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My two cents on buyers commission

I personally think “who pays what?” as far as commission will ultimately boil down to local demand.

  • If local demand is a sellers market, the buyer is most likely going to be on the hook for paying the buyers agent entire fee

  • if local demand is a balanced market, I’d imagine sellers are more likely to split the commission with buyers

  • if the local demand is a buyers market, the seller is more likely to pay the full buyers commission

So who pays has more to do with your towns local demand which you can get a sense for via Redfin or ask chatGPT “has the rate of sales price increases gone or down for town [NAME AND STATE OF TOWN]

Whether you go unrepresented or not, FIND A GOOD REAL ESTATE ATTORNEY FIRST BEFORE ENGAGING WITH AN AGENT. Before signing anything, this includes buyers agreement, run any questions you may have by your attorney. Once you’ve narrowed your choice to a particular agent, run the buyer agreement by your attorney. If you do want to go with representation negotiate the rate and interview multiple agentsand ask:

“how many properties have you sold? Do you work part time, will I be working with you or someone on your team, walk me through some recent wins you’ve had on some recent properties you’ve worked on, What distinguishes you from other buyer agents? Walk me through your local knowledge of [x,y,z towns you’re interested in], have you ever told a buyer to waive an inspection or appraisal contingency?”

The last question is a huge red flag (imo) if they pushed buyers to waive inspections even in a hot sellers market, that’s not having your best interests in mind. Note that most agents will probably put their highest commission rate. Negotiate it. If they’re putting 2.5-3% and you live in a high cost of living place, push back to 1.5-2% commission rate

submitted by /u/Every-Compote-9597
[link] [comments]

source https://www.reddit.com/r/RealEstate/comments/1f05wwg/my_two_cents_on_buyers_commission/
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