How important is a buyer agent? (contingencies, escrow, contract, state)
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I do not have a lot of experience in this but my buyer's agent was a godsend. She took care of everything and I mean everything. I barely had to lift a finger except to send documentation in for my mortgage app. She was fantastic, I could not have done it without her.
I just closed on my property 3 days ago. We went in without a buyer's agent. The seller negotiated and got his listing agent to drop his commission to 2%.
The listing agent admitted that the seller would not have agreed to the sales price if I had brought in my own agent. Everything went smoothly at the closing table. In the end the seller paid 2% commission to his agent and saved himself 4% total.
???????????????
You mean if you would have had a buyers agent, the listing agent would have gotten 3% and your buyers agent had gotten 3%, but since you did not have a buyers agent, the listing agent/agency only got 2% ?
I wonfer if that real estate agency will be in business next month.
You mean if you would have had a buyers agent, the listing agent would have gotten 3% and your buyers agent had gotten 3%, but since you did not have a buyers agent, the listing agent/agency only got 2% ?
I wonder if that real estate agency will be in business next month.
The original agreement between the seller and his listing agent, would have been a commission of 3% for the seller agent and 3% for the buyer's agent. I came in with no buyers agent and made an offer 20% below the asking price. The seller then turned to his agent and said he would only sell if the selling agent reduced his commission to 2% and the seller also countered back at 15% off the asking price. The paperwork specified that there was no buyers agent and thus the seller was not responsible for paying the buyer's agent commission. At that point the seller's agent agreed to a reduced commission and presented his counter offer of 15% off asking price to me.
The original agreement between the seller and his listing agent, would have been a commission of 3% for the seller agent and 3% for the buyer's agent. I came in with no buyers agent and made an offer 20% below the asking price. The seller then turned to his agent and said he would only sell if the selling agent reduced his commission to 2% and the seller also countered back at 15% off the asking price. The paperwork specified that there was no buyers agent and thus the seller was not responsible for paying the buyer's agent commission. At that point the seller's agent agreed to a reduced commission and presented his counter offer of 15% off asking price to me.
I always presumed the listing agreement was strictly between the seller and his realtor.
Is it commen to have the listing agreement state-------"3% for the seller's agent and 3% for the buyers agent " ?
I always presumed the listing agreement was strictly between the seller and his realtor.
Is it commen to have the listing agreement state-------"3% for the seller's agent and 3% for the buyers agent " ?
It is common here in North Carolina.
NC Association of Realtors Standard Listing forms indicate the total commission to be paid to the Listing Agent, and the amount that the Listing Agent agrees to offer to a Buyers Agent.
It's a NAR rule that total compensation as well as the split being offered is included in the listing agreement.
• Standard of Practice 1-12
When entering into listing contracts, REALTORS® must advise sellers/ landlords of:
1) the REALTOR®’s company policies regarding cooperation and the amount(s) of any compensation that will be offered to subagents, buyer/tenant agents, and/or brokers acting in legally recognized non-agency capacities;
2) the fact that buyer/tenant agents or brokers, even if compensated by listing brokers, or by sellers/landlords may represent the interests of buyers/tenants; and
3) any potential for listing brokers to act as disclosed dual agents, e.g., buyer/tenant agents. (Adopted 1/93, Renumbered 1/98, Amended 1/03)
I just closed on my property 3 days ago. We went in without a buyer's agent. The seller negotiated and got his listing agent to drop his commission to 2%.
The listing agent admitted that the seller would not have agreed to the sales price if I had brought in my own agent. Everything went smoothly at the closing table. In the end the seller paid 2% commission to his agent and saved himself 4% total.
The seller probably saved more than that, unless you are a contractor and did your own building inspection, as the disclosed dual agent probably didn't push the seller to repair certain safety items uncovered in the building inspection or offer you an incentive to fix it after closing. In almost every sale I look up in my MLS the buyer winds up paying more when there is a disclosed dual agent than those buyers who have their own separate representation.
How many of the more than 1 million folks with a real estate license have you surveyed to discover that they would not give the advice that their earnest money is at risk?
It's spelled out in CO offers to buy real estate.
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