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Old 03-11-2008, 11:15 AM
 
Location: Columbia, SC
10,217 posts, read 19,958,909 times
Reputation: 9022

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Even if that's the case, the Realtor may be worth it (but you may have one not worth it, I have no idea). Like I said, the real value is contract to close because any idiot can open a door.
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Old 03-11-2008, 11:29 AM
 
Location: Salem, OR
14,983 posts, read 36,867,331 times
Reputation: 15506
Quote:
Originally Posted by cneal84 View Post
I was saying that the seller doesn't want to list the house or put it on the market to save on the commission. Now I do have a contract, but it states that the seller will pay 2.5%. Nowhere in the contract says that if the seller does not pay that the buyer is liable for the commission.
Well if your agent has a contract written this way, it's no wonder that you don't seem to think a lot of the agent. You can't force a seller to pay you compensation; there is no contractual agreement with them. That has got to be the most insane thing I've heard for a buyer agency agreement...

Clearly you don't value your agent, but it appears that the agent does not value themselves.
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Old 03-11-2008, 09:18 PM
 
Location: Palm Coast, Fl
2,249 posts, read 8,482,393 times
Reputation: 1006
Quote:
I do have a contract, but it states that the seller will pay 2.5%. Nowhere in the contract says that if the seller does not pay that the buyer is liable for the commision.
Well then, there ya go. There's your answer. If you are still concerned about it call the local real estate board and pose the question to them. They'll have the answer.
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Old 03-12-2008, 07:04 AM
 
Location: Gilbert - Val Vista Lakes
6,069 posts, read 13,922,942 times
Reputation: 3862
Quote:
Originally Posted by cneal84 View Post
Now I do have a contract, but it states that the seller will pay 2.5%. Nowhere in the contract says that if the seller does not pay that the buyer is liable for the commision.
I'm confused. What contract do you have? Is this a purchase contract, or is this a buyer/broker agreement?

I don't know about your state, but commissions are not allowed to be a part of the purchase contract. They are stated in a separate listing agreement.

The buyer/broker agreement would not state what the sellers will pay. That is an agreement between the buyer and the agent.

It will state the commission that the buyer will pay the agent. It will state that the commission will be offset by the commission that the seller pays.

Could you please clarify what contract you have. Give us the name that is shown on the contract. Then tell us the language it uses for the commission.

Was the agent searching for homes with you, and showing you homes?

Were you searching separately for homes and not discussing them with your agent?

How did you find this home? Did you inform your agent about the home, and did the agent contact the owner, or did you contact them on your own?

After contacting them, did you discuss the home with your agent?
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Old 03-12-2008, 07:27 AM
 
222 posts, read 472,298 times
Reputation: 49
Quote:
Originally Posted by cneal84 View Post
I was saying that the seller doesn't want to list the house or put it on the market to save on the commision. Now I do have a contract, but it states that the seller will pay 2.5%. Nowhere in the contract says that if the seller does not pay that the buyer is liable for the commision. And as far as her showing me houses. I or my wife found them. She was going to get paid from our efforts. And from what I learned you are somehow paying the buyers agent commision anyway. How? Lets say you found a house $120,000. And you wanted to make a offer. Lets say the seller only wants about $112,000. (But you don't know that). you offer $120,000 with 6% sellers assist which will net him about $112,800, . Know without this buyers agent he would take that. Know what your so called agent would do is first, contact seller make an agreement he will not have to pay out his pocket if he ask for more money and then she would get paid and would get what he wanted. She would call me back the buyer and say that he is trying to net $115,000. Know what the buyer is going to do is make an offer for $123,000 with 6%. That would be about $115620. Now her 2.5% commision is a little over $3000. We went from $120,000 to $123,000. Who is paying the commision in this case? Hmmm! I say me.
Lets say just for giggles that you "FOUND" all the houses you looked at, did "YOU" drive yourself to the house and look at them? Or did the Realtor drive you over to look at them? if the Realtor drove you then you should pay her something, maybe 1%, or 1/2 % every one has to eat, Gas cost lots of$$$$$ today.
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Old 03-12-2008, 08:16 AM
 
Location: Gorham, Maine
1,950 posts, read 4,828,677 times
Reputation: 1442
cneal - I doubt that that a contract that you have with a buyers agent says that the seller pays or doesn't pay. The contract is between you and your agent and the seller is not a party to it. In many cases the Seller's Agency splits the marketing fee with the Buyer's Agency, but that is between the two Agencies that participate in the local MLS and has no bearing on your agreement with your Agency. In Maine the Exclusive Buyer Representaion Agreement reads, Buyer agrees to pay, or cause to be paid, to agency a commission of $xxxxx or xxxx% of the purchase price or the amount offered by the listing agency to a buyer agency, whichever is greater. For unlisted property Buyer agrees to pay, or cause to be paid by Seller, to agency a commission of $xxxxx or xxxx% of the purchase price, whichever is greater.

