Fee to an agent to handle all for legal paperwork

Fee to an agent to handle all for legal paperwork

Member since 2023 · 3 posts · 0 votes

Hello,
I am the Trustee and Executor of my mother's Family Trust and, per her Will, and now, after her passing, am in the process of selling her home.
The beneficiaries would prefer not to go through the process of putting it on the market, and possibly having to "fix-up", do marketing, open houses, contingencies, etc.  We have a friend who buys, renovates, and sells houses. She has made us an "as is" offer, and has an escrow company that handles her legal paperwork and funding.   All beneficiaries are prepared to sign a "Consent to Sale."

The attorney for our Family Trust has advised me to find a realtor agent to represent me as Trustee, to avoid "any and all liability, costs, damages, claims or obligations in connection with the sale of the property."

What is the average fee that should paid to an agent to handle all of the paperwork and make sure that everything that is legally required is taken care of?  I've been quoted a price of 1.75% of the selling price by one realtor --  Is that a fair price? Another indicated they could do it for about 1%, but I don't feel comfortable with the reviews I've read about him.  Could you please give me some advice?

FYI, the property is in Pasadena, California, and the proposed offer is $1,150,000.  (The property has been appraised at $1,135,000.)

Thank you!

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Russell BrazilBusiness Member
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Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
2y

Seems like a fair price. Remember as your attorney stated, there is a lot of liability for the agent in the sale of the property. Part of the cost they charge isnt just for paperwork, its for their expertise, and for their own liability of doing a job where we get sued, a lot. 

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  • Investor · Pasadena, CA · Member since 2017 · 612 posts · 523 votes
    2y

    @Phyllis Harrell Arnold  First, I am sorry for your loss. 

    Both those fees sound relatively reasonable, although, I would be suspect about the one with questionable reviews. I am happy to offer any help, or advice. I am both a Broker and appraiser for many decades local to Pasadena. I'll send you a DM as well. 

  • Russell BrazilBusiness Member
    Moderator
    Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
    2y

    Seems like a fair price. Remember as your attorney stated, there is a lot of liability for the agent in the sale of the property. Part of the cost they charge isnt just for paperwork, its for their expertise, and for their own liability of doing a job where we get sued, a lot. 

  • Member since 2023 · 3 posts · 0 votes
    2y

    Thank you, Russell --  I really appreciate your feedback!

    Phyllis

  • Member since 2023 · 3 posts · 0 votes
    2y

    Brad S.:

    Thank you for your condolences.  I truly appreciate your input!  Knowing you are familiar with this area gives me an added feeling of security in what I'm doing.  Thank you!

    Phyllis

  • Real Estate Agent · Kansas City · Member since 2018 · 4k+ posts · 3k+ votes
    2y

    Seems Fair I see 1-2% for just the paperwork. They will not represent a side but are purely to keep the transaction going(on track with deadlines) and compliant with the state. 

  • Real Estate Agent · Los Angeles, CA · Member since 2018 · 2k+ posts · 1k+ votes
    2y

    My condolences on the situation. A couple of thoughts:

    1. You are the Executor of the trust. You may have an obligation to put it on the open market if there are other beneficiaries. What you don't want is for someone to come back at you and say that you could have gotten more. I'm the Executor of a Trust and I'm not the only beneficiary, so to protect me I have to put it on the market to say that I got the best price possible.

    2. Have you looked into a real estate attorney? Have the buyer release all contingencies prior to acceptance and then pay a few thousand dollars for an attorney to review. If the attorney spends a few hours on it and charges $400/hour, maybe you spend 2,400 instead of $11,500 at the 1% Realtor fee. 

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