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Rainmaker
3,766,855
Nina Hollander
Coldwell Banker Realty - Charlotte, NC
Your Charlotte/Ballantyne/Waxhaw/Fort Mill Realtor

In NC with a buyer agency agreement, it states what the buyer is responsbile for in commission to their agent if we can't collect from the listing agent. When I list, I certainly try to understand the numbers in advance and review them with my prospective sellers.... why would you take on a listing in advance where you know you won't/can't get paid and can't offer a co-broker commission honestly?

Nov 14, 2015 09:49 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 "Is the total commission truly paid by the Seller, or is it paid by the Buyer because it's built into the sales price with the expectation that the Seller will pay the commission from the proceeds?"  It was interesting to see how for this question it was almost unanimous  that the Seller pays the commission, while for the other question it was almost many responses indicated that the Buyer pays the commission.  Which is it?! 

Nov 14, 2015 10:45 PM
Ambassador
3,007,219
Tammy Lankford,
Lane Realty Eatonton, GA Lake Sinclair, Milledgeville, 706-485-9668 - Eatonton, GA
Broker GA Lake Sinclair/Eatonton/Milledgeville

As a listing broker I've taken payment for commission over s few months. Legal documents were signed.

Nov 14, 2015 02:06 PM
Ambassador
5,074,626
Bob Crane
Woodland Management Service / Woodland Real Estate, Keller Williams Fox Cities - Stevens Point, WI
Forestland Experts! 715-204-9671

That is when the seller brings a check along to the closing table, something that happened many times in the past decade.

Nov 14, 2015 12:02 PM
Ambassador
2,223,992
Debbie Laity
Cedaredge Land Company - Cedaredge, CO
Your Real Estate Resource for Delta County, CO

That should be addressed in the listing agreement, and in my market, it's traditional for the seller to pay the listing office and the listing office pays a co operating commission to the office that brings in the buyer. 

Nov 14, 2015 11:24 AM
Rainmaker
3,985,753
William Feela
WHISPERING PINES REALTY - North Branch, MN
Realtor, Whispering Pines Realty 651-674-5999 No.

I make sure I am not in that position from then start

Nov 14, 2015 10:26 AM
Rainer
74,407
Michael Scruggs
UTR Texas-Realtors - Houston, TX
ABR, CNE, TAHS

That should be addressed in the listing agreement or the buyers rep agreement.

Nov 14, 2015 09:56 AM
Rainmaker
3,858,752
Michael Jacobs
Pasadena, CA
Los Angeles Pasadena 818.516.4393

What has been "promised" in the multiple listing service remarks?

 

Nov 14, 2015 09:04 AM
Rainer
279,004
John Crosby
Real Property, Inc. - Marblehead, MA

I agree with Marc Swartz, refer to the contracts, listing, MLS, P&S and if you are the listing agent you had better hope you covered that possibility in the contracts.

Nov 14, 2015 08:56 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

If there is a listing agreement, stipulating the amount of commission to be paid, the seller must pay the commission from some other source of funds. You say the mortgage AND other items will be paid but no money for commission?  Why is the commission considered "left overs".  It is part of the contract with the seller.  

Nov 14, 2015 07:43 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

We saw this in the slow years - seller must bring money to closing.

Nov 14, 2015 07:33 AM
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

The commissions are handled just like any outstanding balance from the deal, and the sellers have to write a check to get the deal to close. 

Nov 14, 2015 07:20 AM
Rainmaker
1,613,947
Sandy Padula and Norm Padula, JD, GRI
HomeSmart Realty West & Lend Smart Mortgage, Llc. - Carlsbad, CA
Presence, Persistence & Perseverance

This sounds like a short sale to me. If I sell a home, custom is the seller pays the commissions due. If the amount is not enough to cover the mortgage and cost of selling, then the seller needs to have a long chat with their mortgage company and their attorney.

