I can get a $1,000 referral by saying a friend referred me (he is suppose to get the money but he is giving it to me cause he's a friend...). But, would the real estate agent be able to give me a better price on the overall home? Should the real estate agents price override that $1,000 cash? How do I get the best deal?
Thanks.
2007-02-24 15:31:27 · 5 answers · asked by bbchase81 1 in Business & Finance ➔ Renting & Real Estate
FYI, the $1,000 is for community members to refer their friends (my friend is not a real estate agent).
EXCELLENT point on the real estate agent...they get 6% around here and the house I'm thinking of costs $118,000. I could "save" them almost $8,000 by going at it alone.
2007-02-24 15:57:37 · update #1
You get the best deal by bartering with the seller. I don't know about your situation specifically, but around here the usual trade commission for a real estate company is 7% (half of which goes to the real estate agent). It depends upon what kind of person the agent is... some will purposely try to keep the price as high as possible to keep their commission up, but some either want your business again, or are just good people and will fight for your best price. Get to know your agent a little, and do your own research on the value of the homes in the area, etc. That's the only way to get the best deal.
2007-02-24 15:39:54 · answer #1 · answered by Cody Sortore 2 · 0⤊ 1⤋
The short answer is Probably. Now let me explain. Unless you're an experienced negotiator and understand all of the points of negotiation available in a deal, you'd better hire an agent. And remember, you usually don't pay for the agen'ts services as a buyer. The truth is, there's no downside to hiring a Buyer's Agent. The seller and Listing Agent are trying to get you to pay the highest possible price with the fewest conditions, restrictions and requests. If you're not represented, it's an unfair condition. By acquiring an agent, you could conceivably get a lower price, offsetting the $1k as well as receive other benefits such as appliances, landscaping, payment terms, etc. Do yourself a favor and hire a Buyer's Agent!
2007-02-28 15:32:48 · answer #2 · answered by Jay S 3 · 0⤊ 0⤋
Working with a Realtor to purchase a brand new home for the best deal can be different in area of location, the market demand for your home, how long the property has been on the market since its been completed. If you are in a market where the price has been dropping over a period of 3 to 6 months, you should be able to negotiate for lowered price and the builder might consider taking your offer to move onto his or her next project. If your market condition is a seller's market or has strong demand for your price range, it might be too difficult to play the low-ball card hand. To get the maximum bang for your buck, I would request for landscaping work, washer/dryer, fridge, etc.. or in any combination depending on what's included and not included in the offer by the seller. If you were shopping for a car and you ask for extra upgrades at no additional cost.
As for that $1,000 dollars, I would forget about that referral fee and find the best buyer's agent with strong negotiation skills. Top agent who can work with you can fetch more savings than $1,000 bucks.
2007-02-24 23:47:21 · answer #3 · answered by kimss28 1 · 2⤊ 0⤋
Todays market has a lot of builders trying to sell their own properties. If a builder uses a real estate firm his cost goes up by 6%. 6% of $150,000 is $9000. So do you wonder why the agent is willing to give $1000 for a sucker, er, uh a client? Agents can't get prices as low as you can because of that 6 %.
2007-02-24 23:40:16 · answer #4 · answered by T C 6 · 0⤊ 0⤋
Actually,
that information is not to be revealed. If you are not a licensed agent you shouldn't be receiving any compensation of referral fee. Your friend needs to be cautious, someone could interpret that the wrong way and his license will be revoked. Talk to your friend
2007-02-24 23:38:36 · answer #5 · answered by JoshuaCaleb 1 · 2⤊ 0⤋