How to pay a broker or realtor.

5 Replies

This guy my girlfriend knows is going threw a divorce and wants to sell his house. He just wants out of it quick and easy. It's needs some work so I'm interested in buying it, renovating it, living in it for a few years and then maybe selling it. Since this will be my first deal and first house I've ever even bought I started talking to this lady we knew that is a broker for some guidance.

My question is, since I found the houses down everything, do I still pay the same 6% realtor fees just to have her represent us and do the paperwork?

Promotion
RentRedi
Smart Tech For The Smart Landlord
The Smart Way To Manage Your Rentals
Enjoy growing your portfolio without paying more for it. Unlimited units & easy-to-use apps.
Get Unlimited Units

If you are comfortable marketing it on your own, then put it up as for sale by owner. That way you will avoid paying the listing agent's commission and if you find a buyer then let the s/he agent fill out the contract. Just make sure to have your lawyer review the contract for you. If not, then try to negotiate the commission (nothing is fix/ flat rate). Good luck.

The simple answer is NO, no reason to pay her anywhere close to that much. If you are interested in buying the house she could help you with drawing up the contract/filling in the blanks of a standard as-is contract for your state (each state has their own form). You could offer to pay her something for her time but that is completely up to you and the agent as to how much she would want for her contribution. 

And typically it is the SELLER that pays the agent fees for both sides, not the buyer. Usually the seller agrees to a 6% commission and the listing agent agrees to split pay a portion of that to another agent who brings the buyer.