Paying a RE agent

Bird Dogs, Wholesaling
1

Hello all,

Seems like working with REO’s are out of the question since I don’t have the money to fund the transactions upfront, I decided to go with just FSBOs. And with FSBOs, no realtors are involved and it’s hard to get realiable comps. So I thought about paying a realtor a flat fee for getting me the comps I needed on a property, when I close the deal. Would anyone recomend going this route? If so, how much would be adequate for just getting me accurate comps?

Thanks,
Yia

2

Omico - I believe your approach could work. However don’t expect a realtor to invest 30 or 40 hours of his time for a $100 return. This would not be fair. My suggestion is either agree to pay him a flat fee for each comp he runs (it shouldn’t take him more than 1 or 2 hours to run comps); or you could pay him per hour; or you could pay him a percentage of the purchase price.

I hope this helps.

3

J1dias, thank you for your two cents. I will proceed with paying the agent per comp. My other question is what would be a fair price for just getting comps? Realtors, please give your input.

Thanks again,

Yia

4

Did you know you can join your local MLS as an associate member (or something like that). You have to do all the peperwork they will send you and pay the front fees. The fees here in Little Rock are $250 then you have to pay the monthly fee to have limited access to the MLS.
They told me I will not have access to new listings or exclusive listings. But all I need is the ability to run comps. So for that it be worth the monthly fee.

Call your local MLS and see if you can do this.

5

This is excellent advice. If you search their website they typically do not disclose this. You have to call (at least in my area). In my area when I called few years ago I learned that I would have access only to a very stripped down version of the system. For example, I would not have access to Days on Market and price history (I would not be able to see the change in price). It did not appeal to me. However in your area it may be different and whatever they offer may work for you…

6

How do I know who they are? Where do I go? Who do I talk to?

7

Google MLS + your estate…

8

Banks pay anywhere between $40 and $150 for BPOs. I’d say for just pulling comps, something between $50 and $100 would be fair, but as mentioned above, that doesn’t include several one hour consults.

You also might want to offer 1% of any closed deal . . . for them to pull comps and draft the contract (handle all paperwork). I’ve seen that done for FSBOs in my office who need values and then need contracts drafted.

Good luck!
Tina

9

Tina,

Thank you for you input! My initial thought was $100 and I’ll have my own written contract ready. All I need are comps.

Yia