With all these zillows, redfins and what not, its become ever so easy to find properties and make a move. As usual the other main entities involved for buyers perspective is an independent inspection agency and the lender. Is it worth paying 2.5% to 3% for a 1M house so that they negotiate better? Whatever they negotiate, it goes into their fees leaving buyers nothing in cases I have come across. Can’t tag redfin for some reason Tc - 236
Buyers agents split commission with the seller's agent, meaning that you're not paying the agent if you're buying a house, only if you're selling. Do whatever you want for buying, but an agent can be helpful especially if you aren't familiar with the area, and helpful in the closing process if you've never bought before and aren't sure of all your responsibilities, when things are due, jeopardizing the sale by not securing financing fast enough for the agreed upon close date etc.
Agree with this. Also the right realtor can be a very powerful connection, getting you access to properties not on the open market or before they hit the market. This can potentially save you tens of thousands or more if the seller is motivated. Having an experienced agent working on your behalf in a hot market can make the difference between getting a house and missing out
Hows much is the seller agent commission typically? 6%? I haven’t been looking at sellers side of things. If the buyer and seller agent split their 6 % commissions coming from seller pocket, does that mean buyers get realtors service for free? And whats the motivation for realtors to negotiate for buyers? The higher they sell to buyers the higher is their cut
Buyer doesn't pay realtor and normally sellers higher them to have safe/smooth transactions so you as buyer might not have leverage doing transaction without realtor
You can negotiate the selling agents fees down very easily, so there’s no point not having your own agent. Having a good agent is super helpful, especially if you’ve never been through it before. Don’t overestimate yourself
Been said already but there’s no risk for a buyer in using a realtor and plenty of risk in not using one. My realtor has been a blessing with his knowledge of the area and the various relationships with brokers and realtors who are selling.
Some are even willing to dip into their 3% to close a deal, such as taking care of a repair or service. Plenty of upside.
I don't like that the buying agent is incentivized to get you to pay as much as possible because they get a percentage cut.
That’s a buying agent that’s not thinking long term. Just find a good agent.
Get a realtor license yourself.
In many states there is a classroom hour requirement. Mine is 120 hours. This would not be a good use of time unless it becomes a profession
Use a real expert - title to real property is more complex than most people realize. With all the I buyer programs out. I foresee more real estate theft and complications forthcoming because of the lack of understanding about all the intricacies of the transaction. It’s more than just negotiations.
I’ve bought and sold houses without using a realtor. The paperwork isn’t that difficult.
Can you buy an investment property from builder acting as your own realtor then turn around and sell it to make 6% profit roughly?
🤦♂️ think this through...
You earn 3% for being your own agent when you buy, you pay 3% to the buyer agent when you sell. So you earn $0
Yes, and buyer pays 0 and often gets a rebate so if you want help and free money. Yes.
In all other countries you buy directly. In America Realtors take 6% cut for doing nothing. But association of realtors is very powerful, so it's possible to do transaction without realtor.
You means it's not possible?
Japan's system is just like America's; buyer and seller each pay agent 3% plus a fixed amount plus consumption tax.