Commission to sell land?

[Marc Dufour]

I want to sell a land and the agent mentioned he would take 5% (2.5% for buyer/ 2.5% for seller). If he represents both, he would take 4%. Is it fair? Any other suggestion to negotiate the agreement with the agent commission?

The land will be a particularly difficult one to sell and I want to make sure he remains aggressive at selling it.

[Joel Owens]

I wouldn't care about the commission. I would care about having a broker/agent with the experience to know the highest price and the best use for your land and how to connect with that buyer.

Focusing on the commission is stepping over dollars to save pennies in my opinion.

4 percent is really low. I won't even look at land on the commercial side for less than 10% total because I know the work involved getting it to closing versus an existing building with cash flow already in place.

So focus less on the commission and more on what the broker/agent can do for you. Back when I did land I would tell them my fee on the phone. If they balked I didn't even give them the time of day. Most agreed to what I wanted as they saw value in my knowledge and experience.

Hope it helps some.