Looking to buy a house and been working with a real estate agent. I was searching on buyowner and saw a couple of houses that interest me. I'm not sure if I should go to see the houses on my own or let my real estate agent know about it too. I do feel bad if she doesn't get any commission on it becuz she has been working hard in showing me houses.
2007-08-15 13:35:31 · 7 answers · asked by kim 3 in Business & Finance ➔ Renting & Real Estate
BE CAREFUL.
If you have signed a contract with a real estate agent, and you buy ANY house, the agent will probably be due a comission. READ THE CONTRACT THAT YOU SIGNED. If you buy a FSBO (for sale by owner) that owner is under no obligation to pay a comission to the broker. Which means, that you could be on the hook for 3% of the sales price. That would be an extra 3% ON TOP of what you pay the buyer.
If you want to buy a house that's FSBO, make sure that your contract with the real estate agent is not in effect when you make the offer. And make sure that the agent didn't show you the house. If they can proove that you made an offer on the house while you were under contract with them, or that you found the house through them, it's likely that the contract that you've signed with them will provide for a payment of comission.
You can see if the seller is interested in paying the real estate comission to your broker, but I would imagine that most sellers would not be interested in that arrangement.
I wish you luck, and I hope that helps.
2007-08-15 13:48:55 · answer #1 · answered by Michael K 5 · 0⤊ 0⤋
Kim,
If the 'seller' of the house is not using a realtor, aka: "For Sale By Owner", then the seller does not pay any commissions. You, however, on the other hand, being the 'buyer' and working with a realtor, will more then likely pay a commission, typically between 3% & 6%, depending on what type of agrement you have with this realtor, when escrow (closing) is done and you take ownership of the home.
Depending on the type of contract that is signed, you might be able to have the 'seller' cover all the 'closing costs', which would also cover the REALTORS commission, thus saving you some money in the long run.
Hope this helps?
RME, Jr.
2007-08-15 13:49:02 · answer #2 · answered by raymejr 2 · 0⤊ 1⤋
Take her along, the seller will still have to pay her commission. Typically it is 3%, and few are going to turn away a buyer over a commission.
Your agent will make sure everything is above board and legal. 25% of homes sold by owners end up with a lawsuit involved, so you will save yourself many headaches in the future.
Your agent will also be able to run comps on the properties you look at, tell you if the price is right or not.
2007-08-15 13:53:01 · answer #3 · answered by Landlord 7 · 1⤊ 0⤋
If the seller says NO agents , then , they mean they are Not willing to deal with them nor factor in commissions .
Realtors get 6% , which can be huge .
You have to call each one and ask if they will deal with an agent or not .
Some say OK , and have already factored the 6% into the price but will 'negotiate' for someone who does not use a Realtor .
>
2007-08-15 13:49:40 · answer #4 · answered by kate 7 · 0⤊ 0⤋
I used to work for BuyOwner. Sellers pay upwards of $3500- $5000 to for pay an ad on BuyOwner. It is sad because the owners pay this, upfront, for an advertisement on the BuyOwner website only. BuyOwner promises that their "exposure" will get the seller's home sold and they take it even further by saying a seller does not have to work with any realtors. In essence, this is true, a seller doe not have to; however, a seller is really doing themselves a disservice by closing themselves out of the segment of the market that realtors operate in. Once sellers have placed, even up to $10K for an ad, they really don't want to shell out more to participate with a realtor. But, every seller is different. Other sellers could just be very motivated and they don't care how much they have to pay to sell. BuyOwner offers ZERO real estate services to sell a home. They are only an advertising company, that advertises real estate. Unsuspecting sellers do not realize BUYOWNER is not a real estate broker and could be left with a tangled mess of a deal when it comes down to the fact that with BUYOWNER, sellers and buyers deal directly. It is a bad idea not to have a real estate professional (realtor) involved in any real estate transaction. You are asking for trouble not to have a trusted real estate professional, on your side, throughout the transaction.
2007-08-15 13:58:10 · answer #5 · answered by Anonymous · 1⤊ 0⤋
Most sellers are willing to work with agents, just as long as they don't have to take a "hit" in the sales price. The price of the house is increased to compensate for the commission and the home, of course, must appraise.
2007-08-15 15:42:09 · answer #6 · answered by Expert8675309 7 · 0⤊ 0⤋
lenders don't have something to do with genuine materials commissions. oftentimes, the enterprise pays the value and it relatively is desperate between the enterprise and the Realtor. that is no longer basic to assert what could be too intense because of the fact the fees selection by employing area and broking provider.
2016-10-10 07:45:29 · answer #7 · answered by mytych 4 · 0⤊ 0⤋