I have a vacation rental property in southwest MI that I am considering selling. I have talked with two agents so far and both have given me, what I consider, a high commission rate (7-8%). Does this seem high, or is it pretty standard? I usually hear of rates being in the 4-5% precent range. The property is 141 acres and very rural so does that account for a higher commission rate? I look forward to hearing your responses. Thanks.
I think it depends on the price of the property most places that don't have expensive homes like CA will be about 6% but if it is a super cheap property that could be the reason they ask for more. In CA 5% or even 4% is doable because in some areas it can be difficult to find any property for sale for less than $500,000
Makes sense.....vacant land usually takes a Lot longer to sell.....as opposed to a sfr in a strong market.
5-6% is typical in my market for residential. 5-10% is typical in my market for land.
Thank for the insight, everybody. I ended up negotiating a 6% rate for a 6 month listing agreement. Fingers crossed.