What is the Standard Brokerage Commission

[HeartsContent]

The seller signed an agreement with a broker for a period of time. No matter who sells the boat, the broker gets paid - yah, that's sort of crazy.

sailboatlistings.com will yield better results than a broker and is free (well I'd buy an add to get on the top).

Brokers are the sellers problem, offer what the boat is worth and let the buyer pay for the "luxury" of the broker.

Lose the broker and you will sell your boat much quicker.

Originally Posted by Knucklehead

Found a very nice boat, besides it being a little high in the cost category, I have a question.
Should a seller be approached by a buyer, directly, who (seller) has a contract with a broker. Is the seller obligated to pay commission?
That 10% savings could be the deal maker. When adding the 10% and the normal counter offer of 5-10%, I could afford the boat.
I have sold two boats through a broker, total cumulative value of $410k. When all is said and done, paper work is nominal. Lending institution does most it.
Bottom line, contracts normally are for a specific (standard) length of time. Anyone know what it might be?

[skipmac]

Originally Posted by HeartsContent

The seller signed an agreement with a broker for a period of time. No matter who sells the boat, the broker gets paid.

Not always correct. There are three types of listings. One is called a central listing and will work the way you say. One broker owns the listing and gets the listing commission no matter who sells the boat (including the owner). Any broker (including the listing broker of course) can sell the boat and gets the selling commission.

Then there is the open listing. This listing will allow the seller to sell direct with no commission but NOT to a customer that was originally introduced by the broker.

There is actually a third listing, exclusive that gives one broker the exclusive to sell the boat but I seldom saw that used except in megayachts.

[Suijin]

Originally Posted by HeartsContent

The seller signed an agreement with a broker for a period of time. No matter who sells the boat, the broker gets paid - yah, that's sort of crazy.

sailboatlistings.com will yield better results than a broker and is free (well I'd buy an add to get on the top).

Lose the broker and you will sell your boat much quicker.

As Skipmac mentioned there are different types of agreements. Brokers are not inclined to hump getting a boat sold only to have the owner "sell it out from under them," so it's not unusual to have to pay the commission fee regardless.

Your last two statements are dangerous generalizations bordering on falsehoods. Yes, it might be true in some circumstances, say when selling a smaller (<26') boat at a lower price in a dense boating area, but over 30' and with a boat in good shape you're doing yourself a disservice, IMHO.