Firms upping fees for brokers
April 21, 2009 04:00PM By Julia Dahl
From the April issue: As real estate prices fall and the pool of once-thriving Wall Street buyers dries up, brokerages are re-examining their business models -- and, in some cases, upping fees they charge their agents. These charges, which are sometimes called "marketing" or "technology" fees, cover services like administrative assistance, business cards and Web site listing maintenance. Unlike a "desk" fee, which usually refers to a charge for keeping a permanent desk in a company's office, the marketing and technology fees have angered some agents, because they essentially cover services that were formerly free. Agents who talked to The Real Deal said Prudential Douglas Elliman, Corcoran and Sotheby's International Realty all charge these fees. Several brokers who asked to remain anonymous said Corcoran recently upped its fee from $1,500 to $1,950; Elliman charges $1,200, and many brokers at Sotheby's pay a $4,000 yearly fee.
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Comments
Anonymous
How stupid for a broker to pay an idiot firm like Douglas Elliman 40 or 50% of their commission and then another fee.
Comment #1 Posted By: Anonymous 04/22/09
Anonymous
Ouch. Sothebey's charges more than double that of other firms. Is their brand that valuable? Please enlighten me.
Comment #2 Posted By: Anonymous 04/22/09