Zillow Advice: Home Selling - Buyer's Agent required in Pennsylvania? http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ Zillow Advice | Zillow Real Estate I am a PA Realtor.&nbsp; ... http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ I am a PA Realtor.&nbsp; When you signed the listing agreement you negotiated the commission you were willing to pay.&nbsp; The listing agent is responsible for marketing your home and exposing it to potential buyers.<br/><br/>Those buyers may or may not be represented by a buyers agent.&nbsp; If they are your agent will split 50/50 with the buyers agent.<br/><br/>If your agent finds the buyer and represents both you and the buyer your agent is entitled to the full commission.<br/><br/>I follow the closed transactions closely to see who the selling and listing agents were in my location.&nbsp; 90 % of buyers are using a buyers agent. Sat, 28 Sep 2013 18:16:00 GMT http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ 2013-09-28T18:16:00Z It may be worth your while ... http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ It may be worth your while to read and understand the forms of agency available under Pennsylvania law. Here is the <a rel="nofollow" href="http://www.pacode.com/secure/data/049/chapter35/subchapetoc.html">link</a>, sections 35.311-35.316 seem to be the pertinent sections for agency. You are legally allowed to negotiate a listing contract with different commissions for different scenarios.<br/><br/>Good luck! Sat, 28 Sep 2013 04:40:00 GMT http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ 2013-09-28T04:40:00Z No, So_Cal, that's not correct.When ... http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ No, So_Cal, that's not correct.<br/><br/>When you offer to co-broker a property, you are also offering to share the commission. This does not preclude the listing broker from acting as a dual agent, although often when the listing broker also procures the buyer they treat the buyer as a customer and give sole agency to the seller.<br/><br/> Sat, 28 Sep 2013 04:12:00 GMT http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ 2013-09-28T04:12:00Z A buyer's agent is never ... http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ A buyer's agent is never required.&nbsp; Here are some scenarios for you:<br/><br/>(assuming a total 6% commission rate)<br/><br/>1- If your listing agent finds his/her own buyer he/she is owed 6% for both sides of the commission (assuming his/her agency allows dual agency - most agencies do allow it as it is a legal and common practice)<br/><br/>2- If your listing agent doesn't find the buyer, however another agent brings his/her prospective buyer an offer on your home 3% is paid to the buyer's agent and 3% is paid to your agent<br/><br/>3- If you find a buyer on your own, the commission to your listing agent may vary depending on how the contract between you two was written.<br/><br/>Summary: 3% is paid out to a buyer agent because statistically speaking, most listings will have the offer written from the party not listing the house.&nbsp; The MLS is the most efficient way to generate the most traffic to your property.&nbsp; Traffic = Competition.&nbsp; Competition = Drives Up Price.&nbsp; Many listing agents are very good and already have a buyer who they feel would be perfect for their seller's property which they are also representing the seller, as a dual agent.&nbsp; If only the listing agent was able to find the buyer for your property, that would be known as exclusive agency.&nbsp; Exclusive agency in no way benefits the seller in my opinion.&nbsp; Again competition is the key factor that drives up price.&nbsp; You want every agent out there possible bringing their clients through, not just your listing agent's clients. Sat, 28 Sep 2013 04:12:00 GMT http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ 2013-09-28T04:12:00Z To user139...As others have ... http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ To user139...<br/><br/>As others have already said, "no".<br/><br/>But...<br/><br/>If you check your listing agreement, you have set aside the 3% commission for a "buyer's agent". If your listing agent finds a buyer, they could ask you and the buyer for permission to act in a "dual agency" role, and collect both sides of the commission (i.e., the listing 3% and the buyer's 3%).<br/><br/>What your agent has told you is that they will not ask to act in a dual agency role, but will bring in another REA to represent the buyer.<br/><br/>When you initially negotiated the listing agreement, you should have negotiated for the possibility of an unrepresented buyer, or a buyer brought to the table by the listing REA. At this point, this is "lesson learned".<br/><br/>For the rest of folks going back-and-forth on "that's not what the OP said"...<br/><br/><strong><em>I ask because my agent told me regarding the buyer's agent 3% (of the total 6%):<br/>"If I find the buyer on this deal I will give that away to another agent for them to represent".