Comments on: Can Real Estate Agents Charge a Retainer? Don’t ask the National Association of Realtors! http://www.biggerpockets.com/renewsblog/2007/03/30/can-real-estate-agents-charge-a-retainer-dont-ask-the-national-association-of-realtors/ Learn, Network, Invest Tue, 07 Oct 2008 07:09:53 +0000 http://wordpress.org/?v=2.6.1 By: Marcam http://www.biggerpockets.com/renewsblog/2007/03/30/can-real-estate-agents-charge-a-retainer-dont-ask-the-national-association-of-realtors/#comment-51299 Marcam Thu, 27 Sep 2007 22:02:06 +0000 http://www.biggerpockets.com/renewsblog/2007/03/30/can-real-estate-agents-charge-a-retainer-dont-ask-the-national-association-of-realtors/#comment-51299 I might not ask my brother for one! Then again, I tend to shy away from working with family. I do agree with Dennis, it is not in voilation of the Code of Ethics. It is just business deal between a broker and the client. I might not ask my brother for one! Then again, I tend to shy away from working with family. I do agree with Dennis, it is not in voilation of the Code of Ethics. It is just business deal between a broker and the client.

]]> By: Craig http://www.biggerpockets.com/renewsblog/2007/03/30/can-real-estate-agents-charge-a-retainer-dont-ask-the-national-association-of-realtors/#comment-50643 Craig Thu, 02 Aug 2007 21:25:23 +0000 http://www.biggerpockets.com/renewsblog/2007/03/30/can-real-estate-agents-charge-a-retainer-dont-ask-the-national-association-of-realtors/#comment-50643 I clearly see the benefit of charging a retainer. If I was a real estate agent I would upfront. I clearly see the benefit of charging a retainer. If I was a real estate agent I would upfront.

]]> By: Dennis London http://www.biggerpockets.com/renewsblog/2007/03/30/can-real-estate-agents-charge-a-retainer-dont-ask-the-national-association-of-realtors/#comment-49649 Dennis London Sun, 08 Apr 2007 11:55:07 +0000 http://www.biggerpockets.com/renewsblog/2007/03/30/can-real-estate-agents-charge-a-retainer-dont-ask-the-national-association-of-realtors/#comment-49649 A retainer is an advance fee for services. Many types of professional service providors (fee for service) collect part or all of their fees in advance. The guidelines for NAR would be the Code of Ethics. "You don't ask - you don't get!" - a quote from my grandmother.... It is neither illegal, nor a violation of the Code of Ethics for a real estate professional to ask for and receive an advance payment. The issue is "in exchange for what". There must be a relationship established and an agreement regarding the "fee for service". AND of coure the realtor can only be paid from his/her broker - so payment must be to the broker. So - agents out there - do you have the stones to ask for and are you you a strong enough salesperson - to ask for and receive an advance? A retainer is an advance fee for services. Many types of professional service providors (fee for service) collect part or all of their fees in advance.

The guidelines for NAR would be the Code of Ethics.

“You don’t ask - you don’t get!” - a quote from my grandmother….

It is neither illegal, nor a violation of the Code of Ethics for a real estate professional to ask for and receive an advance payment. The issue is “in exchange for what”. There must be a relationship established and an agreement regarding the “fee for service”.

AND of coure the realtor can only be paid from his/her broker - so payment must be to the broker.

So - agents out there - do you have the stones to ask for and are you you a strong enough salesperson - to ask for and receive an advance?

