I agree, I am mentoring someone that has taken a listing similar to this way., She is happy as a new agent to get her name out there and start farming her butt off.

It can payoff if it doesn't get out of hand.

If it works for you, do it.

I can't afford to work for FREE.

I can work at a discount at times.

I can work and compete with anyone else (realtors)

for discounted listings, though.

It's a business and every decision should take that into account.

There are 'compensations' that are non immediately monetary--for instance, getting your foot in the door of a desired farm area.

I will give a break for some, depending on the grief factor. That is so important to me.

High grief factor, higher fee. Low grief factor, well, you see where I'm going with this.

Are friends and family the first or second group?  LOL . . .

The problem with working for free is that it's actually PAYING to work. Your TIME, resources etc are valuable.

Who is worth paying them to work for them?

How does your Broker feel about you taking free listings?  Doesn't the brokerage have to be paid?  Do you then pay them?  Doesn't make much sense for me.  If someone wanted me to take a listing without being paid, I would ask them if they work for free.  There are other ways to get your foot in the door and your name out there.

Amen Marcia .  .  . my agents cannot take listings below a certain level without Broker authorization. I have no problem being the mean broker that spoils all the fun.

The only thing worth doing for free is a paid internship . . . LOL

The ironic thing is that the really cool friends/family members usually will offer to pay and not try to wangle a deal.

Bill

All you have to do is to tell your friends and family that you have to charge them under the unexplained "Regulatory Compliance Fee"

Ha ha

Bill...in the dictionary under "complain", there is a picture of a Realtor. Club Dues are one complaint or problem a month. As for your summary (to which I have issue), simply put,  your ends justifies the means.

Your friend,

Phil1

I just sold my best friends house for 1.5% on my end, 2.5% was offered in addition to the selling broker.  She has sent me a ton of referrals over the years and her waterfront is coming on the market soon.  She knows I am doing this as a career, not a hobby.

My parents wrangled me out of 9200 in commission and then bought privately. They bought me a bottle of Australian Shiraz as a thank you. (I wrote the deal and negotiated the private for them) Next time - I will refer them out.  Not due to commission, but because they complain they overpaid for their new house - which I TOLD them they were at the time.

Friends are great - family changed you diapers and still think you may be full of it.....

Last thought - if it is going to make you money in the end and you are helping someone out in the mean time - where is the problem? It all comes back!

I haven't had to reduce my rate on a listing......yet.  My friends and family are more than willing to pay me.  They know how hard I work for every cent.  I did take a hit on the Buyer side with an aquaintance once(the Seller side took an equal hit) on a short sale but I knew it was going to cost me anyway.  Earned a great friend, a lot of good will and word of mouth, and mucho referrals.

Every sale is different and each should be approached with the unique attention it deserves.  If you have to take a hit but foresee a potential benefit to your business, why not?  It's YOUR business, after all.  

I understand the Broker end of it, but don't they stand to benefit from the potential, as well?  I know my Broker has taken some hits in the past and she trusts me to only take the hits when necessary and under the appropriate circumstances.  She trained me, after all!

I'm sure all other service providers go thru the same thing.  mechanics, barbers, or cobblers.  They learn, as we do, that no good deed goes unpunished!

I typically work a deal for single mothers. Nobody has taken advantage of me or asked me, I volunteer. This is one of the perks of owning your own business and doing what you can when you see a situation. They still get full service, plus.

I like Steve Martin. I do charity work without making the big bucks though.

Of course referring family and friends out is the wisest thing in most cases . . . back down to that grief factor.

I've never taken a 'FREE' listing nor credited all my commission to a buyer client.

Professional means, among other things, you get paid for your expertise.

My broker has written rules for commission requirements for friends and family.  I get a higher cut and can offer a lower commission.

Yea, you're the lucky one!

My broker gives me 100% too . . . LOL . . . then she takes 100% for expenses. Come to think of it, I DO work for free . . . ROFL

While I just recently reduced my selling side commission to accomodate a long time client who has had 5 transactions with me in the last 2 years, I haven't noticed any of the service providers that I spend money with providing me with any of their services for free. The problem is the general perception that real estate agents make too much money for doing too little.

As Marie Antoinette might say, your friends, neighbors and relatives can eat their cake elsewhere.

I think a friend deserves a discount.  I think the situation Trista describes is what I would do and have done.  I have my father-in-laws 2 properties listed with 3% to buyers side not knowing what he will pay you but he will b/c he is a great guy.  He has done so much for me that is he did not it would be alright.  If he did not I guarantee he would cover my brokers fee.

Sometimes we work for free.  Your mom raised you for free right.  Actually she paid out the you know what to raise you most likely.  

I think it depends on where you fall on the family tree.  I would sell my true families homes for free.  Distant family no way.  I may even refer them no matter what b/c it's not worth the issues that could develop.  My friends should know I need to send my kids to college right?

I liked the comment about the perfect stranger getting 3%.  How can a friend or family member pay them yet not care about your time.  Although I would work for free my family and most friends would never dream of asking.

My father-in-law has even mentioned an insane net listing for our compensation.  we could never take the offer but I bet he tries to make us.  He is just that kind of guy.