Foreclosure in Franklin>Question Details

Relocated, Home Buyer in Franklin, TN

Do Buyers Agents get paid a commission on a foreclosure deal where they bring the buyer and present the?

Asked by Relocated, Franklin, TN Fri Jul 25, 2008

offer? Is it the same for a short sale or bank owned property? How is it different from a typical sale, if at all? Our agent seems hesitant to assist us with any deal that is outside the box. Thanks.

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Some realtors are not familiar with the process involved with foreclosures and short sales, so they tend to hesitate when a buyer wants to pursue one of those properties. It would be in your best interest to work with a Realtor who knows how foreclosures and short sales work so that he/she can guide you through the loopholes and obstacles that can come along the way.

If you haven't signed a buyer's rep agreement with your agent, ask her to refer you to another agent who specializes in the types of properties you're interested in purchasing.
2 votes Thank Flag Link Sat Jul 26, 2008
I am sorry that you are running into this problem. If a house is listed in the MLS, there will be a commission paid to the buyers agent even if it's a foreclosure or a short sale. It may be lower than the standard but nonetheless, we get paid and that is no reason for agents not to help you with a transaction that may require more work. Do you have a buyer representation with this agent? You can ask the office broker for another agent to represent you if you don't feel that you are getting the service you deserve.

Naima
Web Reference: http://www.sumnerrealty.com
2 votes Thank Flag Link Fri Jul 25, 2008
YES, a REALTOR WOULD GET A COMMISSION AS HE/SGE WERE THE ONES that took the buyer about to find a property and also one of the Realtors that completed all the paperwork---which there is more of in a foreclosure. There is more work involved in short sales and foreclosures so a Realtor really has to know his/her stuff. Pam
1 vote Thank Flag Link Fri Aug 8, 2008
First of all, if your agent is hesitant, it's probably because they are in new territory with the deal. If they are uncomfortable helping you with this, ask them about it. Maybe they can team up with an agent more experienced in this type of purchase and split the commission. Which leads me to my next answer...

As long as the property is listed, they can get paid a commission. If it is not listed, they can still get paid, it is just something that will need to be included in your contract.
1 vote Thank Flag Link Fri Aug 8, 2008
Naima is right. Buyers Agents get paid a commission on any property listed in the MLS when they bring the buyer. It is a little more work ,but that is part of being a Realtor. We are there to work for you, and if your agent is not willing to do that and you have not signed a buyers agreement, you have the right to find another agent.
Cathy
1 vote Thank Flag Link Sat Jul 26, 2008
Well, the bottom line is that commissions are negoiated between the parties to the employment contract. At least in TN the most prevalent contract is represented by the Buyer's Agency agreement. Compensation terms should be clearly stated and extraneous situations to the agreement are likely not to result in a paid commission. It is best to ask this question before launching into a foreclosure process or else all parties could end up unhappy.
0 votes Thank Flag Link Wed Aug 12, 2009
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