]]> By: Joshua Dorkin http://www.biggerpockets.com/renewsblog/2007/03/30/can-real-estate-agents-charge-a-retainer-dont-ask-the-national-association-of-realtors/#comment-49571 Joshua Dorkin Mon, 02 Apr 2007 04:11:36 +0000 http://www.biggerpockets.com/renewsblog/2007/03/30/can-real-estate-agents-charge-a-retainer-dont-ask-the-national-association-of-realtors/#comment-49571 I can certainly see the benefit of charging a retainer, but even if I were able to (back when I was an agent), there is no chance I would have asked for one. Personally, I think it is obnoxious. Buyers/sellers are already handing away so much money to a full service agent. Charging a retainer on top of that (or even having to come up with more cash upfront) to satisfy a realtor's fears about getting paid is just too much in my book. If you don't want to deal with flaky buyers become a seller's agent. I can certainly see the benefit of charging a retainer, but even if I were able to (back when I was an agent), there is no chance I would have asked for one. Personally, I think it is obnoxious. Buyers/sellers are already handing away so much money to a full service agent. Charging a retainer on top of that (or even having to come up with more cash upfront) to satisfy a realtor’s fears about getting paid is just too much in my book.

If you don’t want to deal with flaky buyers become a seller’s agent.

]]> By: TPercival http://www.biggerpockets.com/renewsblog/2007/03/30/can-real-estate-agents-charge-a-retainer-dont-ask-the-national-association-of-realtors/#comment-49566 TPercival Sun, 01 Apr 2007 12:39:34 +0000 http://www.biggerpockets.com/renewsblog/2007/03/30/can-real-estate-agents-charge-a-retainer-dont-ask-the-national-association-of-realtors/#comment-49566 I recently was at a seminar that focused on Realtors in my area. The speaker gave some ideas for seller and buyer's agents to help them stand out from the competition. One thing he stated, was that the buyer's agent should charge an upfront fee. He felt that it helps eliminate the buyer from having many realtors working for them at the same time, and only 1 of them possibly being paid. If the buyer's agent found a house to purchase, then this fee would later come out of their final commission. The ideas was split among the Realtors at this seminar, some felt they could never ask for it or get it, others said they already do get it and don't have too many people saying no to them. I don't know if it's right or wrong, but wanted to add some input. I recently was at a seminar that focused on Realtors in my area. The speaker gave some ideas for seller and buyer’s agents to help them stand out from the competition.

One thing he stated, was that the buyer’s agent should charge an upfront fee. He felt that it helps eliminate the buyer from having many realtors working for them at the same time, and only 1 of them possibly being paid. If the buyer’s agent found a house to purchase, then this fee would later come out of their final commission.

The ideas was split among the Realtors at this seminar, some felt they could never ask for it or get it, others said they already do get it and don’t have too many people saying no to them.

I don’t know if it’s right or wrong, but wanted to add some input.

]]> By: Maureen Francis http://www.biggerpockets.com/renewsblog/2007/03/30/can-real-estate-agents-charge-a-retainer-dont-ask-the-national-association-of-realtors/#comment-49565 Maureen Francis Sun, 01 Apr 2007 06:11:23 +0000 http://www.biggerpockets.com/renewsblog/2007/03/30/can-real-estate-agents-charge-a-retainer-dont-ask-the-national-association-of-realtors/#comment-49565 Everything in real estate is negotiable and we have a bazillion business models to prove that. When I first heard of an agent here in Michigan who was using a retainer I thought it was absurd. Now I think it is brilliant. Everything in real estate is negotiable and we have a bazillion business models to prove that. When I first heard of an agent here in Michigan who was using a retainer I thought it was absurd. Now I think it is brilliant.

]]> By: Outta Names http://www.biggerpockets.com/renewsblog/2007/03/30/can-real-estate-agents-charge-a-retainer-dont-ask-the-national-association-of-realtors/#comment-49564 Outta Names Sun, 01 Apr 2007 01:57:22 +0000 http://www.biggerpockets.com/renewsblog/2007/03/30/can-real-estate-agents-charge-a-retainer-dont-ask-the-national-association-of-realtors/#comment-49564 It's you. :) Really, it's just a pricing problem. Whether it's a commission or a fee, it's just a price. As for who can answer the question, any competent real estate attorney could, as could the New York agency that regulates the real estate business. It’s you. :)
Really, it’s just a pricing problem. Whether it’s a commission or a fee, it’s just a price. As for who can answer the question, any competent real estate attorney could, as could the New York agency that regulates the real estate business.

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