Every state is different, but it wouldn't surprise me if the language in your contract was similar. Most agents/buyers interpret this to mean that the seller always pays 100% of the commission, but that's not true. Perhaps you can post your agreement's language here and the experts on the forum can give you their take.

Another issue I have is why are you and your wife looking for houses after signing a contract with a professional? I don't buy Turbo Tax to check up on my CPA, I drop off my stuff and trust her to to the job correctly and pay her appropriately. I don't hire a landscaper only to change things after he or she leaves. I think you need to determine whether or not you need a Buyer's Agent or not. It sounds like you are not communication properly and are not getting the benefit of the agreement that both you and the agency signed.
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Old 03-12-2008, 02:48 PM
 
4 posts, read 25,859 times
Reputation: 10
Default she knew I had no knowledge of what I signed.

I signed a buyer - agent relationship agreement. In which explained that all that it is for is that she represent us for up to 6mos. My wife asked her do we have to pay you anything she said no, the seller pays her. Never explaining it any other way. If she would have told me I was responsable I would not have signed it. I didn't know and she knew it. The way she explained it is that the seller is who pay her we don't pay her anything. She didn't say that we are liable but the seller normally cover it. She can take me to court if she want, she lied to us basically. And we was looking for our own house because we knew what we was looking for, the few houses she would send looked like trash. So your absolutly right we was finding our own houses, and drove in our own car to see them, she didn't do anything but walk threw the house just like we did. She didn't have our best interest at heart. Why am I paying her for the work I did. That's nonsense.
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Old 03-12-2008, 03:08 PM
 
Location: Central Texas
20,825 posts, read 41,240,350 times
Reputation: 24426
This is why you never sign anything you don't read. I make sure that my buyers and sellers read the documents they sign obligating them to work with me - preferably, I have them take the document home to read at leisure, tell them to ask me about any paragraphs that they are concerned about, and have it looked over by an attorney if they want to.

No one, NO ONE, should sign a document without reading it and getting anything clarified that they don't understand. Ever. (Yes, I do read boilerplate, and I do read the Terms of Service before clicking that I've read and agree to them - call me weird!) And if there is a paragraph in there that says that you agree to pay the agent, then them telling you that you're not obligated to pay them shouldn't make sense to you.

Of course, finding the house is only the very beginning of representation. You are hiring the agent to shepherd the deal through from initial offer (advising you on your options when the offer is being written, making sure that you're not paying more than you should, making sure that the seller is making all the disclosures that they are required to by law that are for your protection, etc.) through closing, with all the things that could go wrong during that period.
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Old 03-12-2008, 03:08 PM
 
Location: Gorham, Maine
1,950 posts, read 4,828,677 times
Reputation: 1442
I understand your feelings and every agent acts differently, so I suggest a face to face meeting in the agent's office find out what your responsibilities are, and don't be afraid to ask for the designated/managing broker to sit in as well as you feel this agent has not acted in your best interests.

It sounds like you and the agent should void this contract and each go your separate ways. The Buyer Agent's work really starts after you've selected your home and this agent has not communicated that properly to you. You are correct, anybody can find you a house, it's the details that befuddle most buyers and this is where a good agent really earns their fee. It sounds like you'd be better off going it alone.
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Old 03-12-2008, 03:10 PM
 
Location: Gorham, Maine
1,950 posts, read 4,828,677 times
Reputation: 1442
Quote:
Originally Posted by TexasHorseLady View Post

Of course, finding the house is only the very beginning of representation. You are hiring the agent to shepherd the deal through from initial offer (advising you on your options when the offer is being written, making sure that you're not paying more than you should, making sure that the seller is making all the disclosures that they are required to by law that are for your protection, etc.) through closing, with all the things that could go wrong during that period.
Well said, THL - I couldn't have said it better myself!
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