Truth about Commissions
So many times I will be at a function and overhear other Realtors tell people that the commission rate is 5%. This makes me cringe because it is not the truth. Commissions are NOT fixed. It is up to the home owner to decide what they will pay for the house to be sold, not the Realtor.
Of course Realtors can say no, But the times have changed.
Long ago (back in the 1970's or 1980's) If you wanted to know about any houses that were listed for sale, you would have to go drive from one listing to another listing with your Realtor.
I remember so well, driving with my mother and her Realtor. We would drive around sometimes for hours, inspecting houses. As we drove i would be in the backseat hanging over the front seat. Below me on the front bench seat, right between my mother and her Realtor was a Large, Large book. This book should have glowed with a golden aura because this was the all powerfull MLS book.
Today we don't need to set up a time to meet with your realtor so that you can pour hours of time over listings. Today we sit down, open our laptop, enter our password and visit Realtor.ca where people can search every listing in thier area.
The fact is, the average home buyer tells thier Realtor which listings they want to go see. The buyers are so much more educated and immersed into the market, than anyone was even a decade ago. These reasons make it hard for so many home sellers, to pay full listing commissions.