You are getting advice that is all over the place...here is my take....


wrote:
What is the going rate right now? 5%, 6%, 7% ?

That is entirely a local answer. What is typical one place is not somewhere
else. Ask several local Realtors what commission rate will that most agents
will show your property. Here is central CA 5% was very common when the
market was overheated but now 6% is more common. Listings with less than 6%
will not get shown by many agents. You want EVERY agent showing and pushing
your property? Offer above the "going rate".

(There's also a clause in the contract that the selling agent will get
2.8% of the gross sale price.)

Most markets split the total commission 50/50 between listing/selling
offices. Just be sure that the 2.8% is at least as much as most available
listings...or you won't get shown.


I should point out that I'm planning to use the same guy to buy my new
house (also in Denver Metro.) So I'm wondering if I should mention
that when trying to negotiate a lower commission (cuz he's getting
more business from me.)

As a buyer's agent, he is paid from the listing contract...not you. You may
get him to pay for your home warranty or something relatively minor. If he
is good, he won't give up much of his pay. Would you?


What is a lowest comission I should be reasonably able to negotiate?
4, 5%?

In most markets you can find someone to work for almost nothing. But you
will get exactly what you pay for. A good agent is worth much more than the
minor difference in gross commission. At a reduced commission, why should
any agent show and try to sell your house when many other listings are out
there that pay much more?


2. Also, the listing period he put down in the contract ends on March
31, 2006 - 5 months out. Is that normal, or a little too long (another
point I should negotiate?)

I rarely take less than six month listings. I pay for advertising and
marketing...why should I do that with a short contract? In a hot market, I
have taken 90 day listings if the property was priced right...but in a more
balanced market or if the price is on the high end of value, I will refuse a
listing of less than six months. All the good agents I know work the same
way.


3. One last thing: Under Additional Provisions:
"At the time of closing the Seller agrees to pay RE/MAX a one time
transaction fee of $545"
Is that BS - one of those junk fees I should tell the guy to take out?

He is just asking you to pay part of his fees to his broker. I would never
do that...but perhaps it's common in you area....check around.

TIA for your advice.

You are welcome.