Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Have you asked your real estate agent friend about this ? As noted, any fee he gets, is going to go on the settlement statement. It then becomes part of his earned income. He has to pay taxes on that.
Meanwhile you expect him to give you half of that fee, while you walk happily away with your share and he gets stuck paying Uncle Same for all of it. Really ?
Or maybe you're thinking the builder will do this under the table. No, this is a legitimate business deduction for the builder. He's not going to hide it, he wants to be able to write it off. .
Or maybe, just maybe, he is honest and is giving his friend an opportunity he would otherwise not have. Maybe, just maybe, his friend accounts for the commission split so that taxes aren't an issue. There is a way you know?
This is what I talk about, nothing but commission greed, as if REAs are entitled to commissions because they breathe.
Maybe instead of making assumptions that someone is going to get stuck, maybe both benefit from the transaction? I guess that thought never occurred?
TS did not state they found a home, just that multiple builders offer compensation. If they end up across multiple communities and finally negotiate a contract, I'd say the friend is earning their compensation.
regardless of your obvious stance on real estate agents, I agree that the TS is more than welcome to buy it without representation.
Right.
No one here knows anything about the OP and the agent and the likely builder, price point or compensation, or amount of work the agent may end up doing or amount of time the agent may spend.
How can anyone take a stance on anything about the OPs question?
No one here knows anything about the OP and the agent and the likely builder, price point or compensation, or amount of work the agent may end up doing or amount of time the agent may spend.
How can anyone take a stance on anything about the OPs question?
You want to let the lack of facts get in the way of a good argument?
Location: Southern California. I'm in the market for a new home and looking for ways to sweeten the deal. I noticed many builders offer co-op commission out of their marketing budget if a real estate agent brings a buyer to the property. I have a friend who is an agent. Is there anything illegal if I ask him to represent me when I buy the house, he gets the co-op commission from the builder and we split the co-op commission at a predetermined rate (kickback to the buyer)? Thanks!
Are you expecting you friend to actually do the normal work of an agent or just show up in beginning, collect a check at the end and then get half from them?
When a non-agent wants to take a portion of any agents earnings, that is greed.
That is 100% completely wrong. You are looking through very very narrow lenses on those glasses you are wearing....You are so adamantly against sharing your commission you can't see the common sense behind many transactions that do not require a full commission.
Before I became an agent I bought a lot - a vacant lot - in a very desirable area. That lot had a sales price in excess of $800K...The sellers agent I was working with was excellent and she told me in no uncertain terms that the seller would not lower the price in lieu of my being unrepresented.
I had that conversation prior to making an offer. So, I retained a friend of mine who was an agent. I had already done 100% of the work. The contract was filled out, the due diligence was complete, the financing was already secured which made the closing a cash deal...I asked my friend to do one thing, place your agent number on my contract and rebate half.
He was ecstatic...not just happy, ecstatic. He received $13,125 for literally doing nothing. He did not even email the offer - I did it. I executed the contract, I negotiated the price, I put his agent number on the agreement, and I forwarded the offer to the listing agent....I had a survey ordered, and I dictated the title company. I did ALL of it.
Zero benefit was added by the agent in this transaction, absolutely ZERO, but both of us were happy, no ecstatic, to get something out of it. I got $13,125, and he probably got $8 or $9K after his broker split....
That is NOT greed - An agent refusing to split that is the definition of greedy. Sure there are times where a commission split is unwarranted - but they are not every transaction every time. You seem 100% unable to see the reality that a rebate to the buyer/seller is not always greed. You really need to sit down and do some inner soul searching about this issue b/c your close mindedness is almost certainly hurting your business.
That is 100% completely wrong. You are looking through very very narrow lenses on those glasses you are wearing....You are so adamantly against sharing your commission you can't see the common sense behind many transactions that do not require a full commission.
If all parties are happy with the arrangement then there is no problem. If OP expects full service and half the commission then he needs to make sure his friend understands and agrees. We do run in to people (strangers) all the time that expect all the knowledge, effort and expertise then want a chunk of the money we earn.
I might do things for friends and family that I would not do for a stranger. Matter of fact I do, all the time.
Funny how terms like "Greed" can mean different things to different people. That's why we need agreements in writing.
That is 100% completely wrong. You are looking through very very narrow lenses on those glasses you are wearing....
You are not making a living at selling real estate. You state that you do favors for friends without charging them, or charging them a token amount, so you are not living in reality world.
The friend would do well to say, hey friend, I know you make a living in real estate, and I'm going to be buying a home. You can represent me and earn a commission.
That is a friend.
Yes I am opposed to sharing my commission with someone who is not a real estate agent, and thinks that all real estate agents should share their commission with them.
You are not making a living at selling real estate. You state that you do favors for friends without charging them, or charging them a token amount, so you are not living in reality world.
The friend would do well to say, hey friend, I know you make a living in real estate, and I'm going to be buying a home. You can represent me and earn a commission.
That is a friend.
Yes I am opposed to sharing my commission with someone who is not a real estate agent, and thinks that all real estate agents should share their commission with them.
I don't think all agents should share commission, but there are certainly instances where it is acceptable. I was not an agent when I requested the split...we both won. If you think my friend earned/deserved nearly $27,000 for ZERO work then you are not living in the real world.
You feel that no matter how little work you do you are entitled to a full commission no matter what. I think that is absurd...I think that makes every transaction seem the same to you no matter what. I think that is a very narrow view on the world. You refuse to share commission period. You sound like the guy who sold his truck b/c his friends kept asking him for help moving....a good time friend.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
