William's Blog...with a smile!

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The Dangers of listing your house low...

I hear this often...

In this market, just list it low and get the multiple offers and you will get above market."

 

Well, that could be...OR...maybe not.

 

The issue is this.  In Minnesota, the seller owes the agent a commission if the agent brings in an offer tha is equal to the listing agreement.  Even if he seller does not accept the offer, the agent has fullfilled their duties and the seller now owes the agent a commission.

 

So, listing low, getting one offer at full price that may be Thousands of dollars low the seller still owes the agent the commission.

 

Think about that before you lowball your listing price.

Comment balloon 3 commentsWilliam Feela • June 23 2017 03:33AM

Comments

Definitely something to think about, William. I wonder how many Minnesota sellers are aware!?

Jeff

Posted by Jeff Dowler, The Southern California Relocation Dude - Carlsbad (Solutions Real Estate ) 6 months ago

Never thought about it but it could be a gamble that could backfire.

Posted by Vern Eaton, Realtor 651-674-7449 6 months ago

Yes it is a risk Bill, and a few brokers out there will hold them to that agreement, if you are going to do this then you had better trust your broker.

Posted by Bob Crane, Forestland Experts! 715-204-9671 (Woodland Management Service / Woodland Real Estate, Keller Williams fox cities) 6 months ago

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