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Updated over 7 years ago on . Most recent reply

Buyer broker for commercial real estate
I was talking to one of the broker who listed multi family commercial property on loopnet. In order to save time, I contacted him directly to get some details rather than asking my broker. Once I realized that numbers make sense, I told him I will be bringing my broker whom I trust to take care of rest of the transactions. It was out of state investment for me. Looks like he got offended as soon as I told him I will get broker and refused to share 2.5 % commission with him. Just wanted to get some opinions on how to avoid such situations in future -
1. For commercial multi families, isnt buyer expected to bring his broker? My purpose of bringing the buyer broker wasnto ensure our best interests are taken care of. It is also an out of state investment for us.
2. From communication perspective - Am I not allowed to talk to Seller broker directly if I am planning to bring in buyer broker? Perhaps clarifying on my 1st communication may have made things clearer.
Most Popular Reply
Commercial/Residential buyers are entitled to have their own agents. You should have disclosed to the listing broker that you have an agent during your first contact. Listing brokers hate this scenario where Buyer's agents are bought into transaction at a later stage.
Generally the communication is between listing and buyer's agents. Seller/Buyer only communicate to their respective agents unless absolutely required and never bypass the agents.
In this case, the listing agent might have assumed they are representing both sides and are going to be paid dual commission. Listing agents pay Buyer's agent for procuring the client but in this case you saw their listing on Loopnet and their advertisement/marketing procured the buyer.