Has been on the market for 4 months, this is the first offer, we are getting about 2 showings a week. We are currently paying 2 mortgages. 6% goes to realtor. Can we ask if she would reduce her commision? She is also representing the buyer.
2007-08-15 15:20:32 · 9 answers · asked by sbab5 1 in Business & Finance ➔ Renting & Real Estate
would you take this? Has been on the market 4months. First offer. getting about 2 showings a week. paying 6% commision. Could we ask the realtor if she would reduce her comission? She is also representing the buyer.
2007-08-15 15:25:09 · update #1
would you take this offer?
2007-08-15 15:26:37 · update #2
this was the buyers final offer
2007-08-15 15:37:16 · update #3
This is a hart question to answer. If you are getting 2 showings a week shows that your house is probably priced right for the market. But it also shows that those potential buyers were either not serios buyers or did find another house which fits their needs and budget better.
You for sure can ask your Realtor if she would cut her commission but she is not obligated to do so. I am sure she did spend quiet some money in advertising and time in marketing the property. And she might not even be allowed to cut commissions at all due to company policy.
You could also try to counter the offer again, leave the purchase price alone but ask the buyer to pick up some of your closing costs like Title Insurance, Doc Stamps, part of the property taxes.
2007-08-15 16:14:16 · answer #1 · answered by Monika Wilson 4 · 0⤊ 0⤋
You can definitely ask her to reduce her commission. You must first ask yourself these questions.
1.Did she obtain the buyer from your sign?
2.Was she already working with that buyer from an alternate source?
3. Did the buyer offer full price?
4. Is your home overpriced?
If she obtained the buyer through marketing of your property, she should be able to reduce the commission by 1%. Especially since the home has only been on the market 4months. I have seen several listings for 1-2 years in my market area.
If she already has been working with this buyer, it might be a little more difficult due to the fact she has earned a commission with both sides. Although, if she wants to get the deal done, it'd be better to have a closing for less than what you hoped, then not one at all.
Lastly if the buyer didn't offer full price, make sure she is looking out for your best interests. It is her fiduciary responsibility to negotiate the best offer for you. Try to get the buyer up in price a little and her commission down in hopes that you can walk away with the least out of pocket.
If your home is already overpriced due to what you owe on the home, then you might have a hard time obtaining an offer that you can break even with.
If you are currently balancing two mortgages, you need to sit down and figure out your finances and whether you can afford to take the $12,000 loss. If you can, you should seriously consider it before you lose more money or worse foreclose on any or both of your homes.
Best of luck to you!
Southeast MI Realtor
2007-08-15 22:42:30 · answer #2 · answered by ginahermanrealtor 2 · 1⤊ 0⤋
Your Realtor should have suggested that you counter offer for the additional amount. Of course the buyer is going to offer a much smaller amount than they are willing to pay. Everyone wants that great deal. As far as asking for a reduce on the commission. I think I would only ask if all other avenues have been exhausted. I don't think you would work for free, why ask someone else to?
2007-08-15 22:28:30 · answer #3 · answered by Rebecca C 1 · 0⤊ 0⤋
I would never take it AND
If she is representing the buyer , she should reduce her commission to 3% (what she would get if a buyer came in with another agent) .
Are you rich ? Can you afford to carry a $12K bill after you have sold ?
We don't know your details , only you can choose .
Did you counter with an offer that would involve NO loss to you ?
Looks like your agent is on the buyers side , not yours .
>
2007-08-15 22:35:30 · answer #4 · answered by kate 7 · 0⤊ 0⤋
That is something that should have been discussed when signing the listing agreement. If it was not, then it wouldn't hurt to ask. I know that I tell all of my sellers that if I find the buyer, I will reduce the compensation to 4% instead of 6%.
Good Luck!
2007-08-15 22:28:07 · answer #5 · answered by jjdriskel 3 · 1⤊ 0⤋
Just a hint...never use a realtor that repesents both parties.
It is impossible to do...they are only representing themselves at this point.
A realator is supposed to work for you to get the best deal possible. How can they do that for both parties?
I am a tax accountant and have dealt with relators for 20 years...even, if they say it is true it actually isn't in almost all cases.
2007-08-15 22:32:20 · answer #6 · answered by Russ B 6 · 1⤊ 0⤋
you can always ask....however i do have to assume that you signed something that locks you in with that percentage.
and yes in today's market...it is not uncommon to be upside down....can you counter a bit higher and see if the buyers will budge?
with the addl that the buyers may kick i and maybe the reduced commission you might be able to break even.
good luck :)
2007-08-15 22:26:36 · answer #7 · answered by Blue October 6 · 1⤊ 0⤋
Since your the seller you could ask her to reduce her commission to 5% but don't expect her to go lower. I would tell your agent to counter back whatever you think would be fair to you. Her fiduciary responsibility is to you so she should be able to help you decide on what that counter offer should be.
2007-08-15 22:29:50 · answer #8 · answered by Anonymous · 1⤊ 0⤋
i would split the difference
2007-08-15 22:29:21 · answer #9 · answered by Frank m 2 · 1⤊ 0⤋