Barbara Swai…, Home Buyer in Washington state

I am buying a condo in South Florida, in Palm Beach county.....on the closing documents there is a fee of $295

Asked by Barbara Swainnnnnnnnnnnn, Washington state Thu Nov 20, 2008

The real estate agents did not tell me she charges the buyer a fee in addition to the fees charged the seller. There was no mention when I asked about costs and closing. Evidently this fee is for the broker's company. Never heard of such a thing...........When I asked the closing agent. she said I would have to ask the real estate agent. Seems like a fee for nothing. The real estate agent did not really show me the condo, as i knew it was for sale and opened the door and showed myself around on teh day the woman was listing the condo.............so little effort for a sale. Has anyone an explanation of this 'fee'.

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If it was an "admin fee" from your agents company, it was required to have been disclosed, in writing to you at some point prior to going under contract. We DO NOT charge our buyers or sellers any "admin or processing fees" as we feel we make our money from the commissions we get paid. It is just an "add-on" fee in our opinion.
Web Reference: http://www.movetofla.com
0 votes Thank Flag Link Fri Nov 21, 2008
As a broker in Florida I can say that this fee is standard practice and can range from $200 to $500. It should be disclosed up front, if the Realtor did there job they would have given you a disclosure form and explained it . Too often in the heat of the moment they hand it off with no explanation or forget to disclose it at all. Most brokers will require the Realtor to pay the fee if the customer does not and it is up to the Realtor to disclose properly and explain to the seller/ buyer. If you would see the typical income statement for a Real Estate Brokerage these days you would understand why they charge the fee. It goes toward covering the cost of Errors and Ommissions and Liability Insurance as well as compliance with all the state and federal requirements for document retention. Hope this helps.
0 votes Thank Flag Link Thu Nov 20, 2008
There will not be a charge on the HUD statement that is not in your contract. Real Estate Companies often have this charge, however, you should have been told ahead of time. With our company, our customers pay this and it is not optional. It helps with government compliance costs that the company incurs. It should also appear on your estimated sellers/estimated buyers net sheet.
Debbie Beichel Albert
Coldwell Banker Residential
Web Reference: http://www.ronanddebbie.net
0 votes Thank Flag Link Thu Nov 20, 2008
A brokerage/processing fee in South Florida is fairly common - but a good agent will disclose it up front. My firm has a form that we get signed immediately upon writing a contract.

In all actuality, this may be something that you could not just discuss but fight. In the case of my office, if I don't get the form signed and a buyer complains, then there is the potential that I eat it. There are also agents in the office that don't charge it and eat the form as a matter of habit.
0 votes Thank Flag Link Thu Nov 20, 2008
You should discuss that fee with the real estate broker of that office and inquire about it.
Web Reference: http://www.karinaleal.com
0 votes Thank Flag Link Thu Nov 20, 2008
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