Michael Gayer Jr seller financing changes nothing as far as the realtors commission. In Colorado the realtor cannot suggest owner fi or submit an offer unless somebody else (like a lawyer) draws up the note. I don't know about other states. RR
Michael Gayer Jr seller financing changes nothing as far as the realtors commission. In Colorado the realtor cannot suggest owner fi or submit an offer unless somebody else (like a lawyer) draws up the note. I don't know about other states. RR
In Nevada you can advertise thru the MLS lease options,contract for deed,owner carry, AITD , as @Ralph R. mentioned financing has nothing to do with the commissions due to a sale
@Michael Gayer Jr usually the MLS allows them to advertise owner financing. Since Dodd-Frank and RESPA changes of late the agent's involvement in the financing aspect has changed as @Ralph R. pointed out. Just to clarify, agents are typically paid out of the proceeds of the sale, so the down payment is usually what is used to pay the agents when owner financing is advertised on the MLS. What you likely won't find on the MLS is 100% owner financing. This is because the seller then has to come up with the agent's commissions out of pocket since most agents won't agree to be paid their commission over time. Of course, like all things real estate, this could be negotiated in special situations.
I believe you may be confusing the terms 'for sale by owner' (FSBO) and owner financing.
Retail sales listed with the assistance of a Realtor could potentially still make use of seller financing. Seller financing refers only to the form of 'payment', not the method of listing a property for sale.
FSBO's can be listed for sale by the owner without the assistance of a Realtor, and you could advertise the option for owner financing.... but as with everything in real estate, consider the assistance of a legal professional to ensure no laws restrict what you plan to do, and to help with contracts you may need to use.
Disclaimer- not qualified to provide legal advice.
@Michael Gayer Jr you need to remember owner financing is not for somebody buying a house to live in. Dodd Frank makes that pretty difficult. The only buyers eligible are people intending to rent or do something else with the property. If it's to be owner occupied it would need to be a lease option and at some point would need to be financed using a different lender. Your pool of buyers is greatly reduced if you will not accept another form of payment. RR
generally the MLS multiple listing service you can list the house for sell for cash or for terms, such as lease with option, lease purchase, land contract, Seller financing, etc.
you should offer some kind of fee to the agent bringing you the buyer.
You can offer some money today and some money down the road when the buyer gets permanent financing
Yes, you can and should advertise seller financing in the MLS. Yes, the realtor still gets paid.
That's why the buyer typically puts down >20%=10% to cover sales costs, including realtor commissions, and 10% directly to the seller to cover attorney's fees if the buyer defaults.
@Ralph R. , thank you for your insight. Can I get clarification ... A buyer cannot buy a house to live in on owner financing? (For example a Lease Purchase or Contract for Deed)
@Brian Gibbons , thank you for your insight. Question: Do you recommend going with a percentage or flat fee to go to realtor? Would you be so kind as to what deals with Agents have worked for you?
The realtor is used to getting 3% to bring a buyer to a transaction, so
find a way to get 3% in their hand, whether it's part of the option consideration for money today and commission when The buyer gets permanent financing down the road