Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
we are looking to buy and our agent basically said that if we used him exclusively as a "buyer's agent" his fee would be 3% (and we'd have to pay out the addt'l 1% ourselves if the house was listed as 2% for buyer's agent) but as a broker's agent, he would accept whatever was listed as MLS. What's the difference????????????
As a broker's agent, he is representing the Seller, as a buyer's agent, he is representing YOU. It's a matter of who is his "boss" and whom he owes fiduciary responsibility.
There is a lot more to the work a buyer's agent does and can do vs. what a broker agent does for a buyer. That may be why your agent is looking for more compensation than the "2%".
As a broker's agent, he is representing the Seller, as a buyer's agent, he is representing YOU. It's a matter of who is his "boss" and whom he owes fiduciary responsibility.
There is a lot more to the work a buyer's agent does and can do vs. what a broker agent does for a buyer. That may be why your agent is looking for more compensation than the "2%".
This is a win-win situation for the REA's I think. The brokers agent will tell the seller that I can do more for you than the buyers agent and ask for more than 2% and the buyers agent will tell the buyer exactly what you said above and charge the buyer more than 2%..... pretty soon we are looking at 6% commission for the sale in total. I think there is more to this though....
When the market was hot, there were more sales numerically and there was more money to be made even with 2% commission..... now since the number of sales have gone down they try to up the % to make more money ? I don't know but in general it was abt 2%-2% split on LI in the past 3-4 yrs atleast.
This is a win-win situation for the REA's I think. The brokers agent will tell the seller that I can do more for you than the buyers agent and ask for more than 2%
The broker's agent (as opposed to buyer's agent) doesn't negotiate commission with the seller, the listing agent does.
Unless you use the term interchangeably, which would be incorrect and confusing to everybody.
The broker's agent (as opposed to buyer's agent) doesn't negotiate commission with the seller, the listing agent does.
Unless you use the term interchangeably, which would be incorrect and confusing to everybody.
I think we are just talking semantics here, but you know what I mean.... for the OP on this thread it seems like it does not matter who does what negotiation.... he needs 3% flat.... and if the seller will not give it, then so be it.... the buyer would have to shell it out ! Am I saying this right ?
I think we are just talking semantics here, but you know what I mean.... for the OP on this thread it seems like it does not matter who does what negotiation.... he needs 3% flat.... and if the seller will not give it, then so be it.... the buyer would have to shell it out ! Am I saying this right ?
Actually, I'm not sure I know what you mean
"he needs 3% flat" - who is "he" and what is "flat"?
But whatever the outcome, in the end, the BUYER pays - the buyer's the one with the "pot of money", agreed?
It's up to each client to negotiate the commission with their agent. Personally, I think that a buyer broker pushing for 3% when the seller is willing to pay him 2% is overdoing it. But, if the buyer thinks that it is worth it to pay the extra 1% then so be it.
It can work the other way around, too. I sometimes work as a buyer broker for a 1% fee. If the seller pays me 2%, I refund the difference to my buyer client.
we are looking to buy and our agent basically said that if we used him exclusively as a "buyer's agent" his fee would be 3% (and we'd have to pay out the addt'l 1% ourselves if the house was listed as 2% for buyer's agent) but as a broker's agent, he would accept whatever was listed as MLS. What's the difference????????????
Sorry, this was the post I was referring to.... the 3% flat.... I hope its clear who is "he" and what is "flat".
Quote:
Originally Posted by Elke Mariotti
Actually, I'm not sure I know what you mean
"he needs 3% flat" - who is "he" and what is "flat"?
But whatever the outcome, in the end, the BUYER pays - the buyer's the one with the "pot of money", agreed?
Totally agreed on this one.... the buyer who can spend time and money to search for a house by themselves are at a disadvantage here as they have to pay out of their pocket anyway with or without seeking help from a REA.... they don't have a choice.
You're absolutely right, attorneys are the exception , but the OP didn't mention he/she is an attorney - was only referring to the question coming from his attorney...
Oh duh... my bad. I misinterpreted this:
" And my atty, Ron Goldstein in Huntington, said to ask how much do I get if I bring in a buyer? "
to mean that his attorney asked him how much he (the attorney) would get if he (the attorney) happened to introduce the OP to someone who ends up buying the OP's house.
" And my atty, Ron Goldstein in Huntington, said to ask how much do I get if I bring in a buyer? "
to mean that his attorney asked him how much he (the attorney) would get if he (the attorney) happened to introduce the OP to someone who ends up buying the OP's house.
Duh and double duh!
SBT
Happens to the best of us
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
, but the OP didn't mention he/she is an attorney 
- was only referring to the question coming from his attorney...
