Today the internet provides enough information to give both buyers and sellers the confidence to strike out on their own.
In order for a listing to be entered into the REALTORÂ® MLS, the sellers listing contract agrees to pay all the real estate brokers including exclusive buyer brokers. Exclusive buyer brokers do not list homes for sale. The sellers listing agent may keep a greater portion of the commission for themselves and pay the cooperating or exclusive buyer broker less. This is not always spelled out in the sellers listing agreement. Some sellers offer a bonus, on top of the commission, to the cooperating or exclusive buyer broker.
Some listing agents provide a limited service to sellers. The seller gets services they pay for. The listing agent may be paid after they enter the listing in the MLS. That may be the entire service provided to the seller. However, the seller must still pay a commission to the cooperating broker or exclusive buyer broker. That agent is then expected to close the deal.
Nothing obligates all cooperating agents to show a buyer properties with less desirable commissions situations. Only a buyer broker has the obligation to show any and all properties which meet the buyersâ€™ criteria and should not overlook a property because they donâ€™t like the commission arrangement.
A savvy for sale by owner always has a real estate commission built into the price of their property. They know an exclusive buyer broker may call them with a qualified buyer.
My office does not require a Buyer Broker Agreement. Some real estate companies will want the buyer to guarantee payment on a for sale by owner, a minimum percentage or amount of commission in the transaction. An experienced exclusive buyer broker does not need an agreement to obtain the buyers loyalty or their compensation.
Some listing companies or foreclosure banks require the buyer and sellers to pay a transaction fee at closing. The fee becomes evident when the offer is submitted. Buyers and sellers beware.
REALTORÂ® statistics show a good listing agent nets the seller as much they can get as a for sale by owner.
Buyersâ€™ should seek the assistance of an experience exclusive buyer broker.
All buyers will benefit from the FREE important information on my homepage at http://www.floridabuyerbroker.com
Beverly Howe, ABR, GRI, TRC, CIPS
Florida Buyer Broker