I'm a begining investor, and currently I own a duplex and the house I live in. Anyway, I've got my eye on another duplex that I would like to do a condo conversion on. My question is, is there a better chance of talking the seller down if I don't have a buyers agent? Do selling agents take the full 6% if there's no buying agent? If so, I assume the seller could talk them down to 3%.
In any case, I have a realtor that I have worked with previously, who is also a friend of mine. I wouldn't mind telling her about the property and using her as a buying agent, just so she can get the commision and I can get her opinions on what each side would list for as condo's. ...but if I have a better chance of getting a better price without a buyers agent, I'd go without her.
I'm thinking each side would sell as a condo for $160,000 to $170,000. They are asking $269,000 for the whole duplex. I'd try to get it down to $245,000 or so.
The commission is part of the listing agreement and if you are unrepresented in the transaction the listing agent gets the entire agreed upon amount because they are also doing the buyers agents job. Finding a property is sometimes the easiest part. On some properties like Freddie Mac right now if you use a registered agent you can get a 1000.00 bonus towards closing costs. Also the agent that lists the property owes all their loyalty to the seller so I would always recommend that you work with someone you trust.
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