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Updated about 9 years ago,

User Stats

20
Posts
7
Votes
Rich Gabrio
  • Real Estate Investor
  • Redmond, WA
7
Votes |
20
Posts

The idea incenting with Buyers Agent bonus in a resort community.

Rich Gabrio
  • Real Estate Investor
  • Redmond, WA
Posted

Background: I am not a real estate agent. I am a real estate investor. I own a vacation rental home in a resort community 90 minutes east of Seattle, WA. Although the property has done very well, it is now my goal to sell the property so that I can exchange in to commercial non variable income generating property. Although this resort has their own listing company/office, I have chosen to list with an outside agent/broker. I already have a trusted relationship with this agent. The resort has a strategy to milk all property owners for as much revenue as they possibly can, including charging HOA dues and water for vacant lots. They also have their own water company which also has jurisdiction outside the resort. They incent homeowners to have there rental business managed through their rental program (for which they take 50% of the proceeds) by withholding certain desirable resort amenities within the resort to those properties that don't participate. Their real estate company is allowed to advertise open houses but do so, understandably, for only the properties that they list. Properties not listed with them however, are not allowed to have any signage posted to indicate that the house is either for sale or hosting an open house.  The office will attract any drive by shoppers, that will stop in and aske to be shown properties. They have created a competitive advantage if you choose not to list with them. My  attorney who is very accomplished has reviewed the CCRs and agrees that they would not stand up if a suit were filed against the resort, but that would take some deep pockets.  They will not actively show your listing unless a prospective client has knowledge of it and has requested to see it.  If you are an agent with this brokerage, you sign an agreement that says that you are prohibited from listing any properties outside of the resort, and your commission for any deal closed is 1%. The resort real estate company takes the rest.  You find a lot of retirees or agents just looking to work essentially part time that make up the agent roster.  

Question:  I am acutely aware of the market in this resort, and therefore I believe that I have the house priced competitively.  I have also set aside a budget to market the listing in specialty vehicles like Luxury Homes Magazine, etc.   I  have conducted a little research on the topic of Buyers Agent bonus, and am intrigued by the idea here, given the paltry 1% paid to the resort agents.  My concern is that given the history and philosophy of the resort that the brokerage would not pass along any such incentive to the qualifying agent.I am hoping to tap into the vast knowledge, experience and creativity of this community for some ideas.  I believe that providing an incentive directly to the resort agent that brings a buyer would be extremely effective and create additional exposure that I am not getting today.  I am also not opposed to a sort of side agreement understanding that such an agreement may need to be constructed very carefully (if not verbally) so as not to put that agent at risk of violating any ethics guidelines.  Note that any such agreement for an incentive like this would be solely between myself and the agent that brings a buyer.  I am just looking for creative ideas given the uniquely restrictive environment in which I am operating here.

Thanks you so much in advance for any suggestions and comments.

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