brokers. The agents however, are not allowed to discuss their company commission rates with agents of different realty companies. No realty company is allowed to advertise its rates to attract customers. The commission to be paid to the seller's agent is decided when the listing contract is being drawn and the commission payable to the buyer's agent is determined when the contract for the sale of the estate is being written. Usually, the total commission is divided equally between both the agents. Tips to negotiateHere are certain pointers for you to keep in mind when you try and negotiate the commission payable to you real estate agent:Study and calculate the value of your home and draw an estimate of how much would be the ideal commission charge for that value. Enquire about other homes in your area that have been put up on sale and find out how much those owners are paying their agents. Keep a track on the market trends, whether it is favoring the sellers or the buyers. In case it is supporting the sellers, then the negotiation power lies more with the sellers. Make a precise budget before negotiating the commission rate.Before hiring an agent, make a background check to see if he is adequately qualified to carry out the job. Carefully observing the agents' weaknesses and use them to your benefit.Discuss payment options other than straight commissions such as a flat fee or a dual fee. The dual fee states that a certain percentage will be paid if the house is sold for more than a specified rate. AlternativesIn the situation where you do not manage to find an appropriate agent or broker, you can always sign yourself with a real estate firm that charges a flat rate instead of any percentage. Moreover, if your house is in a good condition and well maintained, you will not only pay a nominal fee for the sale procedure but also get a good value for your house. CautionIt is advisable that individuals wanting to sell their house do not fall for tempting offers made by certain agents who promise to sell the house at a higher price, and in turn, charge a higher commission. The customers should also be wary of the agent who says that the value of the house is very low and would require a lot of effort and time to sell. These are just tactics to extract as much money as possible from the client.


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