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Before we talk to our realtor, I wanted to run this by you folks.
We have a buyers realtor, he works without a contract for his services. He has been a realtor for 1.5 years.
He has shown us some homes but we find way more to look at than he does and he's not very responsive unless we are making an offer.
We found a FSBO that won't pay a realtor commission.
We'd still like to use our realtor to write up the purchase contract and stay on top of things for us as it's been many years since we have purchased a house and we'd be likely to miss things. I assume we'd have to pay him out of pocket. But I don't see this as being worth 3%.
We also don't want to stiff him for what he has done so far.
Any advice?
Ask him what he'll accept. What you pay him is between you and him. My guess is that he would take 1.5%.
Good for you for finding a FSBO and saving a lot of money.
If you don't feel comfortable filling out the standard forms by yourself hire an attorney who has no interest in doing anything but representing you. Actually, if you do use a salesperson, it is wise to still have an attorney monitor them and it is more cost effective.
With no contract, you owe the salesperson nothing so go ahead and brush him off as nothing but an unnecessary expense.
With buyers cruising online listings 24/7 these days it's become quite common for them to see a listing before their agent who is probably not in front of a computer all day does. They almost always, like the OP, jump to the stance of I found it first and shouldn't have to pay my agent. I tell my buyers up front that we are working as a team and I set them up with MLS alerts but should they find one before I do, to let me know and I'll jump on it. I also don't use a written buyer's agent agreement and am happy to be fired if things don't work out but I also don't take on a buyer client that doesn't agree to our team concept of searching for properties.
Good for you for finding a FSBO and saving a lot of money.
If you don't feel comfortable filling out the standard forms by yourself hire an attorney who has no interest in doing anything but representing you. Actually, if you do use a salesperson, it is wise to still have an attorney monitor them and it is more cost effective.
With no contract, you owe the salesperson nothing so go ahead and brush him off as nothing but an unnecessary expense.
LOL as usual at the typical Heidi nonsense.
Attorneys hire me to manage their transactions, and recommend me to their friends and families.
Location matters. I don't know your state laws or expectations. In SC, it's considered a no-no for agents to have not executed an agency disclosure and buyer agency before engaging in client level services. Reason for that is the Real Estate Commission wants to protect the public from unethical agents so they've defined services an agent owes the client. Only written contracts are enforcable, so to protect the public, SC requires a written agency agreement so that if an agent wrongs a clients there can be legal recourse.
I'd say if you're in SC your agent wasn't doing things the right way, but every state is different. Since we aren't in a position to have additional info without location, as suggested, a phone call to the agent first is probably best. It won't hurt you in any way that I can tell and there are ways to get commission included. I've never met a seller who cared more about commission than their bottom line when the money's on the table.
Not that I don't recommend attorneys when it's appropriate, but what Heidi suggested isn't necessary if the agent is good. It would just be a waste of money.
Location matters. I don't know your state laws or expectations. In SC, it's considered a no-no for agents to have not executed an agency disclosure and buyer agency before engaging in client level services. Reason for that is the Real Estate Commission wants to protect the public from unethical agents so they've defined services an agent owes the client. Only written contracts are enforcable, so to protect the public, SC requires a written agency agreement so that if an agent wrongs a clients there can be legal recourse.
I'd say if you're in SC your agent wasn't doing things the right way, but every state is different. Since we aren't in a position to have additional info without location, as suggested, a phone call to the agent first is probably best. It won't hurt you in any way that I can tell and there are ways to get commission included. I've never met a seller who cared more about commission than their bottom line when the money's on the table.
Not that I don't recommend attorneys when it's appropriate, but what Heidi suggested isn't necessary if the agent is good. It would just be a waste of money.
Heck, I waste money all the time, that being a subjective topic.
But... ANY party to a transaction who doesn't know what they are doing or wants to drive the bus without common sense (and attorneys and agents come from the same gene pool) can be disruptive and bring failure to the proceedings.
I know the contracts we use better than most attorneys who have the same access to them that I do, but don't have the experience with them that I do. And, actually that includes some closing attorneys to whom the closing process is cookie cutter, who are more focused on title and appropriate handling of client and lender funds.
You should see some of the markups I have seen from attorneys who crave the spotlight but don't have the focused training on the specific documents we use.
None of that is disrespectful to attorneys or the profession. I have great respect, truly, until someone reveals lack of respectability.
With buyers cruising online listings 24/7 these days it's become quite common for them to see a listing before their agent who is probably not in front of a computer all day does. They almost always, like the OP, jump to the stance of I found it first and shouldn't have to pay my agent. I tell my buyers up front that we are working as a team and I set them up with MLS alerts but should they find one before I do, to let me know and I'll jump on it. I also don't use a written buyer's agent agreement and am happy to be fired if things don't work out but I also don't take on a buyer client that doesn't agree to our team concept of searching for properties.
My last couple of realtors, I found what I wanted on my own but guess what, still let them handle the deal. It's good karma, and let's be honest, buyers are finnicky and our needs change.
As was said above.... With almost everything going directly to public websites now.... "Finding the house" isn't difficult or the most important part of the process.
Clients who can sit and browse all day often "find" houses first. Good! Call me with it... I"ll look it up! I don't usually have time to watch the MLS all day. They do... I get it... I was once a home buyer too. But I don't send homes directly to them without screening them first, and they often "find" houses before I do that seem like a good deal but either won't finance, are in a bad location that floods, or otherwise don't meet the criteria they set.
Finding a property first isn't the highest and best reason to use an agent. My most important job sometimes is advising clients why they shouldn't buy something.
Finding the house is the first part of a long process we need to walk through to get to closing.
Ask him what he'll accept. What you pay him is between you and him. My guess is that he would take 1.5%.
I do deals fairly often with the agreement that my client pay me whatever they feel is fair, nothing in writing. I've only felt shortchanged one time in my career with an agreement like that. It helps to keep my cynicism in check to trust another human to do the right thing. A handshake deal that works out is gratifying in this zero-sum, greedy world. I only do this with people that my gut-check feels OK with.
Oh and I didn't have a buyer contract with any of them but I stayed loyal....unless we disagree on something important.
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