Sellers Frequently Asked Questions
1. What is the deal exactly with One Percent Realty?
One Percent Realty is a fully licensed real estate company that offers full service at a fraction of the commission.We offer all the services and exposure like the other realty companies. We are on the Victoria Real Estate board MLS® system, we do internet advertising on MLS.ca and Realtor.ca, we place a sign on your property, we show the property, hold open houses, advertise it, handle all the negotiations, plus the conveyancing. There is no service that you don’t get. The only difference is that you don’t pay the high commission!
2. What do you charge?
One Percent Realty charges $6,900 for properties under $600,000. For properties over $600,000, we charge 1% plus $900.
3. Are your listings on the MLS® system and REALTOR.ca?
Yes, they are on both.
4. What if a buyer has his own agent? Do I have to pay them?
No, the total commission that you are paying is split between the two realtors. For example, out of the $6,900 commission, the seller’s agent takes $3,000 plus $900 in disbursements, and the buyer’s agent takes $3,000.
5. Will Other Agents Show One Percent Realty Listings?
Yes, they will. This is the most frequently asked question. Some full commission agents are saying that some realtors would not show properties listed by One Percent Realty because they would make less money in commission. This is not true and this can be proven by official Victoria Real Estate Board statistics. About 70% of our listing sales are sold by agents outside of our company. This is roughly industry standard. If an agent tells you that our listings are not sold by other agents, they are probably just trying to convince you to list with them. We have years of MLS® statistics to prove it. Our listings are shown by other real estate agents everyday just like any other listings on the MLS® system.
The buyers are going to find out about the property anyways through our advertising. Our listings are displayed in all the places where the other listings are. They are on the MLS® system, all the top internet sites, have a sign on the lawn, are in the real estate paper, and we hold open houses. So if someone is looking for a home in your neighbourhood, in your price range, they are going to know it is for sale. That buyer is going to look at whatever is on the market before they make their decision. Buyers don’t pay the real estate commission, so why would they care which house they buy? If their agent is unhappy with what we pay, the buyer will call us. But the fact is that the agents show and sell our listings, every single day. All of our sold signs over the years prove it!
6. I have been told that other agents sometimes ask for more commission than is being offered on MLS® with an offer. Can you respond to this?
The buyer’s agent, with the consent of the Buyer, can ask for additional commission with an offer. As the Seller, you will decide what you wish to do with such a request. You have three options:
- To decline it.
- To negotiate the amount of the extra commission.
- To accept the extra commission in full.
In the first two cases, the deal will not collapse, because we are members of the same board, and the other agent is risking losing his licence if his client will complaint. That being said, some of our sellers decided to pay the full commission if they were happy with the offer. Even in those situations, our Seller still saved a lot money, because the Seller’s agent only got a discounted commission.
7. Are they any hidden fees?
No, they are no hidden fees. When you sign the standard Multiple Listing contract with us, this lays out exactly the commission cost to you. However, the realtor will explain to you at the beginning when he is taking the listing, that they might be some fees for legal documents: strata documents (if applicable), title, easements (when applicable), building schemes (when applicable), etc. These fees are charged by third parties and the realtor needs to be reimbursed.
If you are selling a strata property, there are some strata documents that will be required to provide in a sale. A strata document package can typically run between $50-$100, and you will be responsible to refund your 1% agent for those costs. Land titles charges about $15 per transaction.
8. What if I want to do ‘even more’ advertising than my 1% agent’s marketing plan?
You are in control of the advertising of your home. If you want additional advertising beyond the marketing plan of your 1% agent, then you will be responsible for the additional cost. Your 1% agent will require your approval before spending such additional expenses.
9. How much can I save with One Percent Realty?
For example, if your house is sold for $600,000, you save $14,100 in commission, as per the table below.
One Percent Realty
$300,000 $7,950 $12,000 $4,050
$400,000 $7,950 $15,000 $7,050
$500,000 $7,950 $18,000 $10,050
$600,000 $7,950 $21,000 $13,050
$700,000 $7,950 $24,000 $16,050
$800,000 $8,950 $27,000 $18,050
$900,000 $9,950 $30,000 $20,050
$1,000,000 $10,950 $33,000 $22,050
Home sellers in Victoria:
Sell your home for full service and discount commission with One Percent Realty!
Valentino Prundaru: Victoria real estate agent. Call 250-686-2242.