What is the motivation for a buyer or seller to purchase or sell Real Estate with out the assistance of a professional? For sellers it is mainly due to the commision? Buyers don't have to pay for the services provided by a Realtor so why not?
2007-06-02 20:54:28 · 6 answers · asked by Rosie 4 in Business & Finance ➔ Renting & Real Estate
Yes, the intent is usually to cut out the middle man because they think they will save money. Statistics have shown that homes where a Realtor was involved sell for much more than the difference of the commission.
At least in Michigan, the buyer's agent is most likely working for the buyer if they have signed an agency disclosure or a buyer's agency agreement. The buyer could end up paying the commission if an agreement was signed and the seller refuses to pay.
Some people prefer to do things on their own. I used to try to do my own investing using etrade and discount brokerages. Then I realized I did not have the time or the expertise to do that as well as a professional. My decision to do it myself cost me a lot of money. Now I am glad to pay a broker because I make a lot more money with him handling my investments.
2007-06-03 00:27:42 · answer #1 · answered by mefrancis 2 · 0⤊ 0⤋
Sorry, but buyers DO pay for the services of a realtor, indirectly at least since the commission factors in to the sales price. Many FSBO sellers won't pay a split so an agent would be useless for the buyer of the property unless they agreed to pay for the agent's services themselves.
The reality is that agents are limited in the service that they can provide. The can facillitate communication between buyer and seller and arrange showings, handle listings, etc. They can't give legal advice and by default always represent the seller in any negotiations unless there is a specific buyer's agent agreement in force.
If I'm looking at a FSBO I'm going to use an attorney to pull the deal together, provide advice, and probably handle the closing. What use would I have for a real estate agent?
2007-06-02 21:29:25 · answer #2 · answered by Bostonian In MO 7 · 0⤊ 1⤋
Believe it or not some buyers don't know they don't have to pay and the realtor can only represent them and yes commission is #1 why sellers don't use a realtor other possibilities are they might have had a bad experience before or they might think they know what they are doing and don't know there are alot of other negoriations, contracts, etc and items they must pay at closing When people don't trust someone they don't know they feel they are beind swindled Buyers may think they can get a lower price without the seller having to add a commission to the price
2007-06-03 03:56:36 · answer #3 · answered by Real Cash 2 · 0⤊ 0⤋
Normally buyers use a realtor.
It is rare for a buyer not to use a realtor.
http://www.flippingtraining.com/
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2007-06-02 21:04:46 · answer #4 · answered by Bill 1 · 0⤊ 0⤋
Calboun, my basically concern after having a foul journey is not any remember if to do business enterprise with friends. If those are basically friends, and there is not any actual emotional attachments, then this is going to be high quality the two way. no remember in case you employ one or the two. yet utilising friends which you have a different relationship can create problems and destroy friendships.
2016-10-09 08:49:24 · answer #5 · answered by ? 4 · 0⤊ 0⤋
To cut out the middle Man for more profits.
2007-06-02 21:06:19 · answer #6 · answered by massimo 6 · 0⤊ 0⤋