Since most of us are ingrained with the idea that the committee responsible for residential real estate is typically 6 percent, it warrants discussion why time Brokers charge a higher percentage.
First, realize that 6 per cent in a typical home can be a low percentage, but because the selling price is many times higher than that of timeshare, 6% is a lot of dollars.
A sale of timeshare in the same way that involves a lot of work and expenses such as selling a house, sometimes even more, but the commission dollar amount is so low that most traditional advocates consider it a waste of their time selling timeshare.
So yes, the percentage is higher timeshare, but the dollar amount is much lower. This is a high percentage but low dollar amount of commission. Compared with sales of origin, time-sharing is a completely different industry with very little selling prices and costs that are proportionally much higher.
It is very difficult and expensive to properly market the sale of a timeshare.
In a further sale of the developers time, it is well known that the marketing and commissions paid by the buyer as part of the purchase price, total about 50 percent! That is one of the reasons why the resale on a typical time-sharing is only a maximum of approximately 50 percent of what was originally paid.
At the timeshare resales industry, brokerage commissions charged by Licensed Real Estate Brokers average between 20% to 40%. Resorts timeshare and timeshare developers, usually charge 25% to 40% for resale operations
In addition, most of time licensed real estate agents have a mandatory minimum commission amount ranging in the vicinity of $ 2000 to $ 3000. with an average of about $ 2,500.
Because the average resale price is so low, the committee mandatory minimum is required if the corridor is to stay in business, while expenses proportionately higher professionally relevant to the marketing of a exit timeshare The cost of a sale for a runner is on a list the same low price as it is at a higher price list.
Once again, the average commission of $ 2500 is not a lot of money compared to the work of the initiation of the sale, after it through with the buyer and seller until it closes, accountability and responsibility the cost of the entire process.
Remember that if you sell without a broker only you are responsible for the problems.
Our company is paid a fee only if we succeed in selling timeshare, we all costs if it sells or not, and we firmly believe that this is the only way it should be.
We are the first company resale, and happy to do so honestly and without charging any advance payment.
Our corridor is one of the relatively few other runners to be the same policy.
We are well aware that we could make many times more money and could easily develop some regime sufficiently convincing to prove the cause sellers to pay upfront fees – is much less work and much easier to find people willing to pay for an exit timeshare, which is to find buyers who are willing to pay to buy one!
However, we are firmly committed to our policy of a reasonable fee for the service, only after which the service is performed.
In conclusion, when considering the payment of a commission of timeshare, focus on the dollar amount to get the job done, and not the commission percentage.
And when comparing between brokers, the lowest commission offered may not be the most sensible, either.
If the goal is to really sell the property, Broker with an average commission that spends what is needed and actually sell the timeshare, is certainly a wiser choice than choosing a broker willing to list with a low commission, but not long ago, and not sell the property.
You can rest assured that no-advance-payment Brokers like us, only a modest net return to the high percentage, but low dollar amount of payment.
The worst thing that a seller can do is take the attitude that the seller said that Broker, “I am not going to pay” such proportion “to sell my turn!” – Then foolishly return and pay upfront fees repeatedly to companies that do not sell their timeshares and usually are not even licensed real estate brokers.
The result is that these vendors end up paying exorbitant fees that are not sold to, rather than an impartial commission, to sell it!
PLEASE do not fall prey to the many companies out there that are ready, willing and able to convincingly say how they will sell their timeshares for a great price as soon as you pay (or the company that relate to) any type of advance fee for an assessment or payment – no matter how logical reason for the rate of initial sounds.
On a positive note, before the wine over the Internet, there was virtually no means of marketing a timeshare resale at any price, but the good news is that there is now a strong market if the price is in line with the price that other vendors are willing to sell units identical.