Negotiating real estate commission with a real estate agent is not easy. Here's what you can do to get the best real estate commission rate. Realty By Design is a small real estate company for home sellers who don’t want to choose between results, experience and price. Unlike traditional real estate firms, Realty By Design provides the real estate services you want when you need them. Whether you want full service or assistance with selling your own home, we are flexible and want to work with you.

1. How to Avoid the Pain of Negotiating Real Estate
Commissions
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If you’re a home seller doing your homework, you will discover that the largest home selling expense you
will have is the real estate commission.
The cost will probably shock you!
The good news is that all real estate commissions are negotiable.
But have you ever tried to negotiate a commission with a real estate agent?
Go ahead — try it.
Here are some of the responses you’ll get:
“No.”
“You get what you pay for”
“If an agent can’t negotiate their own commission then how can they negotiate for you?
“If you negotiate a lower commission, then the agent has no incentive to work”
“Paying a lower commission is penny wise and pound foolish.”
And there are at least a dozen more things a real estate agent might say to discourage you from
negotiating a lower commission.

2. You see, traditional real estate brokers have trained their agents to give these responses to home sellers
who want to negotiate real estate commissions. Real estate agents take classes and read books to learn
how to defend their commission.
Now, there’s a very good reason real estate agents give home sellers a hard time about a commission
reduction.
And it has nothing to do with any truth behind their statements.
Truth be told, most real estate agents who work for large brokerage companies simply DO NOT
have the authority to negotiate the commission.
Here’s why…
Although real estate commissions are by law negotiable and are not fixed, real estate companies are
allowed to set the commission rate for their own companies. Any real estate agent working for the
company must adhere to the commission plan set by their broker.
In order for a real estate agent to charge anything less than the commission rate set by the broker, they
would have to have their broker’s permission AND the circumstances would have to be extraordinary.
QUESTION:
So, how do you go around this problem and avoid the pain of negotiating with a real estate agent?
ANSWER:
Seek out an independent broker. An independent real estate broker is an individual who runs and
operates their own real estate company.
Independent real estate brokers often run small companies without the high overhead associated with
running a large company. Business 101 tells us that a company must charge fees that are high enough to
cover their overhead costs plus enough to make a profit. High overhead = high fees.
Here’s another reason…
Independent real estate brokers have the authority and ability to act as both the real estate broker and the
listing agent. In essence, they eliminate the need to allocate a part of the commission to the listing agent.
It’s like buying your real estate services wholesale.
Because of this, independent real estate brokers have more flexibility with the fees they charge and are
able to tailor their fees to suit your needs.
You can avoid the pain of trying to negotiate a commission with a traditional real estate agent by simply
choosing to do business with a smaller real estate company owned and operated by an independent real
estate broker.
Lisa Henderson is a Connecticut Real Estate Broker and Owner of Realty By Design. She is an
Entrepreneur, Marketing Expert for Connecticut Home Sellers and an Advocate for For Sale By Owner
Sellers. Her unique talent is using the principles of marketing theory to sell homes. Her systems help the
average home seller get the biggest bang for their commission buck. She has a track record of delivering
value to her clients while lowering the cost of selling a home. She has been successfully marketing her
own entrepreneurial businesses for the last 25 years.