Or the 2 days that an agent spends driving across town to show an out-of-town buyer multiple properties in multiple cities just for that buyer to decide that they don’t want to move to that state. Oh, and all of those new construction homes that you were wanting to see in that barely-built neighborhood with all the tire-popping nails and the wear-and-tear on our vehicle? You got it. It is all on the agent.
If you are every wondering if something is true then your best bet is to call your local real estate agent and find out. They have almost all of the answers because they experience everything first hand!
Join ACR next month for more debunking on Real Estate Myths!