Does the commission on commercial mortgages go down the higher the amount of the mortgage. On a 25mil mortgage what is the standard commission rate? What is the commision rate on line of credit?
1 Comment(s)
On most of my commercial loans over 10 million, I’m charging a flat fee of $25,000. That’s about what the industry average is. A line of credit doesn’t change anything. It’s still the same commission.
One of clients had a $15 million loan on a hotel and paid his last broker $68,000 in commission. Just ask them what the fee is and if it’s too much, backout and find someone else.
On most of my commercial loans over 10 million, I’m charging a flat fee of $25,000. That’s about what the industry average is. A line of credit doesn’t change anything. It’s still the same commission.
One of clients had a $15 million loan on a hotel and paid his last broker $68,000 in commission. Just ask them what the fee is and if it’s too much, backout and find someone else.
Junius L | Jun 3, 2009 | Reply