You aren't typically going to just get 3% on many deals like that, so good question.
Well, of course its negotiable, but what are you negotiating over?
In other words what are you bringing to the table that is worth something? How are you creating value in the transaction? If you are going to be FULLY involved in the transaction then go ahead and ask 1.5%, maybe 2% if complicated, and try to typically hold to 1% and you should be OK; 1% usually is a reasonable place to end up in a straight-forward deal. You still might get knocked down to 1/2%, or $100,000 since some buyers will just draw a line at an absolute amount.
BUT, it depends, what do you have to do? One phone call and an introduction meeting or 6 months of complicated investigation and negotiation? And it is you, or you and two other people? Get more if you can = its negotiable! You might be able to get 1.5 -2%, maybe even 3% on some deals, if you earn it. But it also depends if you are talking about getting the fee from the seller or from your buyer. So, yes, there is a lot of negotiating going on...
Use the LOOPNET listings to prove your case with fees offered to co-op for the buyer's side.
If its a buyer paid fee agreement, you can offer to reduce your buyer paid fee by any commissions paid by the seller; that way you can approach seller's of unlisted properties and the seller does not have to pay your fee, or, you can work on a co-op basis and not have to worry about sub-par co-op fees.
You are licensed, right?
Dec 6, 2011