An Arizona couple decided to sell their house, but when their son said he was buying the house, the real estate agent still asked for a 5% discount. do they have to pay?
Real estate and housing: There are more home sellers than buyers, Redfin says.
According to Redfin, 31 of the top 50 metros are in a buyer’s market.
Fox – LA
question
Last month, we signed a six-month listing agreement with a real estate agent to sell our home. When my son found out we were selling the house, he said he would buy it right away. He currently has the funds for the purchase and does not want to do an inspection because he trusts us. When we told our real estate agent the good news that we no longer needed to sell the house, he told us we were still obligated to pay the 5% commission that was in the listing agreement. Why should you pay this 5% commission if your real estate agent didn’t show the house to a single potential buyer?
answer
There are three types of listing agreements: (1) exclusive sales rights, (2) exclusive agency, and (3) open. Exclusive right to sell means that the homeowner is obligated to pay the real estate agent an agreed-upon commission if the home is sold during the term of the listing agreement. Exclusive agency means that the homeowner is obligated to pay a real estate commission on the sale of the home unless the homeowner names a buyer for the home. Public listings are more common in commercial transactions, where the seller only pays a fee if the intermediary generates a buyer. For example, an office building owner may sign a “first-come, first-served” listing listing with three different brokerages.
conclusion
Most residential listing agreements give you the exclusive right to sell. You should read your listing agreement carefully, but you’ll likely have to pay a 5% fee. However, even in these situations, many brokers are willing to negotiate a reasonable settlement.
