On Site Sales

**steele682** · 01-18-2008, 07:42 AM

Anyone know the typical salary/commission structure of on site sales. It is selling about 20 units for a total of $10M

thanks

**REbuyersgroup** · 01-20-2008, 10:31 AM

Are you acting as the LISTING agent, or working for the developer?

If you are the listing agent, I would require 5%-10% commission and pay the buyers agent 3%-8%

In general you will end up with 2%-3% depending on how you structure the agreement. If there is no buyers agent and you get a walk in or from your own marketing, you get the bonus.

If you are being paid by the developer and all you have to do is walk people around, the developers typically pay 1%-1.5%.

**TomAnto** · 01-27-2008, 12:23 PM

Geez using those rates you end up with commissions between $100K to $1 million. 10% sounds unrealistic. 1-3% sounds more like it if you are working for the developer or not. This is high volume sales and logically should yield lower commissions than single sales. The developer is doing well to get returns at your high end and you won't make more than them. I'm curious to know where you get those rates from.

Edit: I'm thinking about the two agents now, maybe on the high end you could push 4%. That would be 1.5% for you and 2.5% for them, but you are cutting the developer's profit to the bone on most deals I've seen. Tough to get investors excited about a property without a good return for their risk.

**thedeallocator** · 01-28-2008, 01:02 AM

Yo may also want to take into consideration the marketing costs. Who is paying for the marketing? If the developer is paying for the marketing, then a lower commission structure is realistic, otherwise you have to factor that into your bid. Goodluck

**REbuyersgroup** · 01-28-2008, 06:07 AM

Trust me, you will not be earning more than the builder. And don't let then make you think that.

The question again is what is your role in the transaction? Listing Agent?, or are you a sale person for the developer?

Each has very different roles and compensation will be based on that.

I have represented developers from both sides, but typically want to be the "Listing Agent". more control... We decide what to pay the buyers agents, work with the developer on a marketing strategy etc...

The developer will provide all marketing material and should have a marketing budget above and beyond commissions.

Don't be afraid to ask for a high commission and go in STRONG. No weak presentation and you'll consider negotiating commissions. Builders need us more than ever.

If you are the listing agent and only took a 3% commission what are you paying the buyers agents?? $0?

Good luck.