Zillow Advice: Buying Process - How to proceed with buying a FSBO property?

Sperlyjinx:Sellers typically ...

Wed, 02 Sep 2009 20:00:00 GMT

Sperlyjinx:
Sellers typically pay your buyer's agent/broker commission. Although either party to the transaction may pay the commission. As this is a FSBO, you should have your agent determine if the sellers work with buyer's agents.

When viewing FSBO properties without your agent present, tell the sellers you're working with an agent and give them your agent's card.
Also ask to see a Sellers Disclosure Statement.

Good luck!

Greg: Please read the ...

Wed, 02 Sep 2009 18:56:00 GMT

Greg: Please read the "no spam or self promotion" post by ZIllow in the mortgage section AND the good neighbor policy. Your posting of phone number etc in every post is in violation of the policy and has been reported to Zillow moderators. Your phone number as your "name" is rather questionable.

HiAsk your agent what the ...

Wed, 02 Sep 2009 18:48:00 GMT

Hi

Ask your agent what the best solution for your situation is. In the state of California, commissions are not fixed according to the Department of Real Estate guidelines.

Most agents have flexible commission requirements based on their time vs money outlook. This typically ranges from 1-3% of the purchase price (part time agents with little experience or no clients may charge in the lower range for their services)

I work with buyers and sellers and have been in San Diego Real Estate for over 10 years so I typically charge between 2% and 3% of the purchase price.

Once you decide on an agent and come to an agreement on who and how much commission will be paid for the transaction, get it in writing so there is no misunderstanding in the future.

Greg Godwin
[content removed by moderator for being self promotional]
San Diego Realtor

In most cases the sellers ...

Tue, 04 Aug 2009 22:13:00 GMT

In most cases the sellers pay your agent commission, as long as your agent represent you.

I so agree it you Michael ...

Sat, 06 Jun 2009 05:35:00 GMT

I so agree it you Michael and Phillis... and commend you for seeing the value your Realtor is bring to the table... without our Realtors guide you many not have seen the value in this FSBO in the first place...I have sold many FSBO's... no seller has questioned my commission as they are fully prepared to pay... most have done a few deal... although I end up doing both sides of the transaction to keep all legal and the 'i' dotted and the 't's' crossed... everyone wins and I move on to the next transaction... but retain happy satisfied clients...

In my experience Phyllis ...

Sat, 06 Jun 2009 00:02:00 GMT

In my experience Phyllis is closest. I've assisted my buyers with these and I negotiated my commission with the seller. My buyers rep agreement says x% but if the fsbo won't cover it I don't attempt to make it up. If my buyer wants that house then I'm going to assist them. I have never had a seller not want a preapproved buyer yet. These fsbo's see so many wanna be buyers that they're usually really glad that I bring a professional state approved contract, earnest money, and a buyer who's serious.

You would not have to pay ...

Fri, 05 Jun 2009 23:24:00 GMT

You would not have to pay your Realtor if he/she the transaction for you as your buyers' agent. The seller/bank who owns the property will pay your realtor the fee.

$1000 should cover it.

Fri, 05 Jun 2009 22:52:00 GMT

$1000 should cover it.

2.5%-3% is standard in this ...

Fri, 05 Jun 2009 22:04:00 GMT

2.5%-3% is standard in this market. - Lawrence

Typically Realtors receive ...

Tue, 02 Jun 2009 14:37:00 GMT

Typically Realtors receive across the majority of the nation receive 3% as a Listing or Seller's agent and the Selling or Buyer's agent receives 3% of the final sales price. Your Realtor should be very happy with this especially since you found the house on your own. Of course, you will most likely be responsible for paying the Realtor yourself at closing.

You will need to talk it over with your Realtor concerning who is going to pay their commission but expect it to be you. Most likely if you try to put it on the Seller's side you will either lose the deal or the sales price will just be increased to cover the commission. This shouldn't be a problem unless the house is being sold for exactly the same amount as the appraised value (which is usually the case in a FSBO).