Buying a home means that you have to get into the home to see it, right? Most buyers can not make a decision to buy a home until they have a deep understanding about what they are buying, the area they are buying in and what the home will mean to them. This means seeing homes with their agent, through open houses or via lock boxes, or having the listing agent let them into the home.
However, most buyers are confused about what this education process will cost them when they start to work with an agent. Real estate commission is almost always paid by the seller. The buyer usually pays nothing. For a seller to be in the MLS, the system where agents find homes and buyers find homes to see and buy, the seller must offer the buyer’s agent a commission. This is the caveat to be in the MLS because the MLS is a co-operative service to notify agents of houses that are on the market. When you, as a buyer, look online at any website, you are looking at the MLS. You are just viewing a watered down version with will less information on the listing profile and fewer search fields than what an agent will see,
There are some exceptions to the fact that almost all sellers pay the commission – please be aware:
Exception 1 – You have signed a buyer’s agency with an agent and the seller is only offer say 2% commission to the buyer’s agent (this could be any number) and your agreement with your agent states that no matter what, the commission that they get 3%. You will be expected to cover the gap and pay the extra 1% commission.
Exception 2 – You buy a for-sale-by-owner. Not all for-sale-by-owners will honor a buyer’s agent commission. Normally, sellers will announce the willingness to pay a buyer’s agent commission by stating, verbally or through a sign rider, that “agents are protected”.
Those are the only two exceptions that I can think of?
The Real Estate Law Protects Your Interest
So, keeping the two exceptions in mind, let’s talk about what the real estate law says about your rights. You see the real estate law is written to protect the person that pays the commission to any agent. Since the seller is paying the commission, you did not get the right to have representation. I know, you are saying now, “No, my agent was by my side the whole time.” Well, they may have been by your side, but they were representing the seller, UNLESS, you signed a document in writing that stated that they represented you with confidentiality. This is called a buyer’s brokerage engagement in most states. And since this buyer representation is FREE in most cases, it is the best deal in real estate.
So, the bottom line is, see houses for free, be protected by hiring an agent in writing, and if you are in Atlanta, take part in the additional bonus of having an expert represent you in writing an offer, negotiating the contract and get cash at closing too! Duffy Realty offers a Buyer Cash Bonus of at least $500.00 up to HALF the BUYER’S AGENT COMMISSION to be paid at closing. You will get all of our tools, an expert agent, a clear understanding of your rights and the seller’s rights and like I said above, a BUYER CASH BONUS check 5 days after closing and all at NO COST to the buyer client.
For more details, go to www.DuffyRealtyofAtlanta.com or call 678-892-1186.