Tracy Alford

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A Discount Broker Cost Me over $13,000!

Posted On: May 11th, 2018 9:32PM

WAIT - what?!!!

 

Discount brokers are supposed to SAVE you money!  Well, that’s what they tell you anyway.  I get the discount broker thing - but you always get what you pay for, and here’s a great example:

 

I listed a home in the Saddle Rock Highlands Neighborhood (Hampden & Picadilly) at the beginning of March.  About a week earlier, a home not even a block up the street, was listed by a discount broker.  They listed at $424,900.  I knew right away that was too low… when I met with my seller, we discussed the list price, and agreed the home should be listed (and would appraise) at $440,000.  So that is what we did.  

 

The other home had a finished walk out basement, ours had a finished 3/4 bath in the basement, but nothing else finished, and not a walk out.  Other than that, finishes were similar, no luxurious upgrades or anything else that would make one better than the other.

 

Fast forward 30 (ish) days - their listing closed at $427,706 while ours closed (and had no problem appraising) for $441,000!  That’s over a $13,000 difference!

 

A discount broker will tell you they will save you money - and they might.  But chances are they will cost you more.  They will cost you precious time, expecting you to do things like deliver your earnest money check to the title company, when a full-service Realtor will do that for you.  They will cost you buyers - because they aren’t going to spend any extra time (and definitely not money) marketing your property.  They will cost you money - because when they say you pay a flat fee for commission, they are referring to only the listing agent commission.  In Colorado, the seller pays the brokerage commissions (buyer’s and seller’s agents), and your buyer’s agent will want to get paid! They will discount their listing fee - but they will also give you exactly what you pay for - limited service, no support, and low listing prices so it requires less work on their part. 

 

I feel so bad for this seller - yes they would’ve paid more to have a full service Realtor represent their every need and have their back - but it would not have been $13,000!  And it would’ve been well worth it. 

 

If you are thinking of selling your home - possibly the BIGGEST transaction you will ever be a part of - please, don’t be cheap - consider hiring a full service Realtor (I am available!) to represent your best interest and get you top dollar for your home! 

 

The Denver market is AMAZING right now, and you need someone on your side who understands what is going on!!

 

Call, text, email or wave me down!!!   It would be my honor to help you make the right move!!!

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