Flat fee listing questions and/or recommendations

[Eric F.]

Hi everyone,

I am about to purchase a property in SE Raleigh. I intend to rehab it and hold it as a rental but I am also considering selling it. I have never done a flat fee listing before but I was thinking about paying for a flat fee listing for 15 days or so, seeing what kind of offers I receive, and if I get one I was happy with selling it, otherwise pulling the listing and starting to rehab it.

My questions:

If I do this I understand I still pay a buyer's agent 3%. Do I have to make it clear in the listing I intend to pay this?

The listing agent does not do anything beyond putting the property on the MLS, correct? I would handle all inquiries, contracts, etc.

This property is not that bad, but it needs cosmetic work at the minimum (10k total rehab costs with 15% overrun built in). Can I stipulate cash buyers only? I feel like financing might be tough due to the condition.

Has anyone done this before? How was your experience? If I was 100% intent on selling it or if it was move in ready I would probably go with a broker, but since I am neutral on selling it or keeping it I don't want to waste anyone's time.

When I list it, I can make it clear if I do not get interest quickly I can cancel and pull the listing, right? Obviously I still pay the broker their listing fee.

[Jorge Zea]

Hi Eric.

You can offer whatever commission to buyer's agents (not necessarily 3%).

The MLS requires this information for the property to be posted so you will be asked ahead of time by the listing company for this. Realtors will see it right away when they search the MLS.

All companies offer different levels of service. Generally you are correct: they limit themselves to publishing the property and forwarding you the leads ... some provide you any needed contract and disclosure forms. You manage showings, negotiations, etc.

You can stipulate cash Only ... all MLS have this option or you can put it in the description wording.

WE have listed more than 2000 properties via our Flat Fee Services .... it is simple, straight-forward and effective. Just make sure you deal with a state-licensed broker in your state and not a referral service.

Talk to the listing company regarding cancelling. Most have no problems and you can cancel anytime ... but I have seen those who charge a fee for cancellation.

Just understand what service and conditions and additional fees the specific FlatFee MLS company you are using, have. Each service is different.

You will save a bunch of money. YOU CAN DO IT!! It is easy and effective.

Don't listen to those who tell you otherwise ... (most probably full service brokers).