</em></strong><br/><br/><strong><em>So, the OP has said that their REA has informed them that they will "give that away to another agent for them to represent." in the event of a buyer without their own representation.<br/><br/>Wait, why would you GIVE it away? &nbsp;Wouldn't it be in your client's best interest to KEEP the extra 3%?<br/>Seems like just a way they are helping their fellow realtors.&nbsp;&nbsp;<br/></em></strong><br/>The client in "your client's best interest" is the OP. So, "best interest" in this case means "more money in the client's/OP's pocket".<br/><br/>Enjoy your yadda-yadda... Sat, 28 Sep 2013 02:06:00 GMT http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ 2013-09-28T02:06:00Z Oh, the irony. I don't think ... http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ Oh, the irony. I don't think our seller cares much about how well the buyer is represented, hpvanc. I think they care about where their commission dollar is going to. Fri, 27 Sep 2013 23:23:00 GMT http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ 2013-09-27T23:23:00Z I did answer, it is not required. ... http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ I did answer, it is not required. If told otherwise see the next paragraph.<br/><br/>Real estate agency is often presented in a way that leads consumers to believe they don't have choices, and agents in an area/state have often colluded in such a way that consumers really do have very limited choices. In fact the DOJ Antitrust Division has a webpage specifically on the <a href="http://www.justice.gov/atr/public/real_estate/" rel="nofollow">Real Estate Industry</a>, that outlines some of the issues and reports on past court actions on the anti-competitive practices of the industry. If the OP is interested, it is good reading. <br/><br/>If they wish to do further reading they will be able to find numerous research article that have found that having 2 agents involved in every transaction, i.e. "<em>seem like just at way they are helping their fellow realtors,</em>"as a primary cause of why real estate commissions have not responded to competition. Fri, 27 Sep 2013 19:54:00 GMT http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ 2013-09-27T19:54:00Z A buyer's (selling) agent ... http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ A buyer's (selling) agent is not required in the state of Pennsylvania. &nbsp;<br/><br/>All consumers are free to represent themselves if they choose to. Fri, 27 Sep 2013 19:19:00 GMT http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ 2013-09-27T19:19:00Z he didn't say he was&nbsp; ... http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ he didn't say he was&nbsp; misrepresented so idk why that even came up in replys, and why would the Dept of Justice anti trust division need involved in a private contract that was negotiated and agreed upon between a seller and an agent?&nbsp;....he's asking about the commission split&nbsp;a&nbsp;question that should of been better explained by his agent!!<br/><br/>Really, you should try to answer what's being asked and save the governments time to investigate real crimes.&nbsp;If it were ANTI TRUST it would involve 2 or more corporations/businesses... not 2 individules Fri, 27 Sep 2013 18:31:00 GMT http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ 2013-09-27T18:31:00Z It's not required, but you ... http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ It's not required, but you may need to specifically allow your agent to act as a dual/transactional agent, and will need to carefully spell out in your listing contract how you want to handle commissions in that situation (the default is the listing agent keeps both the listing and full selling commission).<br/><br/>"Buyer's" agents are called Selling Agents on the purchase agreement in most states and are compensated as sub-agents of the listing agent. The title of "buyer's" agent is a serious misrepresentation for what they typically do, most agents when acting in this capacity act as a salesperson at large for any listing they can find on the MLS (and possibly FSBO that have indicated they will pay a Selling Agent commission). Unfortunately "buyer's" agency has been widely adopted by the industry as way to protect half of the commission from negotiation. <br/><br/>If you have concerns, the DOJ Antitrust Division may be interested. Here is the <a href="http://www.justice.gov/atr/contact/newcase.html" rel="nofollow">report violation website</a>. I don't think it will do any good, but you could also write to the Pennsylvania real estate licensing authority about the misrepresentation of "buyer's" agency that they have sanctioned. Fri, 27 Sep 2013 17:57:00 GMT http://www.zillow.com/advice-thread/Buyer%27s-Agent-required-in-Pennsylvania/513158/ 2013-09-27T17:57:00Z