Unique House Pricing and Unique Realtor Compensation
I thought I would post an email I sent today to show how we work at Valley Market Real Estate. I made a few redactions to protect identities but otherwise this is just a copy and past of an email sent just a few minutes ago.
I viewed your house with XXXXXXX. It was good that I did. I was in your house just once quite a few years ago. It is certainly a unique Alaskan house.
There are really no close comparisons to your house to try to nail down a real accurate price that a buyer will be willing to pay. The woodwork in the house is impressive and the fact that much of it is recycled wood makes it even better.
The location is also extremely unique. It is unlikely that the land around it will be developed in the foreseeable future. It is hard to find properties like this.
After viewing the property I would have to say that the value is around $250K with a margin of error of 10% or so. So that is a range of $225-$275K. I know that is a huge range, but with the current market situation and the extremely unique property I don’t feel it would be responsible to let you believe we can price this more accurately than that.
It’s one thing to compare apples to apples and oranges to oranges but when you have a pomegranate in an apple orchard it’s a little difficult to make good comparisons.
I am VERY flexible when it comes to marketing choices. I usually list most houses for 6% or 5% depending on the amount of marketing that a buyer wants me to do. 5% is mostly the MLS and a sign. I do the same amount of support on the transaction management portion of it, and that is really where a real estate licensee’s value lies.
I also work on a fee basis where you can choose from a menu of over 45 tasks, with a price for each task. The lowest cost is $3,500 plus 2.5% or 3%. The $3,500 is paid whether the house sells or not. The 2.5% commission goes to the Realtor that sells the property…if it sells. I can send you the list if you like.
I also work on a hourly basis, billed monthly. It is $150 per hour for the amount of time actually spent. This is an itemized bill that is due monthly whether the house sells or not. I charge $45 per hour for assistant work like inputting listings, putting up signs, etc. Your first bill would include the time I have already spent working on a marketing range. This usually results in a lower bill at the end, but most people are not accustomed to working with a licensee in this manner so do not choose it. I would cap the bill at 2.5% of the initial list price. You would still pay 2.5% or 3% to the selling licensee, your choice. The higher percentage paid to the selling licensee might give more incentive for them to show it.
Give me a call
Marty Van Diest
Valley Market Real Estate