What are typical broker’s fees for a resale?

[Lakeshore]

Hello, I was wondering what are typical fees for a broker when selling a resale? Is it a percentage of the sale or is there a set fee?
Thanks so much!

 

[tschwa2]

I think it is 20%-30% but most brokers have a minimum of $2000-3000+ so either they won't accept listings that are likely to sell for under $10,000+ or they would require their minimum after the sale goes through be it from the proceeds or directly from the seller if it doesn't sell for enough to cover their minimum required commission.

Edit: if selling through the developer expect a minimum of 40% as their flat fee.

 

[Lakeshore]

I think it is 20%-30% but most brokers have a minimum of $2000-3000+ so either they won't accept listings that are likely to sell for under $10,000+ or they would require their minimum after the sale goes through be it from the proceeds or directly from the seller if it doesn't sell for enough to cover their minimum required commission.

Edit: if selling through the developer expect a minimum of 40% as their flat fee.

Wow, okay, that is helpful…I didn’t realize it was so much, and with a minimum listing…that would put a lot of timeshares out of the picture, so hence the flat fee, I guess. I am trying to gather as much information as possible before I make an offer on a property, so thank you so much for answering my questions. I really appreciate it.

 

[TheTimeTraveler]

Try purchasing from an owner directly to cut out the need for Broker fees.....

TUG, eBay and Redweek may be a good starting point in looking for owner listings.

Best of luck.




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[Lakeshore]

Try purchasing from an owner directly to cut out the need for Broker fees.....

TUG, eBay and Redweek may be a good starting point in looking for owner listings.

Best of luck.




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Hi, I do want to purchase from an owner directly, but it seems almost all of the listings I’m looking at are brokers, and this is on Redweek. They list the gold seasons and then I see these same brokers on the platinum season listings, too.

 

[TheTimeTraveler]

Keep looking until you find what you want from whom you want....... Or, make a purchase offer from a Broker at a much lower price point and see if they'll bite.

What Timeshare or Resort are you specifically looking for?


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[Lakeshore]

Keep looking until you find what you want from whom you want....... Or, may a purchase offer from a Broker at a much lower price point and see if they'll bite.

What Timeshare or Resort are you specifically looking for?


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Newport Coast Villas

 

[tschwa2]

Hi, I do want to purchase from an owner directly, but it seems almost all of the listings I’m looking at are brokers, and this is on Redweek. They list the gold seasons and then I see these same brokers on the platinum season listings, too.

If it is just redweek full service and not a typical outside broker the broker fees would be less. They charge the owner $125 to list and then 3% or a minimum of $399 when it sells.

 

[Lakeshore]

If it is just redweek full service and not a typical outside broker the broker fees would be less. They charge the owner $125 to list and then 3% or a minimum of $399 when it sells.

They are outside brokers, not Redweek’s service.

 

[altiste1]

Unless it’s specifically stated in the listing, broker fees are typically paid by the seller. If a broker is listing a timeshare at a particular price, that’s the price you’ll typically pay, plus any closing costs (I.e. deed prep and recording, title insurance if any) and resort transfer fees. Sometimes the seller pays those too, but definitely not always.

I have noticed that closing costs do tend to be a little higher when a broker is involved, but not to the level of a 30% commission. But definitely read the fine print on the listing.

 

[RX8]

You could also put a wanted ad on TUG. If you are lucky, you might find a TUG member looking to sell wanting to bypass the broker’s fees.

Edited: you might need to pay the $15 annual TUG membership fee in order to place a wanted ad. Certainly worth it for everything else you get for that $15 (access to reviews being one, not to mention the prestige of being a TUG “member”).

 

[Lakeshore]

You could also put a wanted ad on TUG. If you are lucky, you might find a TUG member looking to sell wanting to bypass the broker’s fees.

Edited: you might need to pay the $15 annual TUG membership fee in order to place a wanted ad. Certainly worth it for everything else you get for that $15 (access to reviews being one, not to mention the prestige of being a TUG “member”).

Thanks! That’s a great idea! Worth the cost and prestige for sure! Although, I think I am a member. I’ll check!

 

[Passepartout]

Thanks! That’s a great idea! Worth the cost and prestige for sure! Although, I think I am a member. I’ll check!

If you are, you would have received an email with a code to enter to change your 'Guest' to the prestigious 'Member'!

 

[Lakeshore]

If you are, you would have received an email with a code to enter to change your 'Guest' to the prestigious 'Member'!

Guess I needed to renew my membership, so all is good now!
Thanks for all of your advice. I’m just trying to figure out if I should even bother making offers on the broker listings. Or if I should contact the broker directly. There is one listing that states the seller is willing to work with a broker, but must end up with the current sales price….so I am assuming a broker could then list that same resale a tiny bit lower then the original ad but then state the $120 Marriott fee and $700 escrow will be extra.…so it’s actually more money for the buyer. Also, LT transfers which was recommended on this forum many times, seems to be cheaper in price compared to the closing and escrow prices of $700-1500 listed in the ads. I would like to use LT Transfers if I have to pay closing costs, so I would put that in the initial offer?
Thanks so much for all of your advice!

 

[TheTimeTraveler]

You can structure an offer any way YOU want. Whether the terms and price will be accepted are a different issue, and that is where you negotiate price and terms......





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