Lets face it do you or your friend really need the agents in this case? 6% commission is ridiculous.
In my opinion It would be in your best interest to have the agent act as your negotiator with your friend, This will keep a impartial buffer between you and your friend. In my experience doing business with friends can be a tricky thing.And having a third party can save your friendship and I think that alone is well worth the commission paid
Plus selling to a friend is not all it is cracked up to be. You need to make sure you are getting the right price, or you will not be happy. And if something goes wrong with the transaction, your friend could blame you, or vice versa, and both the deal and the friendship may fall apart.
If you really want to, you can wait until the listing agreement expires. That would be the "right" way to do what you want to do. But why should your friend care? You are the one paying the commission. Is that the real issue? If so, you won't save it by trying to circumvent the agent while the listing contract is still active.
One way to look at it is this -- you owe it to yourself to really get proper market exposure. That will maximize your selling price. Having an agent will probably reduce headaches by having a trained professional negotiate for you -- the main reason to hire a realtor in the first place. Isn't selling to a friend the very OPPOSITE scenario of the professional, arms-length, 3rd party benefit of a realtor? Otherwise why did you not just go FSBO with a cheap MLS listing service?
So study the whole situation carefully with a "long term" perspective and make wise choices according to the entire situation, not necessarily your first impulse or the pressures of friendship.
Check the Massachusetts laws through the link below for more info. Good luck.
This is always a challenge for Realtors and Sellers. The Realtor begins spending time and money from the execution of the contract and compensation should be due. Further, your Realtor is there to protect your interest, and you should discuss with your Realtor ways to deal with this. Ultimately you should want representation as I can not tell you how many horror stories I have heard that occurred from arms length transactions. Friendships can be destroyed when money is involved.
Best of luck in a situation no one is envious of, but with compromise and communication can be dealt with.
If I have misread the question, then your friend may engage his own real estate agent to represent him, as a buyers agent, should he desire. Don Tepper's answer is hitting the nail on the head.
Jim Ryan, Home Savings of America, 703 591 5626 ext 419.
This keeps the friendship seperate from the business side of the transaction. Good Luck!
If they just do not want to go directly through your listing Realtor, they can be represented by an agent of their choosing.
In fact, your friend would be better off going through another Realtor, one of her own choosing. Your Realtor represents you and your interests. So you might be better off if your friend went through your Realtor. But it's difficult for one Realtor to represent the interests of both buyer and seller. For that reason, your friend probably should go out and get his/her own Realtor. It won't cost you any more--you've already agreed to pay a specific commission and that won't change. And it won't cost her anything.
Hope that helps.
They can get their own realtor if they want. I am sure that either way, they will be well taken care of in the contract and negotiations and then closing of the property. It is really up to the buyer which way they want to go.
Debbie Albert, PA
Coldwell Banker Residential
The question I have is SHOULD YOU?................. it is not an easy streamline process and you have much to know and protect yourself from and be aware of - a thousand options and concerns, lead pain being just one, title issues, etc.
At the very least be sure you have a attorney who is familiar with real estate law in you state.
I am not a Realtor in your state but I do suggest that if you have any concerns at all it is worth a tiny commission to be sure your transaction is done properly - the stack of papers is 2" high at the closing table and just one piece of paper can destroy your day. I suggest using a trained agent but as I said you do not HAVE to.
In the case a friend buying your home - sooner or later and issue will arise, most likely in a year when to roof lets go, boiler dies, friend gets mad wants to sue you, and who will you turn to? JUST BE SURE TO PROTECT YOURSELF NOW AND IN THE FUTURE !!
But if you have'nt signed a listing contract with an agent yet, and you have a buyer, then you don't need to go through an agent. Hoewever, it might be wise to ask one to help you manage the sale for a smaller fee than a full listing commission. Since the agent won't have to invest time and money in advertising, most would be willing to do this, and you could save money in the long run. An agent could review the offer and terms with you, work with the buye'rs lender, review the inspection results with you, and make sure you have all your paperwork in order, and coordinate the closing.
If that does not feel good to you, get your own agent who represents just you and tell your friend that they can be represented by someone if they want.
You have to both realize that if something goes wrong, you are going to blame the other. So, to ensure you are friends afterwards, get someone to represent you both.
You can hire an attorney for more money and they can prepare the documents and review them.
So it is up to you how much expereince you have and how comfortable you are, but for 1 or 2% you can receive comfort in knowing someone is looking out for you during the sale,
good luck with yoursale.