Commission?

[dogwasher]

Has anyone had any recent or past experience on how much commission a broker should receive on a approximately $1,000,000 sale?

 

[Earl Weiss]

Has anyone had any recent or past experience on how much commission a broker should receive on a approximately $1,000,000 sale?

Sale of what?

For real estate, here it runs from 4-6% . Everything is negotiable. They may be willing to negotiate a tiered system. Lower if there is no split with a cooperating broker.

 

[dogwasher]

Sale of what?

For real estate, here it runs from 4-6% . Everything is negotiable. They may be willing to negotiate a tiered system. Lower if there is no split with a cooperating broker.

Car with with land

 

[captain cw]

I've been told as high as 10%. I think 4% is more reasonable.

 

[MudMoney]

On a car wash sale it was 4%. The capital gains was the jaw dropper and it will go up next year.

 

[washme1]

The best time to negotiate commission is at the time you are considering an offer if it is less than your asking price. There is nothing wrong with asking the broker(s) to help soften the blow to you in order to make a deal.

 

[mac]

In Florida the norm on commercial businesses is 10%

 

[Reds]

I paid 7% in central NY.

 

[Red Baron]

8% in Texas.

 

[robert roman]

If you dig through some of the older editions of the Scotsman Guide or Commercial Investment Real Estate magazines, you will find some of the ads have information on recent deal closings. Sometimes the ads will describe the amount of the sale and commission paid to the broker. If memory serves me, I recall seeing broker commissions in the 3% to 4% range.

 

[Earl Weiss]

The best time to negotiate commission is at the time you are considering an offer if it is less than your asking price. There is nothing wrong with asking the broker(s) to help soften the blow to you in order to make a deal.

I disagree. First negotiate the best rate. Then, if the offer comes in too low ask the Broker for a reduction if they want to make the deal.