Crediting the buyer (yourself) the full commission...........Suggestions?

[Silverfall]

If you are getting a loan, then your lender has to approve it as a credit on your cash to close. Out here, we drop the purchase price by the commission amount and ask the listing agent to alter the listing agreement so that the seller net stays the same.

[jackmichigan]

Originally Posted by adjusterjack

No. Credits don't get applied to the purchase price.


If I understand this (for example) you buy a house for $100,000. The broker gets $2500 commission, of which he gives you $2100. The price of the house is still $100,000.


Your way the price would be $97,500, the broker would waive his commission and you would pay the broker $400 for his services.


I suppose you could ask the broker to ask the seller to rewrite the contract but I can't imagine what good it would do you. A lower price going in would mean a higher gain when you sell.

I'm sure that there are varying ways to handle this, but I've always just had the commission applied towards the purchase price. The actual sales price hasn't changed--only the amount that I've need to bring to the table.

I've never worried about lender requirements.

[BoBromhal]

this should have been figured out before you wrote the contract.

Now that I realize the issues you're having (see the "square footage is off!!" topic), you really need to have a sit down with your managing broker.