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[cornercamping]

So, we finally found a house.  Anyway's what I need to know is what the standard commision is for a "buyers agent?"   We don't have an agent showing us houses.  We went right to the selling agent direct.  I do however have attorneys to review everything to make sure I don't get burned.  I am in the process of submitting a written offer along with a "good faith" deposit.  The seller is pretty firm on the price of the house, which is a good deal, but since I don't have an agent they have to pay a commision to, I figure I can negotiate that off the purchase price.  So, does anyone know what type of commision a buyers agent gets on a sale?  3%, 5%  ???

TIA

[EX#996]

Do a google search on the question, you may find a lot of useful information along with your answer.

Dawn   :)

[cornercamping]

I did, but I still can't find a commision percentage rate.  It always just says "a percentage of the purchase price."   I can't find a "norm" rate.   :-/

[EX#996]

You just didn't ask the question right....

From the Real Estate Journal (a part of the Wall Street Journal)      Link

From Bankrate.com      Link

I could give you more examples, but my computer connection is too slow to wait for the pages to appear.  Do a google search with this as your search criteria "standard commission rate for buyer's agent"

Good luck

Dawn  

[AZ-MilleR]

I don't know if it's standard across the country but in Arizona 3% to each realtor (buyer and seller) is pretty standard.

[cornercamping]

That's what I just found, uhm.. by asking the question right as Dawn posted it.

3%  :D


That's a whole lotta money I save.  I'm gonna give them two choices.  Knock 3% off the price, or I'll go get an agent and you can give him the 3% and he'll try to low ball you even more than I am  ;D ;)  Hopefully they give me the 3 % off the purchase price.  :D

[simins0611]

it depends on what they worked out with their realtor.  they might have to pay the full 6% to their realtor anyway.  they sometimes treat it like they brought you to their seller.  One option they have is that they can get rid of their agent if the agent doesn't want to accept half of the commission.  Then you and the seller can go without agents on either side and save some money.  There are pros and cons to going without an agent.  So do your research.  I've bought and sold 3 properties in the last 2 years. I'm not sure where you live, but most agents are down to 2% to the selling agent and 3% to the buying agent for bringing in the client.  You can always go hire a realtor, tell them you know what property you want and ask for a cut of their %.  Maybe not ethical, but I believe it is legal.

[cornercamping]

Hmm...   I wonder what would be acceptable then.  If 6% is the number and I come in at 3, then I kinda lose a bunch.  Maybe I should ask for 6 and then if they get all mad and say that it's above normal rates, then I'll settle on 3  :-/

Thanks for the info guys.  :)

[tstruyk]

what state are you in?  There really is no "standard" in MO.  My fiance does real estate part time, she receives 2.5% on most sales but it is typically dictated by the listing agent.  Somtimes its 2.5 to buyers and 3.5 to sellers.. I have seen it as high as a 7% split (3-4).  There are orginizations out there that charge a "flat" fee as well.  If you are trying to avoid agent commissions stick with FSBO and ditch your agent as well.  Most FSBO's wont work with you if you have an agent because a portion of thier proceeds will go to your agent.  If you have any other questions regarding agents, financing (I run a mortgage company) or appraisals (my fiance's full time job is running her own appraisal company) dont hesitate to ask.  I'd be glad to help in any way.

Congrats on the new home and good luck!!

[tstruyk]

 You can always go hire a realtor, tell them you know what property you want and ask for a cut of their %.  Maybe not ethical, but I believe it is legal.

I believe its illegal for them to pass on any commission to you...they can reduce them but I believe they cannot "pay you a cut"  there are documents in the closing package that state there are no "outside arrangements" made.  I am not saying its never done, but by signing that document you have essentally commited fraud... Either work without agents or haggle for commissions to be reduced.  Surely there is a hungry agent out there that would work cheap.

[tstruyk]

hmmm I had just scanned the post, now that I read the post again.  (That'll teach me to read).  Are you trying to get paid as the buyers agent for the purchase of your home? ???  Or get the price reduced?  Price reduction of 3% would be a great offer for them to accept.  The only person that benefits from the 6% is the agent involved...not you or the seller.  All agents commissions are outlined in the contract,  make a lower offer and see if they counter, remind them that if the agents is requesting all 6% (or whatever) that they need to reduce that and cut you the savings...if not all they are doing is lining the agents pockets.  

[Eric Kelcher]

Well you cannot get another "agent" at this time as you were shown the house by the selling agent so they(selling agent) are acting as both(buyer/seller) and you are now listed with the buying agent as being a customer of theirs. I think they can hold you as a customer for 90 days. Bad position to be in, they are legally obligated by their contract to get the highest price for the home for the seller they have no legal obligation to you. You should have you own buyer agent that is working in your best interest (lowest price) for real estate.  

You can neogitiate fees with the agent to a great deal. I bought my house and the home was being sold furnished as the owners were moving into a retirement complex and only taking their bed. I arranged a deal with selling agent since her daughter was going to school to take the furniture in leiu of a commision, saved a few thusand that way.