City-Data Forum Buyer's agent wants more commission (construction, points, builders, residential)
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05-01-2018, 11:40 AM
 595 posts, read 376,895 times Reputation: 1021

Quote:
 Originally Posted by MikeJaquish Clearly my skills in arithmetic are as superb as the excellent and insightful advice I have provided throughout this thread. Your calcs show me giving up ~42% of my commission. Would I? Maybe I would. It depends, but I would know a whole lot more about the transaction than the sum total of knowledge of all participants in the thread, with the exception of the OP.
Your calculations are stating you would take 1% off the net dollar amount of your 2.4% commission of \$7,200.00 x 1% = \$72.00.

That is not what the agent in the OP was asking for and you know that, so....

Spin it however you'd like.

05-01-2018, 11:50 AM
 Location: Cary, NC 31,599 posts, read 55,320,924 times Reputation: 30155
Quote:
 Originally Posted by photogal9 Your calculations are stating you would take 1% off the net dollar amount of your 2.4% commission of \$7,200.00 x 1% = \$72.00. That is not what the agent in the OP was asking for and you know that, so.... Spin it however you'd like.
No spin at all. Do you want to see the word problem again and my work sheet?

In real estate, what is in writing trumps what is intended most times, and here, by chance, we find ourselves on a real estate forum, where real estate is the topic under discussion.
Can we agree on that point, before we do remedial arithmetic word problems?

Last edited by MikeJaquish; 05-01-2018 at 12:05 PM..

05-01-2018, 12:01 PM
 595 posts, read 376,895 times Reputation: 1021
Quote:
 Originally Posted by MikeJaquish Would I? Maybe I would. It depends, but I would know a whole lot more about the transaction than the sum total of knowledge of all participants in the thread, with the exception of the OP.
You are intimating that RE's and non RE's are not a smart as you.

You need to check your ego at the door, Mike, or just shut the front door.

05-01-2018, 12:05 PM
 Location: Cary, NC 31,599 posts, read 55,320,924 times Reputation: 30155
Quote:
 Originally Posted by photogal9 You are intimating that RE's and non RE's are not a smart as you. You need to check your ego at the door, Mike, or just shut the front door.
LOL
No, I am suggesting that maybe some people pay attention and maybe some people don't, and I am comfortable to allow people to be honest with themselves and to know which group the are in.
Of course, historically on CD, I have more fun being right than many other people do being wrong, but we all make our own choices...

Being a real estate forum and a real estate question in the OP, I would suggest that the OP mentioned countering the request. The OP should do so.
"Counter" is not the same as "acceptance."
Why would the OP settle for lower net proceeds because of an agent's request? To make people who don't negotiate terms and prices look smarter than people who would?
That isn't really sensible.

05-01-2018, 12:29 PM
 595 posts, read 376,895 times Reputation: 1021
Quote:
 Originally Posted by photogal9 Yes, add 1% to your counter if and when this buyer makes a written offer that will start negotiations for you. If they can't afford an additional \$7K, they more than likely are looking at a property that is over their budget. Stay focused on your "net sale amount." I understand your frustration regarding the buyer's agent 3% commission as "she's a high end agent," your house is a "high end property," so her request is a moot point. Agent's here (and I'm not one), cannot negotiate commission %'s. The contract states the % and split.
As a "non-agent," that was my response to the OP, verbatim. It's not rocket science to know that your net gain, is the end-all result of any RE transaction. Emotions will cloud this, again, that isn't rocket science, and the OP can do whatever they please based on what they require from the sale.

You seem to not understand that you come across arrogant, elitist, a braggart, narcissistic, etc... or you do and that is mind boggling to me. It's a total turn off and I would not do business with you, personally. If I spoke with my clients that way, I would have none. I do not claim to know everything, that I am better than anyone or that my response is THE correct response.

Your name is also your "real name" and if I lived in your area, and were looking for an RE to sell or buy, I would research reviews of your business. Upon that research, it would lead me to CD, as well. Based on how you "speak" to people here, you would be X'ed off my list, we would not "fit well." I would go as far as to pay to never work with you, no one wants to be spoken to in a condescending manner.

“Say it, forget it; write it, regret it.”

I wish the OP well and hope they come to a resolution on their sale.

