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If you are attempting to purchase a house that is listed for sell, just call the agency on the sign and tell them you want to make an offer. They will be happy to accommodate you. Don't try to make an offer directly with the seller while it is listed because they are under contract to the agency and agree they are owed the commission regardless of who actually brings the offer. By the way, you can have an agent show houses to you without signing a buyers agency with them. They will be happy to do this because they will still earn part of the sellers commission regardless.
I would just add to lumbollo's post that if an agent shows you a house and you do not sign a buyers agreement (agency), the agent is considered under agency law to be acting as an agent of the seller, and you the buyer would have no representation. What this would mean to you is that the agent would be required to negotiate the best price for the seller and would also be required to provide any material facts about you to the seller.
And to tag on a little further... most agencies do not allow seller sub agency anymore outside of their firm.
I understand your thought process, but I still have a problem with it.
The builder is going to have an agent representing them - even if you think they don't, they do/will. ;-) Having a buyers agent costs you nothing and it may be to your benefit. There may be an ethics issue, but if you really think it is that simple, prehaps you could work with an agent and they could contribute a % to your closing costs (not sure that this is ok ethically).
Sorry can't answer your question, but would advise you to rethink this. We've purchsed 4 place so far and would never do it with just the seller's representative.
Quote:
Originally Posted by southcharlotte123
Good point, but heres the deal: This is a homesite what we are looking into and the builder who is the seller/agency is not willing to change their contract regardless. So what is the point in having a buyer agent. But my only thought/concern was if we still have to write up some sort of purchase agreement( with things beneficial to us, buyer) either through an attorney( i still dont need a agent here).
Now that I'v seen more details from OP (post #7) I have an answer for you that might mean $$$ dollars to you.
If you are not going to use a buyer's agent (why I don't know) then you should negotiate with the seller the commission he would have needed to pay if in fact you contracted with a buyer's agent. That savings to the seller should go to you. BTW, if you don't want it I'llsend you the address of my favorite charity.
I understand your thought process, but I still have a problem with it.
The builder is going to have an agent representing them - even if you think they don't, they do/will. ;-) Having a buyers agent costs you nothing and it may be to your benefit. There may be an ethics issue, but if you really think it is that simple, prehaps you could work with an agent and they could contribute a % to your closing costs (not sure that this is ok ethically).
Sorry can't answer your question, but would advise you to rethink this. We've purchsed 4 place so far and would never do it with just the seller's representative.
Excellent advice. I too am baffled why anyone would buy without a buyers agent, especially when the seller is clearly represented - it's just foolhardy.
Now that I'v seen more details from OP (post #7) I have an answer for you that might mean $$$ dollars to you.
If you are not going to use a buyer's agent (why I don't know) then you should negotiate with the seller the commission he would have needed to pay if in fact you contracted with a buyer's agent. That savings to the seller should go to you. BTW, if you don't want it I'llsend you the address of my favorite charity.
Even if the builder 'discounts' the price, how does the buyer know that it wasn't discounted from an inflated price? It will be like trading in a car when you buy a new one. The car dealer can fudge the value of both to make the buyer feel like he scored a good deal.
I agree that the buyer should get a real estate agent to represent his interest. The agent can help with all the little steps involved in the process, can provide an accurate estimate of the home's value and help with negotiating the price.
(We used a discount broker, Dane Warren, when we bought our new house from a builder. After the sale, Dane even gave us a one percent rebate on the purchase price, so assuming he earned 3% commission from the builder, he ended up with a 2% profit.)
Excellent advice. I too am baffled why anyone would buy without a buyers agent, especially when the seller is clearly represented - it's just foolhardy.
There is are no hard fast rules to this kind of a situation. If you sign a buyers agency for example and decide to buy a FISBO while under this contract, then it is you that will have to pay this agent's commission, even if they had nothing to do with it. It can cost you 1000s of dollars. Buyers agencies didn't even exist in Charlotte 20 years ago and people got by for centuries before that without them fine, so at best, IMO, it's not much of an advantage to have one.
Even if the builder 'discounts' the price, how does the buyer know that it wasn't discounted from an inflated price? It will be like trading in a car when you buy a new one. The car dealer can fudge the value of both to make the buyer feel like he scored a good deal.
I agree that the buyer should get a real estate agent to represent his interest. The agent can help with all the little steps involved in the process, can provide an accurate estimate of the home's value and help with negotiating the price.
(We used a discount broker, Dane Warren, when we bought our new house from a builder. After the sale, Dane even gave us a one percent rebate on the purchase price, so assuming he earned 3% commission from the builder, he ended up with a 2% profit.)
Well, I don't know what you mean by "Get One" and the warning icon.
I favor the OP getting a buyer's agent however I said if she does not get one she is owed a discount on the already quoted price. OP has clearly stated there are terms the seller will not change, so I assume part of the terms are a price.
There is are no hard fast rules to this kind of a situation. If you sign a buyers agency for example and decide to buy a FISBO while under this contract, then it is you that will have to pay this agent's commission, even if they had nothing to do with it. It can cost you 1000s of dollars. Buyers agencies didn't even exist in Charlotte 20 years ago and people got by for centuries before that without them fine, so at best, IMO, it's not much of an advantage to have one.
You would not be under contract for any house other than the one referenced if you so stipulate that this contract is for the named and subject property only.And, if the agency you select says they don't want the deal (real easy money) find someone else. There are probably a dozen on this forum board that would love to make a small commission for very little work.
There is are no hard fast rules to this kind of a situation. If you sign a buyers agency for example and decide to buy a FISBO while under this contract, then it is you that will have to pay this agent's commission, even if they had nothing to do with it. It can cost you 1000s of dollars. Buyers agencies didn't even exist in Charlotte 20 years ago and people got by for centuries before that without them fine, so at best, IMO, it's not much of an advantage to have one.
Just because you want to use a buyers agent on one property does not mean you have to hire him for every property you look at You can actually sign an agreement for a single day if you want to.
In THIS OP's situation we KNOW the seller has representation. In a situation like that you put yourself at a big disadvantage if you don't have representation too.
What people neogiate between themselves in FSBO's is fine - I have no problem with NEITHER having an agent. But when one side does and the other side doesn't, that's very risky, especially when you are dealing with builders.
Hey All, thanks a lot for your suggestions/thoughts. we did cross check, the builders arnt willing to change anything in their contract regardless. They did also mention that just because we go without an agent doesnt mean, they are readily willing to reduce the price( apparently they don't want to pro trey such an idea to all which would discourage agents to bring in buyers), so we are thinking why not go with one after all when the final price isnt going to change. Hopefully the agent i go with does some good to us, we did most of the work( we located the place, etc), the only thing the guy would probably do is read the contract carefully and warn us of any serious issues( my guts say, he would say everything is fine) and he gets paid for literally nothing :-(((( but i guess thats the fact!!
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Get one.
You can actually sign an agreement for a single day if you want to. 
