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Realtor fees vs. Appraisal fees

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Thread Starter
Elite Member
Jan 22, 2002
Professional Status
Certified General Appraiser
Under significant pressure from the state Realtors board, the Texas Real Estate Commission is proposing a rule that would eliminate the "discount" or "listing for a fee" brokerage services. The rule would require certain services be performed by any listing broker, including showing of homes, marketing services, sales contract services, etc. which would raise costs. The problem is that certain brokerages are charging a fee ($500-700) to put a sign on the front, a lockbox, and putting the home in MLS. The seller handles the showings, etc. It's essentially a fee to place the home in MLS. The realtors didn't like that because they're losing listings to these discount brokerages. The fact that they still get their 3% for being a buyers rep is immaterial.

And they have the gaul to gripe about a $300 appraisal fee.


Verne Hebert

Senior Member
Feb 25, 2002
Professional Status
Certified General Appraiser
I know! I have thought alot about this lately. It is amazing the power NAR has though isn't it?

It has been very different lately here. Appraisers are out into February today. My office has been charging express fees for over three months.

The AMC's call........."what is you fee and turnaround time?". My response is....we are providing express services, when do you want it and I will give you a fee? It blows their minds. The realtors are getting involved when the AMC won't pay the fee and taking it out of their commissions.....after the AMC's continue to shop and can't get the job done, we call the borrowers and let them know their appraisal request is floating around in space, and it is not getting handled....and we can handle it.

Everyone is willing to have it expressed! Dah? An increase to the appraisal fee to discount the loan rate from say 7.5% to 5.7 %.

Kinda' like it this way.

Think about this one....................I just finished an appraisal litigation class--and during the class the thought arose....Isn't it interesting, USPAP will not let us collect a fee as a percentage of savings on a taxation appraisal. Say the terms are..I will take 50
% of the savings in the taxes paid on you property over the next three years. Can't do it. Even if the appraisal is bulletproof defendable; Beyond Reproach.

But NAR can't lobby the state to collect a commission fee from all Americans for the sale of their property?

I recommend a flat fee of $ 500 to sell the property... if the realtor tapes the building accurately.

Have a good weekend! Happy Holidays!!


Senior Member
Jan 16, 2002
never herd of those individualized Fees here; they usually charge a Flat Fee of 5-6% and thats it.

I likes yer idea of "Express Service" though, I hadn't thought about that one; u ole silver fox u :lol: :wink: that ones definitely going in the cahs box drawer fer future use :)

Further, with AMC's charging from $350 to $650 a job, why are we so shy at upping our Fee's :?: and as far as Re-Val Fees, we start at $750 +/- depending on the assignment (includes an appraisal) and initial consultation and up from there, with NO guarantee, which is fully explained at the consultation. Their choice, we do include a #2-rubber mallet 8O for those hard headed individuals that can't grasp what we say, after a couple of "taps" on the craniel sector, they usually git it :lol: :lol:

good luck


Mike Garrett RAA

Elite Member
Gold Supporting Member
Jan 14, 2002
Professional Status
Certified Residential Appraiser
We have had all types of REALTOR® fees in this market, which by the way, is one of the largest Boards of REALTORS® in the country.

List to Sell, Help U Sell, Sellers Choice, Sellers Broker, etc. Fees range from a low of $200 just to put in MLS to $595 which includes a sign, to $1195 and the broker handles the contract, to full service.

Commissions are from 3% to 7%, again depending on the level of service provided. It is a real problem here too but we don't see any changes forth coming. Free market, free trade, no price fixing.

Why not charge more for your appraisal services. If the client wants a rush..pay me more and I will do more, ie, work nights, weekends, even inspect in the dark! We have different fees for different types of reports. You, the lender, want more comps....sure...our fee is $zzz per comp...how many would you like?

Seems we get the smallest piece of the real estate pie yet we are most responsible and have the highest liability. $500,000 house carries a $30,000 commission (@ 6%). The loan fees usually total 2% ~ 4% or $10, 000 to $20,000. Then the parties to the transaction complain if our fee is more than $300. I charge more for homes over $350,000 because these usually become "complex" appraisals.
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