How much commission you pay is often a great concern to some home sellers. How Much Should You Offer A Buyers Agent? Good Question. Commissions are negotiable and shouldn’t you pay the least amount possible?
One might debate the value of an agent. Some business models see little value and are built totally on a discount fee. List it in the MLS and wait for it to sell. Some of these agents are difficult to work with as their model is to do as little as possible for their small fee. I sold one home listed this way and it was impossible to get them to remove their sign, we even had to take the door handle off to get the lock box off. I was put in a difficult situation in presenting the offer as the broker on the sellers side required that I present the offer to their client. In other words they weren’t really represented.
However the point of this article is How Much Should You Offer A Buyers Agent? This came to mind as a post today because I have a cash buyer that gave me their parameters last night. This is a repeat client. I have sold them and their children 5 homes already. I pulled up an MLS search in preparing for them. Eleven homes came out. Two I eliminated for obvious reasons. So, will we look at 9 homes? That is a lot. One is offering the buyers agent 2%.
In my opinion the listing agent or the owner of this 2% listing is hurting themselves. THIS MIGHT BE CONSIDERED A SALES PRENENTION PLAN. If they want to sell they should seek as much activity as possible. Even get into a bidding war. As it is the home has to be spectacular. Yes you might think me greedy but I would be taking a 33% discount from the others offered.
In reality we probably wont see all 8 that remain and for sure the 2% isn’t high on my list.
Some agents sneak by their sellers what they will be offering. I have seen some offer 2% and keep 4% For this reason the MLS requires the new listing forms to disclose what they will be offering buyers in your behalf. They had to do this because of greedy agents.
There must be a reason that Windermere has a policy requiring their agents offer the buyers agent 3%. If you discount as a Windermere sellers agent you take the discount on the end Windermere makes. Why that policy? Isn’t it obvious? How Much Should You Offer A Buyers Agent?
How about this for an idea? Offer the buyers agent more than 3%?