| am considering purchasing a home that is currently vacant, been on the market for four months. The seller's realtor is suggesting that I use him as a dual agent. Hmmm..... I met him during an open house. How much can I save by doing this or if I have to ask should I enlist my own realtor?
2007-11-24 15:31:13 · 10 answers · asked by What to do? 1 in Business & Finance ➔ Renting & Real Estate
6%
2007-11-24 15:33:40 · answer #1 · answered by harvardbeans 4 · 0⤊ 3⤋
Unless you are savvy enough to negotiate on your own and you have a fair and complete understanding of the intricacies of the process--get a buyer's agent!! Get someone to represent you and your interests. Hire someone to represent your fiduciary interests first!!!
Remember that agent works for the seller. The seller comes first. Always. Ideally we would want to believe that one can stay impartial in these types of deals but alas! that is not always possible....
Agents charge an average of 6 - 7% on the residential side. The average commission given to the agent bringing the qualified buyer is about 2.5 - 3%. I can understand wanting to save the commission but is a couple of dollars worth compromising the fact that you may not be getting a fair deal? No. Hire yourself your own representation. Remember that the commission for your Buyer's Agent has already been negotiated by the seller and the seller's agent. The reason that an agent will encourage one to utilize them when they already represent that seller? Commission, plain and simple. Don't get me wrong there is a reason we are in business--to make a living. However.... There is a right way and a compromising way to get the deal done.
Get yourself some representation. Whatever the home is worth, offer a fair and reasonable price that you are comfortable with. Do not factor the commission being backed out as this is actually a disservice to you in terms of fair negotiations--could it mean it is actually overpriced?
However honest and nice the realtor may seem, just remember that even when signing dual agency that you are the second fiddle to the deal. You are not the primary party of interest. The seller is.
I can tell you some sad horror stories that segue from these types of situations. Get your own Realtor. Get someone who puts you first. Always.....
Also keep in mind that another realtor may be your own checks and balances in the industry. The home is vacant. Your local realtor knows their inventory. Ideally. Ask him/her to properly guide you through the deal.
PS Remember that a realtor MUST present any/all deals you request of them. Put it in writing and submit--no matter how high or how low!! There should never be a response that the offer you are requesting is too low. Whatever the case, the offer MUST be presented (here in NYS anyways, check local mkt policy) at all times. So if you feel this home is not valued at the number being asked - then counter with your own. Just get someone that will fight for your side.
Good Luck!!!
Congratulations on decision to purchase the American Dream!!!
2007-11-25 01:13:06 · answer #2 · answered by rosettasellsrealestate 1 · 0⤊ 0⤋
The seller's agent is making this suggestion so that he/she can earn the entire commission offered on the sale of the property. I recommend that you engage the services of a separate buyer agent to represent your interests. You won't save a penny by using the seller's agent, but the agent will make twice the money.
As a 'dual agent', the seller agent will not be legally able to properly represent you and your interests.
2007-11-25 06:47:25 · answer #3 · answered by acermill 7 · 0⤊ 0⤋
As the buyer you pay nothing. You NEED to hire a buyers agent to look after your best interests. You should make sure up front that you pay nothing as it differs state to state. MOST of the time the buyers agent gets paid by the sellers agent. If you higher him to rep you then you are not getting true repersentation. If you are in a NORMAL state then your agent will get half of the other agents money for looking out for you where the other agent will get ALL of the money and not look out for you. NEVER CALL THE NAME OFF THE SIGN THEY WILL ALWAYS LOOK OUT FOR THE SELLER
2007-11-25 01:05:02 · answer #4 · answered by melissaw219 3 · 0⤊ 0⤋
As of 2004, it's averaging around 5% on houses and 10% on land, which is split between the buyer's agent and the seller's agent.
2007-11-24 23:36:10 · answer #5 · answered by John 4 · 0⤊ 3⤋
If you get your own realtor, they would get 3% and the seller's realtor would get 3% (they would split it). Either way you shouldn't do this on your own if you have questions.
2007-11-24 23:37:38 · answer #6 · answered by Jennifer H 2 · 2⤊ 1⤋
I think 10 to 25% depending on the seller and how dumb they think the buyer is
2007-11-24 23:34:52 · answer #7 · answered by Anonymous · 0⤊ 3⤋
enlist your own Realtor
ask them about fiduciary duty and intermediary.
2007-11-24 23:41:36 · answer #8 · answered by Anonymous · 1⤊ 0⤋
around 5%
2007-11-24 23:34:43 · answer #9 · answered by ruscito_mom 2 · 0⤊ 3⤋
you can try asking on http://www.rentalandrealestate.com
RK
2007-11-25 00:19:21 · answer #10 · answered by raja k 2 · 0⤊ 1⤋