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Updated about 5 years ago on . Most recent reply
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How can I choose the correct broker without getting ripped off?
I have been looking for brokers for a while and I found out (Broker A) is based on the 100% commission model, charges for errors and omissions insurance ($5 dollars per thousand) & I found out it was 20% out of the 100% commission, plus $100 for membership with REBNY, but no transaction fees. Another broker (Broker B) charges $100 for RealtyMX membership and 50/50 commission for the first 6 deals & no transaction fees, then 100% commission after 6 deals, but Broker B's fees are:
$200 Transaction Fee for rentals that are $1800
$400 for any rental from $1,801-$3,000
$600 if the rental is over $3,000
$1000 if the sale is for any sale up to $1.5 million
$2000 for any sales over $1,500,000
and business cards are $65 for 500 or $95 for 1000 business cards.
I am aware that I need to pay $55 to obtain the license, but I am worried about choosing the right broker. Will I have to pay these kinds of fees at every broker I sponsor with? (I am trying to make sure I am not getting scammed, that's why I ask, if not, what is the best way to go about this and avoid paying so much in desk fees/startup fees? , I only ask because I am new to this & I want to build my experience without any problems) What worries me too is that the fact that real estate is a serious business and the fact that people can get sued easily in this business by the buyer/owner. Your insight is appreciated!!
Thank You!