Question from a Newbie:
I found an agent who I like and is showing me properties that meet my criteria and are in my target area. I just saw a great looking property on Loopnet (not from him). If I approach this property on my own (listed by another broker) I have nothing to gain right? The entire commission wil just go to the selling agent.
Although if I enlist the help of my agent, then they get to split it and I just gave a gift to my new guy.
What do you think?
Yup…the seller and the listing agent have a contract between them that the seller will pay the commission. If the property sells, the seller pays the commission fee. If you go through the listing agent, expect no reduction in the commission fee and expect that agent and his broker to get the entire amount…if you bring your agent in, he/she will get a split.
On the ones that I do, my agent doesn’t get rich but she also has a requirement to do XX number of “units” (total properties, regardless of cost) to keep her commission rate at its current level and my 4-5 a year help there!
Keith
“Yup…the seller and the listing agent have a contract between them that the seller will pay the commission.”
Boy things have really changed here the last 6-8 months or so (for the better). This use to be a ‘hot button item’ with a couple of Moderators even contesting this obvious fact. Nice to see the nonsense has stopped.
I’d add; if tierney211 doesn’t enlist the services of a buyers agent…then his interest aren’t represented (unless the listing agent is given permission & is allowed to act as a dual agent - check your state laws). Therefore, it makes good sense to bring in your own representation & have the seller pay for it.
-Infowell