It’s inevitable that the amount of the commission paid by the seller to the buyer-agent will be made public.
Because the existing rules forbid the MLS companies from disclosing the commission amount to the public, it sounds like the consumer is being wronged. The lawsuits filed against major brokerages are building their case on the lack of transparency about that commission, and when they settle, it’s likely that this will be among the big wins for them – they got the buyer-agent commission disclosed to the public.
Let’s jump ahead.
Once revealed, the public will come to two conclusions about the buyer-agent’s commissions:
- The vast majority of sellers offer a 2.5% commission/bounty/reward to buyer-agents to sell their house.
- Those who offer less have more trouble selling.
Any other questions? Ok then, let’s carry on!
Those who offer less have more trouble selling.
The attorneys will sex it up and accuse realtors of steering buyers to listings that offer 2.5% commissions…..or more.
But that’s not the root of the problem.
Listing agents who offer 2% or less to the buyer-agents DON”T APPRECIATE what the buyer-agents do, and how much work it takes for them to procure a top-dollar sale for your seller.
Instead, they abuse the buyer agents (further) by making their listings hard to show; they are difficult to negotiate with; their houses are in crappy condition and won’t do anything to fix them; and generally they beat up the buyer-agents from start to finish – AND pay them less too.
It’s no surprise that they take longer to sell, and also sell for less. And it’s NOT because the buyer-agents are steering their clients to higher-paying commissions – if anything, they are steering them to listings where there is at least some respect.
Get Good Help!
A good realtor is worth every penny. Fortunately, I have a great realtor. Many thanks to Jim and Donna!