Do I Have To Pay This Agent A Commission Out Of My Pocket?
I have an agent sending property listings to me. I asked her, "If I find a property that I wish to further inspect, who should I contact, you or the listing agent. Is there a universal key? Are potential borrowers allowed to borrow the key?" She responded, "most of the time I should let you into the property, I can set appointments.... no need to contact selleing agent, just me because I represent you and they represent the seller." Do I have to pay her if I buy a property she sends my way?
You wouldn't have to pay a realtor, if you are a buyer. It's the seller who pays both the selling and buying realtors.
Why did she state that she represents me?
I see.
You should know that there are instances when the buyer does have to pay the agent. One scenario that happens regularly in my area is FSBO. If there is a real estate agent invovled the buyer usually pays.
Lori
[addsig]
If you signed paperwork with her stating that she will be your exclusive representation for a set amount of time, and you buy a house in that timeframe, you will have to pay her, even if you don't buy something she recommends (FSBO, REO, HUD). Once that time expires, or if you didn't sign anything, you DO NOT have to pay her. Often times if you buy a house and have no buyer broker, you can get the price reduced by the amount of her commission (typically 3%), or you can have the seller pay 3% of your closing costs. There is a direct financial benefit to not using a buyers broker. If you are a first time buyer or don't feel comfortable with all the contracts, use a broker (you might be able to get a discount fee though, just ask). I sell a lot of houses through brokers in AZ, TX, and NV and typically get $500 listings on MLS. If you feel bad for the agent, don't. Their commission is based on how high your purchase price is, so many will want you to stretch and buy as big a house as you can afford, and not really negotiate hard for you - unlike a seller broker who wants the same as the seller (a high price and fast sale).
Thank you for all of the impute.