Add on Brokerage Fees?

Add on Brokerage Fees?

There was an interesting article in the real estate section of Sunday’s Chicago Tribune that caught my eye. The article, written by Kenneth Harney of the Washington Post looked into recent lawsuits involving small ($100-$500) fees that several brokers are charging their sellers at closing. These fees are on top of commissions that many times are several tens of thousands of dollars. I’ll save you the trouble of reading the article and just tell you that brokers who charge these fees are just being greedy. To charge commissions like we do, at 4%, 5%, 6% and even 7% of the total transaction price, then to try to nickel and dime these very sellers with supposed “administration” fees is just lame. There is one firm in our area with an affinity for oak trees who charges these sorts of fees, and while legal if disclosed in a listing contract, I still think it’s in poor taste. As a seller, you have veto power over agreeing to these fees, so if you end up paying these add on fees at your closing, you have no one to blame but yourself. Then again, you could just hire a nice fella who works at Geneva Lakefront Realty and not only will you pay an incredibly low total commission rate, you also won’t have to worry about add on fees. www.chicagotribune.com

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