do you tip your realtor?

[Montehall]

I just showed a couple of houses in lieu of my wife (who is in Indiana)

The houses was in Cypress... a good 2 hour drive for me.

The guy worked with my wife before (investor/flipper) and all he needed was someone to unlock doors, which I can do, I just can't answer any questions.

I took the dude around to a few houses, and when we were done, he handed me $20 and told me "that's for your gas and dinner" (I had to drive our F350, but never mentioned anything about it)
I declined it of course, but he pressed that I take it. When I told that I can't, he just look at me and said "I never gave you anything..."

I asked about it, and my wife just said "Realtors aren't supposed to collect tips, but you are an assistant."

:dance:
free dinner.

[Rotorhead]

No! They are over compensated as it it.

[Montehall]

No! They are over compensated as it it.
pfft.

[Rotorhead]

pfft.

Seriously? The people that should be making the money are the men who build and design them. Why It would have does a realtor deserve 3%. It would have cost me less to pay ours 500$ an hour.

[Stangkiller]

Nope

[mrvette]

Seriously? The people that should be making the money are the men who build and design them. Why It would have does a realtor deserve 3%. It would have cost me less to pay ours 500$ an hour.

Build them, yeh, I can see that, but those 'designers' of modern tract housing?? tract mansions?? dumb assed designs with more hips and valleys than the Appalachian trail?? talk about a roofing nightmare ....then we get into those modern stylish high vaulted ceilings....talk about giving up every dime your 15++ SEER HVAC unit can deliver, that's it....

add in 6 skylights while we at it, just for shits and giggles....

:rofl::rofl::rofl:

[...Whitepower...]

I switched agents two flips ago.. Reason why is my old agent was lazy.

We went into the deal with an agreement at 4.75% per property (1.75% him and 3% buyers agent). Keep in mind i was using him as my buying agent so he was gettnig paid the full 3% on whatever i picked these house up for, just for me to relist with him post renovations 2-3 months down the line.

Anyway after i realized how much he sucked i terminated the deal after the sale of the property that i relisted with him. He really was a good guy, he just had too much on his plate so opted to severe the relationship. Kid with med bills, going through a divorce etc.. His head was preoccupied with other shit which i understood but at the same time he was affecting my business.

Anyway we sold the house around Christmas.. The hud had the 4.75% comission on it. I threw another half a percent his way ($750) to help him out. At least the entire $750 "bonus" went to him and he didn't have to split it with his broker. Besides the agreement we had at 4.75% was based on us doing multiple properties with him moving forward. Thats why he gave me the break..

[mrvette]

I"m convinced that all you need is a sign out front, and anyone cruising the hood with or without a realtor can at least copy down the number and call you....after 2 years and countless realtors up north I finally sold my house with a sign in front, that was IT.....

bottom line sale, sold for what I paid 8 years earlier....but that was '97...today, well lets just say I missed the boat...

:sadangel:

[LATB]

and thus it begins...another thread debating the value of the real estate brokerage business... :rofl:

as a refresher:
the real estate brokerage business is a service business...much like the service business who changes oil in your car.
you can choose to employ one to do it for you...
or, you can do it yourself.

I never under stood why people want to challenge the cost of real estate brokerage. it is, you know negotiable. try that at the shop that works on your car. probably won't happen.

[LATB]

Seriously? The people that should be making the money are the men who build and design them. Why It would have does a realtor deserve 3%. It would have cost me less to pay ours 500$ an hour.

what about the men who design & build them and are also in the real estate brokerage business? :D

and a Realtor who earns a 3% commission does not keep 3%. but you know this right?

and, as a licensed agent...I've done many deals where I wish I was offered 500$ per hour....hell, even 100$ per hour would have been better than the % commission. :lol:

[Vette40th]

After dealing with homes, selling and buying in two states, I will gladly pay a real estate agent. What a headache states, counties etc make it for someone to buy/sell a home.
Tips, not sure of that one. But a nice dinner and champagne at close is a sign of thanks.

[LATB]

to the OP...

your wife is correct. agents or brokers are not allowed to accept tips or gifts or any gratuity from a client or a vendor.

I can not verify the assistant ruling, but it would be wise to not accept gifts there either.

even lunch or small items of appreciation are suspect.

it is an area in the brokerage business that is highly scrutinized...so, just for perception purposes...it's best to steer clear.

one thing many do not know about the real estate brokerage business, the money is watched like a hawk...and there are felony charges looming for any who try to work outside the law.

[Montehall]

and, as a licensed agent...I've done many deals where I wish I was offered 500$ per hour....hell, even 100$ per hour would have been better than the % commission. :lol:
no crap...

Ziprealty is probably the worst.

the agent earns 50% of 80% of 3%

[LATB]

I'll add...

compensation in the form of a bonus can be given if a buyer or seller wants, but it must be signed off by all principles in the transaction and the broker(s) whom the agent is employed under.

I once had a buyer give me a sizeable bonus, because the seller beat up my commission in the negotiations of the contract. my buyer was basicially telling the seller he wanted the property and was willing to see me compensated fairly for my efforts...even if the seller was a cheap ass. :lol:

HOWEVER...the best "gift" a client can give an agent or broker is a referral. :yesnod: :cert:

[ConstantChange]

I wouldn't tip a normal Realtor transaction, but if I had someone drive 2+ hours to meet me just to unlock the door, I'd probably give them a few bucks.

[Blademaker]

Mine tipped me with a nice bottle of wine, but I'd bought 2 houses through her in 1 year.

[LATB]

I wouldn't tip a normal Realtor transaction, but if I had someone drive 2+ hours to meet me just to unlock the door, I'd probably give them a few bucks.

but the agent or broker can not accept it.

a simple thank you and a signature on a contract is thanks enough. :yesnod:

[Bucwheat]

Way over paid now.

[LATB]

Way over paid now.

Average annual income about 37K.

Please articulate your position.