Knowing the ‘real’ real estate market

Perspective: Revamping Real Estate Commissions

Learn the New Luxury Playbook at Luxury Connect | October 18-19 at the Beverly Hills Hotel

Editor's note: This month, Inman News is focusing coverage on the issue of percentage-based real estate commissions and other industry compensation practices. The following guest perspective is written by Don MacKay, a real estate broker in Canada. Please join in the discussion: Click here to share your views and insight with Inman News readers. By DON MACKAY One of the problems that we in the industry suffer from is that the vast majority of home sellers are satisfied with the current commission model. I offered a fee-for-service model that would save home sellers thousands -- tens of thousands of dollars in many cases -- on the sale of their home. In 23 years of offering, basically to work by the hour on a retainer or pay 7 percent at time of sale, not one seller opted for the fee-for-service offer. It's not the amount of commission -- it's the lack of negotiation skills and knowledge of the "real" real estate market by the "I've got a killer application ...