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Location: Mokelumne Hill, CA & El Pescadero, BCS MX.
6,957 posts, read 22,302,067 times
Reputation: 6471
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I usually give the seller a break on the commission if I represent both sides of the transaction, not charge more.
For the OP: While I'm sure you live in a place where there are plenty of agents, if you want your listing agent to do the best job in marketing, telling him upfront that there's no chance he can participate in the selling side of the transaction is a huge disincentive in my opinion.
The whole point in advertising and marketing is to produce a buyer for a property. What is the agent supposed to do if his sign out front, his internet advertising or his print advertising gets a potential buyer to contact him? Tell the guy to go talk to someone else?
I wouldn't take a listing like that personally. We have a form that discloses that the agency is permitted to represent more than one buyer and seller. I include it with every listing I take.
I just don't want to be pushed into accepting an offer that could be better.
I've seen lots of posts here on how to pick an agent so I will definitely be re-reading those when the time comes.
Both times we've bought real estate we used the sellers agent. One time went really well the other time not so much. Of course I've learned along the way also.
Agent bonus's actually do very little to cause a Buyer to buy a home.
I've known agents that can sell popsicles to Eskimos. Money means EVERYTHING to the type of person that is incentivized by money. Many buyers can be talked into buying a certain house by a slick salesperson. If you dont think this is true, your much too honest.
While your concern is very real. As a Realtor, I wish we could do more to live to the definition of our business. The very definition of "Broker" is "one who brings buyers and sellers together." A great agent is exactly that. We are one that represents the closing. We work to find the common ground that leaves both the buyer and seller a bit unhappy but certainly satisfied.
Location: Mokelumne Hill, CA & El Pescadero, BCS MX.
6,957 posts, read 22,302,067 times
Reputation: 6471
Quote:
Originally Posted by 399083453
If you dont think this is true, your much too honest.
I guess I'm nonplussed by the concept of being too honest. Either you are naive or far too cynical.
What a lot of people think when they see this in a money is everything scenario, is the difference between a 3% of some number versus the personal satisfaction of doing well by one's clients.
A $10K difference in a transaction means a $300 difference in an agents gross commission (minus splits et cetera) I'm sure I know agents that would be adding that up in their head, but I think (hope) most of them no longer practice.
Today a client who just bought a home from me told me that the furnace didn't pass a test by the propane company. (It wasn't an obvious thing that an inspector would find) She wanted to find out how to make a home owner warranty claim. Rather than subject her to that horrible process, I told her to have the local HVAC guy come out and fix the problem and I would pay for it. $150 for him to come out and tighten up a connection. Not to point out how I think business is done around my area, but to demonstrate that doing the right thing by a client is by far the best business model anyone could aspire to.
If you dont think this is true, your much too honest.
Thank you, I am and believe almost every agent who plans on staying in business is much too honest also. There are a few less than honest long term agents around but they are in the minority.
Can we ask the agent we pick to only be a seller agent for us and not also be the buyers agent?
Of course that might now work well if the agent has buyers that were with them prior to listing our house and those buyers are interested.
I think I just worry that our agent wouldn't be as "loyal" to us if they were in the middle.
Tough question. There are pros and cons of DA. If your listing broker is a major player, you may not want to exclude buyers coming thru this channel.
If you allow DA, remember that your agent will no longer be working for your best interest. The agency will also be getting double the commission. I would negotiate a discount on commission if DA arises.
Tough question. There are pros and cons of DA. If your listing broker is a major player, you may not want to exclude buyers coming thru this channel.
If you allow DA, remember that your agent will no longer be working for your best interest. The agency will also be getting double the commission. I would negotiate a discount on commission if DA arises.
Dual agency requires both seller and buyer to agree.
They both need to know that the agent must, as a dual agent, not advocate for either side, and that there are conflicts in the fiduciary duties. In Arizona, these conflicts are spelled out in the Dual Agency Disclosure and Election, that both buyer and seller must sign to agree.
The listing agreement states the amount that the seller will pay the listing agent for selling the home. The listing agent will discuss the amount the buyers agent should be offered, and the seller and agent have to have mutual agreement.
In the event the buyer and seller agree to dual agency, then the full commission goes to the listing agent. Waiting until that situation arises and then attempt to renegotiate the listing agreement is not advisable.
The time to negotiate a variable rate dual agency commission in the case of dual agency, is up front while negotiating the listing agreement.
Dual agency requires both seller and buyer to agree.
They both need to know that the agent must, as a dual agent, not advocate for either side, and that there are conflicts in the fiduciary duties. In Arizona, these conflicts are spelled out in the Dual Agency Disclosure and Election, that both buyer and seller must sign to agree.
The listing agreement states the amount that the seller will pay the listing agent for selling the home. The listing agent will discuss the amount the buyers agent should be offered, and the seller and agent have to have mutual agreement.
In the event the buyer and seller agree to dual agency, then the full commission goes to the listing agent. Waiting until that situation arises and then attempt to renegotiate the listing agreement is not advisable.
The time to negotiate a variable rate dual agency commission in the case of dual agency, is up front while negotiating the listing agreement.
Captain, where did I ever mention anything about "waiting"?
Would negotiate the DA commission rebate at the time the LA is signed, not when the DA arises.
A $10K difference in a transaction means a $300 difference in an agents gross commission (minus splits et cetera)
Correct. That is why a cash bonus, unrelated to the sale price, is a higher incentive.
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