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Ambassador
3,722,076
Patricia Kennedy
RLAH Real Estate - Washington, DC
Home in the Capital

OK, who cares as long as it gets paid! 

Nov 14, 2015 01:05 PM
Rainmaker
5,553,204
Barbara Todaro
RE/MAX Executive Realty - Retired - Franklin, MA
Previously Affiliated with The Todaro Team

it's all built into the sale price and the seller takes it off the top.... it comes from the proceeds!!!

Nov 14, 2015 06:43 AM
Rainmaker
849,035
Troy Erickson AZ Realtor (602) 295-6807
Good Company Real Estate - Chandler, AZ
Your Chandler, Ahwatukee, and East Valley Realtor

Tony and Suzanne - I would have to agree with Michael Jacobs and Patricia Kennedy.

Nov 14, 2015 02:06 PM
Rainmaker
2,441,861
Evelyn Johnston
Friends & Neighbors Real Estate - Elkhart, IN
The People You Know, Like and Trust!

The Seller pays the commission.  It is coming out of their proceeds.  Does not matter if the "built it in", the home still has to appraise.

Nov 14, 2015 09:53 AM
Rainmaker
3,858,752
Michael Jacobs
Pasadena, CA
Los Angeles Pasadena 818.516.4393

Seems like a question of semantics to me.

Nov 14, 2015 09:05 AM
Rainmaker
846,120
Marco Giancola
Beachfront Realty - Miami Beach, FL
Realtor (305)608-1922, Miami Beach Florida

Ms. Barbara Todaro said it well.

Nov 14, 2015 09:03 PM
Rainer
150,166
Michael Thacker - Re/Max Real Estate Center - Louisville
Re/Max Real Estate Center - The Thacker Group - Louisville, KY
Your best friend who just happens to be a Realtor

I consider fees and commission are part of the "market" price of the home.

Nov 14, 2015 07:21 AM
Rainmaker
1,123,223
Sam Shueh
(408) 425-1601 - San Jose, CA
mba, cdpe, reopro, pe

 What does the listing contract say?

Nov 14, 2015 07:07 AM
Rainer
230,924
Mike Rock
Complete Design - Granite Bay, CA
Granite Bay Luxury New Construction...For Less

its a cost of doing business... somehow we got onto the seller being responsible. hence fisbo's became popular. it is a Big Brother Realtor thing. which makes some sense. there is NO FREE LUNCH.

Nov 14, 2015 06:40 AM
Rainmaker
1,345,213
Ryan Huggins - Thousand Oaks, CA
https://HugginsHomes.com - Thousand Oaks, CA
Residential Real Estate and Investment Properties

It's usually built into the sales price.  At the end of the day, it's the seller who pays the commission, just like when you buy something at a store and pay the sales tax, it's really the merchant who pays it to the tax board, not you.

Nov 15, 2015 04:33 AM
Rainer
15,377
Barbara Parker
Highgarden Real Estate - Fort Mill, SC
I like to work with first time homebuyers, sellers

All commissions on property sold are paid by seller from proceeds of sale.

Nov 15, 2015 01:52 AM
Rainmaker
1,434,027
Michael Setunsky
Woodbridge, VA
Your Commercial Real Estate Link to Northern VA

Tony and Suzanne Marriott, Associate Brokers The commission is the fee negotiated with the seller to be paid from the proceeds of the sale.

Nov 14, 2015 11:03 PM
Rainmaker
3,069,284
Tony and Suzanne Marriott, Associate Brokers
Serving the Greater Phoenix and Scottsdale Metropolitan Area - Scottsdale, AZ
Haven Express @ Keller Williams Arizona Realty

I posed two "hypothetical" questions yesterday - this one plus "Who pays the commission if the proceeds to the Seller cover mortgage payoff and other items - but zero is left over to pay commission to the Listing Broker or the Buyer Broker?"  It was interesting to see how for this question many responded that the Buyer pays the commission, while for the other question it was almost unanimous that the Seller pays the commission.  Which is it?!  

