Dallas investors and agents- question for you

[Rich Weese]

Curious about commissions in your area. What should a seller pay for Listing commission on 5-10 million dollar project? What should a Buyer pay for the selling commission on same priced project. Thanks.

Rich Weese

[Bill Gulley]

Rich, sinse I'm in DFW, I'll suggest this:

Negotiate it! I'm pretty sure it's like anywhere else.

Suggest you think of a sliding scale too, since you ask as if there was only one "project", but if it's an exclusive on an 100 60,000 units, you could reverse the commissions, 2% first 20, 2.25% next 20, 2.75 on the next 20, 3.25 next and 4% on the last 20, this gives an incentive to keep selling as the deal thinner toward the end, but usually easier to sell.

Also consider the other direction, if it's like 5 deals, first on is the most difficult.

A combination too, as you already know in a development, selling the first lot or home is the hardest pay a higher commission to kick it off then go to a standardized fixed or flat rate.

In most larger deals I've been associated with, we didn't list with any agent, find a commercial brokerage, you can hire an RE type cheaper on a salary!!! Pay the broker to run it through on a service basis and negotiate each aspect. Think about it, I doubt anyone pays 3% on 6M......why would they?