Letters: Why retainers make sense

I totally agree with the concept of the $1,000 retainer, it makes so much sense. Twenty-five dollars an hour is a somewhat fair wage for the self-employed. The buyer doesn’t even have to pay it if they buy.

In the case of a listing agreement, same for the $1,000 – so if by chance the home is not sold through your contractual agreement, the seller does not get the $1,000 back. The Realtor at least can cover some of the costs of advertising and virtual tours. The time spent showing the property, making appointments and hosting open houses would not be covered – the $1,000 would be a small “thanks for coming out” amount for the Realtor.

Some might say, what if the agent really doesn’t do anything; you know the type that puts the sign on the lawn, posts on the MLS and you never hear from them again? This will not only force the Realtor to actually show up with their marketing plan, and go over step by step in writing to the seller what they plan to do to sell their home, but it will weed out those Realtors who really don’t want to go the expense and effort of having to do an actual listing presentation and follow up with their sellers.

Is there any worse feeling in this industry than when you have a client and they call you to say the listing is coming to expiry, please take the sign off. Then you find out they used you for the past 90 days at the asking price they tried to fish for, all the while reading your lovely expensive ads/virtual tours? It then becomes listed with Jo Realtor, for the price you had suggested, and sells tout de suite!

When a seller knows he has to pay $1,000 and he may lose it, he may rethink listing at his asking price, which is way higher than recommended.

This retainer idea is a solution and a total win-win for both parties. It is so long overdue.

This would definitely solve the public awareness issue we have on this industry as to “how much money a Realtor makes.” Finally, the public will realize what it takes to be a Realtor and how much expense goes into just maintaining your license.

If the CREA or the Competition Bureau can dictate contractual agreements to protect buyers and sellers (the buyers agency is not strong enough to protect the Realtors), let’s take it a step further  and let’s protect an industry that needs clarification of what we do.

We all need to wake up and let the consumer know we would be more than happy to supply a great service, but like every other industry, for a fee!

Tina Forbes

Sales Representative

Re/Max Del Mar Realty Inc.,

Hamilton