Suggested Brokerage Commission?
Our long-term (12-yr) tenant signed a Buyer's Agent agreement with his next-door neighbor. She approached us via phonecon and email to see if we were interested in selling to tenant and sent us a packet of paperwork to justify her comp on the townhouse. At first we weren't ready to sell, needed more time to think about it, but after chewing on it for a couple of weeks (her vacation, tenant work travel, then readdress the issue), we decided that we were ready. She sent us an offer last week to which we are working on a counter-offer.
She's asking for 3.5% which I think is outrageous. She's saying that's her 3% buyer's agent plus .5% "listing" agent.
A local realtor friend (turned out to be from the same brokerage in MD) says to offer her 1.5% (or up to 2% max) and that she had done a similar transaction for .5% plus admin fees. My mentor realtor said 2 or 2.5% (in FL though). This is a transaction in the $300K range.
What do you think? Is 2% fair?
(Darn we wish our tenant would've just asked us straight - we've been expecting him to offer to buy the place for YEARS and now we're stuck with a commission on top of some ridiculous 7.5% MD non-resident tax and capital gains to boot!)