Nov 14, 2015 10:42 PM
Rainmaker
1,157,329
FN LN
Toronto, ON

The seller is not always paying the total commission.  The seller may be paying a nominal or small commission and the buyer may be paying an additional commission.  Reference to the relevant agreements and other documents is necessary to see who is paying what.

Nov 14, 2015 10:28 PM
Rainmaker
3,766,855
Nina Hollander
Coldwell Banker Realty - Charlotte, NC
Your Charlotte/Ballantyne/Waxhaw/Fort Mill Realtor

I suppose you can argue that the buyer is paying the seller's commission, since it's built into the sale price and final net to seller.

Nov 14, 2015 09:51 PM
Rainmaker
4,433,283
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

The contract says the seller is selling at  a certain price and will pay a certain fee. 

Nov 14, 2015 08:39 PM
Rainmaker
2,385,593
Joe Petrowsky
Mortgage Consultant, Right Trac Financial Group, Inc. NMLS # 2709 - Manchester, CT
Your Mortgage Consultant for Life

Good morning Tony and Suzanne Marriott, Associate Brokers. This discussion has been around forever. In my mind the seller is the one that is paying the commission, no matter if it is built in or not.

Nov 14, 2015 05:25 PM
Ambassador
4,310,074
Praful Thakkar
LAER Realty Partners - Andover, MA
Andover, MA: Andover Luxury Homes For Sale

Tony and Suzanne Marriott, Associate Brokers we all know - only one party has ALL the money, and that is buyer!

Nov 14, 2015 02:07 PM
Rainmaker
1,682,789
Larry Johnston
Broker, Friends & Neighbors Real Estate and Elkhart County Subdivisions, LLC - Elkhart, IN
Broker,Friends & Neighbors Real Estate, Elkhart,IN

The Purchase contracts in Indiana indicate the Seller is responsible.  Both the Buy and Seller makes it official when the contract is signed.

Nov 14, 2015 09:58 AM
Rainmaker
1,623,965
Carol Williams
Although I'm retired, I love sharing my knowledge and learning from other real estate industry professionals. - Wenatchee, WA
Retired Agent / Broker / Property Manager

I don't understand the thinking that the buyer pays it. In my experience, ALL listing agreements indicate the amount of money the seller agrees to pay the listing brokerage.  The proceeds the buyer brings to the table is the sellers money!  I repeat, it is the sellers money.    In exchange for this money, the seller agrees to give the buyer possession and ownership of the home.  The commission (and other seller expenses) is paid from the sellers proceeds.  The seller pays the commission.  

Nov 14, 2015 07:40 AM
Rainer
90,455
Val Evans
Scottsdale, AZ

Obviously nobody gets paid anything unless there's a buyer. That's why you have a contract stipulating who gets their piece of the pie, and who covers what in case the pie isn't big enough.

Nov 14, 2015 07:37 AM
Rainmaker
4,600,925
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

In our market, even the FSBOs are listing their homes for fair market value, and not reducing to remove commissions.

Nov 14, 2015 07:34 AM
Rainmaker
1,707,191
Joe Pryor
The Virtual Real Estate Team - Oklahoma City, OK
REALTOR® - Oklahoma Investment Properties

My thjought is the buyer pays for it either in cash or in building it into a 30 year mortage. A seller looks at net, not gross.

Nov 14, 2015 06:40 AM
Ambassador
5,074,626
Bob Crane
Woodland Management Service / Woodland Real Estate, Keller Williams Fox Cities - Stevens Point, WI
Forestland Experts! 715-204-9671

Which came first the chicken or the egg?

Feb 07, 2019 11:18 PM
Rainmaker
1,946,860
Lise Howe
Keller Williams Capital Properties - Washington, DC
Assoc. Broker in DC, MD, VA and attorney in DC

is it the chicken or the egg? 

Nov 17, 2015 08:41 PM