Nov 15, 2015 01:19 AM
Rainmaker
1,434,027
Michael Setunsky
Woodbridge, VA
Your Commercial Real Estate Link to Northern VA

Tony and Suzanne Marriott, Associate Brokers This is addressed in the BBA with the Buyer.

Nov 14, 2015 11:01 PM
Rainmaker
1,360,357
Raymond E. Camp
Howard Hanna Real Estate Services - Ontario, NY
Licensed Real Estate Salesperson Greater Rochester

Here it would be in the listing agreement that the seller would be taking care of the commission. A short sale sometimes will come up short and hopefully one has a buyers contract.

Nov 14, 2015 10:50 PM
Rainmaker
699,077
Chris and Dick Dovorany
Homes for Sale in Naples, Bonita Springs and Estero, Florida - Naples, FL
Broker/Associate at Premiere Plus Realty

The seller must bring proceeeds to the table or it does not close.  All arranged up front.  No surprises.

Nov 14, 2015 08:44 PM
Ambassador
2,759,312
TeamCHI - Complete Home Inspections, Inc.
Complete Home Inspections, Inc. - Brentwood, TN
Home Inspectons - Nashville, TN area - 615.661.029

 Good Sunday morning Tony and Suzanne. That's a good question I don't think that I've heard of this one before.

Nov 14, 2015 06:39 PM
Ambassador
3,986,387
Debbie Reynolds, C21 Platinum Properties
Platinum Properties- (931)771-9070 - Clarksville, TN
The Dedicated Clarksville TN Realtor-(931)320-6730

I look to get my commission from the coop side of the transaction. It is not my problem if there is a negative and I wouldn't be privy to that information until I see the closing papers. The seller and listing agent must figure that out.

Nov 14, 2015 10:41 AM
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

That should have been determined when the title company prepared the closing papers.The Seller usually takes care of it.

Nov 14, 2015 10:22 AM
Rainmaker
2,441,861
Evelyn Johnston
Friends & Neighbors Real Estate - Elkhart, IN
The People You Know, Like and Trust!

The seller and the buyer.

Nov 14, 2015 09:51 AM
Rainer
23,561
Angelia Bynum
Maximum One Greater Atlanta Realtors - Atlanta, GA
Realtor® serving all of Atlanta

The seller...I really hope this works out for you.  When you did the "Sellers Net Sheet" and saw there would be nothing left to cover your commission did you have a discussion with the seller about how you would get paid?  You may have to go to court and I would weigh it to see if it's worth the time and money you will spend in court expenses.

Nov 14, 2015 08:02 AM
Rainmaker
3,239,659
John Pusa
Berkshire Hathaway Home Services Crest - Glendale, CA
Your All Time Realtor With Exceptional Service

Tony and Suzanne Marriott, Associate Brokers Generally, seller should pay the commission.

Nov 14, 2015 07:37 AM
Rainer
90,455
Val Evans
Scottsdale, AZ

Isn't that called a "short sale"?

Nov 14, 2015 07:28 AM
Rainmaker
6,210,913
Roy Kelley
Realty Group Referrals - Gaithersburg, MD

The home seller may have to make a contribution to cover the commission.

Nov 14, 2015 07:20 AM
Rainmaker
1,123,223
Sam Shueh
(408) 425-1601 - San Jose, CA
mba, cdpe, reopro, pe

One should check out the mortgage balance. If you stipute a commission to be paid no matter what, you send demand for commission if not collection agency or small claim court.  One way or other the borkerageS need to get paid.

Nov 14, 2015 07:04 AM
Rainer
230,924
Mike Rock
Complete Design - Granite Bay, CA
Granite Bay Luxury New Construction...For Less

that looks like a deal that shouldnt have been a deal :) . but it happens. as marc said, see the contract. is it a short sale?

Nov 14, 2015 07:04 AM
Rainmaker
1,157,329
FN LN
Toronto, ON

As a starting point, you would need to refer to the relevant agreement(s) in order to determine the answer.

Nov 14, 2015 06:55 AM