I plan on buying a house, I want part of the realtors commission, either the seller share a portion with me if I don't use a buyers agent, or my buyers agent share half with me. My buying agent has maybe spent 4-5 hours looking for houses for me. Do they really deserve $1,000 an hour? Is this a fair question to ask the realtors? One realtor has done this for me in the past. It's there money, can't they do with it what they want, or is this against the realtor rules?
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They can only rebate you money, not give you money. It's common practice and a lot of brokerages are offerring rebates on commissions. For example:
www.redfin.com
If I was approached in this manner, it would depend on how much effort and work I have put into this. Also, keep in mind we have a lot of liability to deal with.
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First and foremost the sales contract is officially with the broker not the agent, second its illegal for a broker to pay a commission to any one but a license agent in good standing, your option is the commission itself, every commission is negotiable if not it would violate anti trust laws, so if you think you can work a deal on how much commission you must pay out to an agent to find you a house good luck, but on the sellers sides the sales contract will be signed off allocating how much the seller and buyers agent makes, now in your offer you can suggest that based upon your lower offer the agents should take less but in the sellers agent since they have legal binding contract they do not have to accept your lower offer on commission no matter how much the seller may want to do the deal
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It is against their contract. It is illegal. The realtor not only gets those funds, but they pay some of it to their company as well unless they are not affiliated with anyone. It sounds like you already have a buying agent, so you cannot ditch them so you can buy the house without a realtor - that too is unethical and illegal.
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It's illegal in every state.
Why would you expect your realtor to give up their income?! If you ran a company would you expect people to come in and demand a 50% cut in your salary just because they don't like how much you earn?! You know the deal before you start working with a realtor. Discuss before you start working with them, not after they've done their job! If you don't like their commission rate then talk to them about it *before* you start working with them. Remember, their commission is split between them and their broker: in most brokerages, *any* and *all* discount comes off the agents portion first. You want 50% off? You're basically asking the agent to work for free.
They only worked 5 hours? Rubbish. It'll take 30+ hours to bring a contract to closing, and that's if it's a simple contract. Have anything go wrong or the situation be complex (& you're sounding like the sort of person that would make it become complex) then it can be open ended on the hours. They spent 5 hours and found the place you like? Has it ever occurred to you that that indicates the realtor knows what they're doing?! Would you expect a dentist to take a 50% pay cut because they did the job in 10 minutes, painlessly, or do you really want them to "earn" their money by making it take 12 hours and hurt like hell?!
Is it illegal to accept a percentage of a realtors commission as a buyer?
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