"My house was listed permanently in my real estate agent! I thought that I could not sell in this market, but I also have rental and rental to own owners even in multiple listing services There is not yet a taker. (Charlotte Landlord)
Dennis Rodman is one of the most rebound players in NBA history, this year's All Near Defense All of the Year Player, consisting of five championship teams. Although known lovingly as "worm", his disgusting feeling is even worthy of attention. His trends (and hence "worms") on countless talks of his late night party in Las Vegas, riding his bike with the drug in downtown Chicago, and drinking a large amount of tequila was a legend . His philosophy was "Please work hard and do your best". But as soon as he became an established player he knew immediately that he could play more because the contract was guaranteed. He paid the same amount regardless of whether it was lineup or not.
When Rodman's contract went up at the end of 2007, Chicago Bulls had a dilemma. They needed to win the championship, but when they missed 33% of the previous year's regular season game they could not pay a huge deal to him. . So, the Bulls came up with a solution. It was an incentive contract. They will pay Rodman up to $ 10.5 M with a guaranteed only 4.5 million dollars. The remaining contracts are based on performance indicators and are actually playing in the game (please imagine). The genius was to earn $ 185K / game bonus in all games played after 59 games (82 games season). Mrs. Rodman did not raise a dummy. The worm was paid. He beat the performance metrics and played in 80 games out of 82 games (earning a bonus of 39 million dollars).
The same wisdom can be used when determining the fee of a listing contract of your agent (and buyer agent that brings prospective customers). Please ask me two questions.
- What does your real estate agent want you to achieve? Sales? Do you want to rent tenants? Rental tenant?
- What are you paying for each?
- 3% of selling price
- Rental tenant $ 100
- 3% if tenants pay rent
Bottom Line - Incentives must be exactly matched to the activity you want to encourage! The worm does not intend to drive a person paying rent to your house with a fee of $ 66.67 (his company goes down 1/3).