Last edited by photogal9; 05-01-2018 at 12:51 PM..

05-01-2018, 12:47 PM
 Location: Cary, NC 31,599 posts, read 55,320,924 times Reputation: 30155
Quote:
 Originally Posted by photogal9 As a "non-agent," that was my response to the OP, verbatim. It's not rocket science to know that your net gain, is the end-all result of any RE transaction. Emotions will cloud this, again, that isn't rocket science, and the OP can do whatever they please based on what they require from the sale. You seem to not understand that you come across arrogant, elitist, a braggart, narcissistic, etc... or you do and that is mind boggling to me. It's a total turn off and I would not do business with you, personally. “Say it, forget it; write it, regret it.” I wish the OP well and hope they come to a resolution on their sale.

Actually, within this thread there are many people who display no grasp of the concept of negotiating toward net proceeds from sale, who jammed the idea back in my face for some odd reason.
If they accepted the concept there would be a lot less advice to nuke the agent and the deal.
it is good that you grasp it.

And, actually, I think I am one humble servant.
People who know me laugh hard at my self-deprecation and parodies of arrogance, elitism, braggarts, narcissists, etc. I do tend to draw clientele with a bit of good humor, though.

See, I meant to do that.

05-01-2018, 12:55 PM
 5,678 posts, read 7,263,702 times Reputation: 3188
Quote:
 Originally Posted by MikeJaquish Average sale ~\$300,000. Average commission ~\$7200. 1% ~\$72.00 I can't say that I would ever let 72 bucks get in the way of a deal closing.
So your "average" commission is 2.4%? I thought earlier you said your agreement with your clients was for 2.4%? If a seller offers 3% on that \$300K sale, do you refund \$1,800 to your clients?

05-01-2018, 12:59 PM
 Location: Cary, NC 31,599 posts, read 55,320,924 times Reputation: 30155
Quote:
 Originally Posted by GoPhils So your "average" commission is 2.4%? I thought earlier you said your agreement with your clients was for 2.4%? If a seller offers 3% on that \$300K sale, do you refund \$1,800 to your clients?
Uh....
90%+ of the listings in my local market are offering 2.4% to buyers agents.

What are the terms of the 3% transaction you are asking about?
What did I do for the client?
Did I sell their house and this is the buy of a new house?

05-01-2018, 01:03 PM
 16,493 posts, read 17,525,712 times Reputation: 23546
Quote:
 Originally Posted by 2bindenver Most of us never sell anything in the luxury market. Those that do are heavily involved in that network. It's a "who you know" type of business. People who know, like & trust you understand this is the livelihood that supports our family. How often would you/do you take a 33% pay cut?

I wouldn’t take such paycut by choice. I don’t know anyone who would. But I have in the past taken lower pay jobs to get a paycheck. I quit as soon as I got something else but overall yeah I’ll do it if i needed to. Ultimately such job isn’t a long term thing. I’ll move on as soon as I can. That’s why a long time ago I decided to place myself in a different financial situation than most people.

But the point I’m making is that agents seem to tell the seller go ahead and give that 1% additional commission to make the sale. What if the seller is basically breaking even and the 2% is all they get. I guess that doesn’t matter. Like I stated for me that 1-2% additional is 15-30,000 dollars on a sale. Why should I give that up? Because the high end agent wants more. I guess 17,500 isn’t good enough or a full 35,000 if you’re the broker too. If you’re a high end agent you’re most likely vetting and working with high end clients. Who have the means to buy without making you go through hoops. And even then that’s between you and your client. It doesn’t concern me.

I understand how agents work. But when I as a seller state I’m willing to pay x % why are you coming to me asking for more money. I already told you what I’m willing to pay. What additional worth do you bring to the table? Again nothing. You want more money go to your client and ask for more compensation. See how that flies.

05-01-2018, 01:09 PM
 Location: Rochester, WA 3,829 posts, read 2,053,214 times Reputation: 10572
Quote:
 Originally Posted by Electrician4you But the point I’m making is that agents seem to tell the seller go ahead and give that 1% additional commission to make the sale.
I think most of us agreed a good counter offer would be that if the buyer's agent wanted the additional 1% it should be tacked onto the purchase price. The seller should NOT pay the difference... the buyer should.
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