Real Estate Commissions: You Get What You Pay For
FILE - In this Dec. 16, 2014 file photo, a for sale by owner sign sits in front of a home in Richardson, Texas. Real estate data provider CoreLogic reports on November home prices on Tuesday, Jan. 6, 2015. (AP Photo/LM Otero, File)
There’s a growing debate about real estate commissions, with some brokerages and online platforms promoting low or even zero-commission services. They claim to offer the same results for less, but let me be clear—The Murphy Group is not a discount brokerage, and we do not offer limited listing services.
I’ve been in this business long enough to know that you get what you pay for. When sellers choose a discount brokerage or an agent who isn’t properly incentivized, they often leave thousands of dollars on the table—or worse, find themselves in a stressful, costly situation that could have been avoided with the right representation.
How Sellers Lose Money with Discount Brokerages
I’ve seen plenty of situations where sellers went the discount route, only to regret it later. Here are just a few real-world examples of how choosing a low-commission model can backfire:
1. The "List and Leave" Agent
A seller in Columbus thought they were getting a great deal by choosing an agent who charged a flat fee to list the home. The agent promised to put the home on the MLS but did nothing else—no professional photos, no marketing, no follow-up with buyers.
What happened?
The home sat on the market for 90+ days with little interest.
The seller had to drop the price twice just to get showings.
When offers finally came in, they were lowball offers because buyers knew the home wasn’t being marketed well.
In the end, the seller lost over $15,000 compared to what similar homes in the neighborhood sold for. A full-service agent would have ensured proper pricing, marketing, and negotiation, leading to a much better outcome.
2. The Discount Agent Who Didn’t Care
A seller in Dayton hired a low-commission agent to list their home. Since the agent wasn’t making much on the deal, they put in the absolute minimum effort. They took low-quality cell phone photos, didn’t host open houses, and weren’t responsive to buyer inquiries.
What happened?
A serious buyer submitted an offer, but their agent had questions. The listing agent never responded, so the buyer moved on.
A second buyer made an offer with inspection requests, but the agent didn’t negotiate repairs, leaving the seller to either accept costly fixes or lose the deal.
The home eventually sold, but for $22,000 below the asking price due to poor communication and negotiation.
A strong, full-service agent would have actively marketed, negotiated, and guided the seller, leading to a much higher sale price and smoother process.
3. The "One-Sided" Deal
In Cincinnati, a seller used a discount brokerage that promised low fees. The problem? The brokerage also offered a low commission to the buyer’s agent.
What happened?
Many agents ignored the listing because there was little financial incentive to show it.
The home received fewer offers compared to similar listings in the area.
The seller ended up accepting an offer $30,000 below market value because they had no leverage.
A full-service brokerage like The Murphy Group ensures that listings are competitive, properly marketed, and attractive to all buyers and agents.
Why Full-Service Matters
Selling a home isn’t just about putting a sign in the yard—it’s a strategic process that requires expertise, marketing, and skilled negotiation. Here’s what you get when you work with The Murphy Group:
Premium Marketing – Professional photography, virtual tours, targeted online ads, and maximum exposure for your listing.
Expert Negotiation – We fight for every dollar, ensuring you get the best possible price and terms.
Full Transaction Support – We manage everything from showings to inspections to closing, preventing costly mistakes.
Local Market Expertise – We know the Springfield, Dayton, Columbus, and Cincinnati markets inside and out.
A great agent is worth their commission because they put more money in your pocket.
The Real Cost of "Saving Money"
Many sellers think they’re saving money by choosing a low-commission agent, but in reality, they’re often losing way more than they save.
A strong agent can get you:
✅ More offers
✅ Higher sale prices
✅ Better terms and protections
✅ A smoother, stress-free process
A cheap agent can cost you:
❌ Fewer buyers and weak marketing
❌ Longer time on market
❌ Lower sale prices and poor negotiations
❌ Increased stress and last-minute problems
Final Thoughts
The Murphy Group is not a discount brokerage because we know the value of expert representation. If you want your home sold fast and for top dollar, you need an agent who’s fully invested in your success—not someone cutting corners to save a few bucks.
I stand by what we offer. We will outperform any brokerage that claims to offer low or no commission. If you’re thinking about selling, let’s talk about how we can get you the best possible result.
📩 Contact us today to discuss your home’s value and the best strategy to get it sold with the best agents around!
