Why is real estate agent commission so high in india?
Hello,I believe you are mistaken. Real Estate Brokerage in India is ridiculously low. Real Estate commission in the United States is 6%. You can negotiate it to 4% sometimes or do a Buy Owner listing. Brokerage in UK is 2%. Western countries have enforceable laws and official contracts in these matters. In India brokerage is from 0.5% to 2% in major cities and up to 6% in tier 2 and 3 cities. The sale amounts in these cities are in lakhs and not in crores.Reputed brokers do not negotiate on their price due to the service they provide. Road side brokers will do anything to make a buck. Real estate agents in India get paid after all the work is done. Which means there is no incentive left for the client to pay, ONLY HONESTY AND ETHICS. Despite all the efforts, payments don’t come on time or sometimes they don’t come at all.So the right question is “Why is real estate commission so low in India?”
What is a real estate agent’s commision percentage in India?
One 1% .. and if u give below this … u are doing unjustification to his hardworkRitesh9650344336Commercial Office For Sale/Rent/Lease in Gurgaon(Gurugram)
How much commision does a real estate agent gets in regions like NCR and mumbai?
An average of 2% brokerage is given to any channel partner on sale of new flat in Mumbai. In case of resale its 1% from each party i.e. buyer and seller.Builders also keep running different brokerage schemes so the percent goes as high as 4–5 % per sale and additional benefits like cars and flats on achieving the target sales.2% of 1 cr (2 lakh ) per sale. Phew…..
What does a real estate agent/realtor do?
This is the worst possible time to get into the real estate industry. Realtors are not making any money because of the horrible real estate market. I was just recently hiring an admin assistant (aka 'secretary') and I received so many resumes from real estate agents and mortgage brokers cause they are all looking for work. They are clearly over qualified to be an admin assistant but they were all desperate for any type of job at any rate of pay. But, to answer your question, a Realtor - * Work hard to market yourself so that people will use you as their Realtor. * Views all available properties in their area. * Show your clients homes for sale. * Market your clients' homes that are up for sale. * Prepare the contracts. * See it through escrow. Note, I got my real estate license when I was 18. I was horrified when I was working for 3 months and had yet to find any clients. You only get paid when your client buys / sells a home and it closes escrow. I couldn't afford to be a Realtor any longer because I wasn't making ANY money, I needed a weekly paycheck so I got a traditional job.
A real estate agent receives a commission of 9% on property sold through her. What is her commission on a sale?
its 0.09x n... n is how much the house sold for... if the house was 200 000 dollars its would be 0.09 x 200 000... and u figure it out fro there cuz i dorn have a calculator neaar me
What commission percentage do real estate agents get?
All these people saying there is a standard commission are incorrect. There is no such thing as a standard commission. Every deal is negotiable, and every real estate brokerage has different policies and schedule regarding what they charge. There. Is. No. Standard. Commission. So because there is no standard commission it’s difficult to tell you the percentage of commission they get. It can range from 2-7%, (but this isn’t hard and fast—some brokerages charge just a small flat fee to list a house for sale) and typically half of the total percentage gets split with the other brokerage, but not always. Then after the total is split, what’s leftover is split between the broker and the real estate agent. They have their own arrangement about how much the agent will receive, but suffice to say it’s a team effort and if you want your broker to support you and be there for you when/if you need help, then it’s important to split with them appropriately so that they care about helping you. If they’re not making any money off of what you do, they’re not incentivized to invest time, money, or effort in you. There’s a line at which the broker is making too much and the agent too little, and vice versa so that balance is important. Then the agent has to pay the their marketing, income taxes, healthcare, bills with what’s leftover. Its not typically possible to survive on one or two transactions a year. You’ve got to do a lot of business to make a living, and few agents get to that point.
Does a real estate agent make good money?
YOu have to close deals or you wont make any money-- but you will PAY hundreds of dollars for insurances, MLS fees, REALTOR ASSOCATION FEES, class fees, etc. Typically a home lists at 6-7%. That is split between the listing OFFICE and the selling OFFICE. Selling office (buyers agent) almost always get 3% regarldess of what the total percent is. Say you are the buyer's agent, and you bring a buyer to a home that is listed at $200K. You make the sale. Your office gets $6000. You likely get about half that, and your broker gets the other half. So you pocket $3000, but you have to save some for income tax. (20%). So you really pocket 2400. That'll cover your startup and give you a little pocket money to get to your next sale. Usually as you make more sales, your broker takes less of the sale. You HAVE to produce or you wont even break even.