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They should deal with this in their buyers agency agreement.
Stevens Point, WI
The buyer can ask the seller to pay they buyer's agent, but the agent cannot.
Stevens Point, WI
Commission isn't negotiable. If an agent shows the property when it's listed at 2.5% in MLS, then they've already agreed to the 2.5%. The listing agent has no authoriy to negotiate commission with other agents. The sellers and listing agent can decide to amend the listing agreement and raise commission, but they are the only ones who should be discussing it. If a buyer agent wants more than 2.5%, they should have that written into their buyer broker agreement, and the addidtional 1/2% will come from their buyer client, not from the seller or listing agent.
I show the home regardless of the commission.
Jeff Pearl nailed this one!
I think you have answered your own question - the commission is agreed upon between seller and listing agent. What is paid out is published on the MLS - end of story.
The answer is no and how dare you call me. Read what I have offered in the MLS and that is the end of the conversation.
Everyone that left a comment needs to read the CODE OF ETHICS AND ARBITRATION MANUAL particularly the interpretation of an agent including their fee in the offer.
PAGE 344 CASE #16-16 AND CASE #16-17
You better believe that an agent CAN include their commission in the offer...exclusive buyer agent have been doing that for years...particularly the years when the co-op fee for them was one penny.
Don't believe it? Call the legal hotline or ask NAR.
Contracts are between Buyers and Sellers however the BA commission CAN BE ADDRESSED IN THE OFFER.
The only thing that the buyers agent cannot do in the offer is reduce the LA commission. They can ask for additional commission, a bonus or anything they want...no differently than the buyer can ask the seller for a new roof.
PS: the BA can also negotiate a higher split with the LA if they choose to, and no that is not against the code of ethics.
Daniel W. Hayes You are not wrong. If the agent wants more money, they should have negotiated it in their Buyer Broker Agreement with the buyer.
If a client wants to see it then you better be showing; commission could be negotiated.
So, you believe if a rogue broker places a house for sale in the MLS with a stated compensation of $1 (one whole dollar which is allowed in my MLS) that the buyer agent is COMPELLED by the 'code' to show that property?
Sorry, but your low compensation should be avoided by those small business owners known as real estate agents.
Now you are aware, some NY based brokerages COMPEL their agents to do the 3% or they will meet the wrath of their broker.
Just like those bogus service fees, bogus mls fees, and now compensation, some brokers IMPOSE on their agents what the parameter of their business is.
Once more, the suggestion of bad behavior will be directly linked to the brokerage.
Regarding your question...the buyer, my buyer, the buyer will not want to see your house and at their directive, you will be bypassed, unless you correct the problem. The agent is giving you a chance to correct the problem. The choice is yours to make.
Daniel W. Hayes If they want more, write up an offer asking for more. The seller will decide if they want to.
You are right - it is against COE to not show the home because of the compensation.
Don't they realize that they are showing how greedy they are by asking for more compensation. They are not working for their clients best interest. I would have trouble trusting them.
Unethical maybe, ILLEGAL no! The fact remains that the co-op fee in this instance is 2,5% whether they show it or not.
Good morning Daniel. You are not wrong at all.
Daniel - You are absolutely not wrong on this one, yet I also hear agents all the time telling me that they look for listings that offer a higher commission, and do not show their clients listings that have a lower commission than they feel they are worth. I agree that this behavior is illegal, but not much you can do about it - I assume it would be difficult to prove.
What I would tell the buyers agent is simply, "This is the commission my broker and seller have agreed on. Your job is to help find your buyer the right home for them, which has nothing to do with how much money you will be making".
Sorry, but I have no patience for these kind of people. Sometimes I don't even know what my commission will be until I get the check, because it really does not matter to me. I am just trying to help my buyer find a home.
Your correct on the COE
I have had agents call before showing and ask for a bonus if they sell my listing. I don't think this is proper but think it shows a desparate agent.
I generally find out how the BA commission is the day before closing when I see the HUD. I know some agents won't work less for X% and have buyers agree to that and agree to pay a difference in the BBA and sometimes buyers rule out based on having to pay extra commission, but I frankly don't like that style either and would never use it.