How people buy and sell real estate has changed a great deal over the past 10 years. The general public has more access to information than they did before, and technology has changed the game.
At the same time, it is generally misunderstood how Brokers are compensated for helping their clients purchase a home. If it’s a property listed on the multiple listing service, which syndicates to public sites like Zillow, Redfin, Realtor.com, etc., the listing Broker has negotiated a commission rate with the home seller, typically between 4-6% of the final selling price. In order to gain more traffic to the listing, that listing agent offers what is known as a “co-op” fee to all subscribing Brokers, usually 2-3%, in hopes that the Broker pool will bring a qualified buyer. If the sale closes, that buyer’s Broker receives the co-op fee, and the buyer does not generally need to compensate their agent any further. Some buyer’s Brokers require their buyer to pay their own fee. It’s totally negotiable.
As a buyer’s Broker, the most time-consuming part of the process is locating the homes that fit your criteria, setting up appointments, and showing the properties. What we as Brokers have noticed is that sometimes our clients are actively involved in finding their dream home, as they have access to most of the same information that we do. Sometimes the client finds the home, and after viewing the home at an open house is ready to write an offer. Needless to say, that saves us a considerable amount of time, and we feel it’s only right to show our appreciation to those clients who do so by sharing our commission with them. Although the buyer’s participation is never expected or required, it’s simply an option for our buyer clients that do want to be involved in the process, to share in the fruits of their labor. If you want to be involved in the process, and you save us time by doing so, we’re going to reward you accordingly. The amount of the reward will depend on your level of involvement and how much time it saves us.
For example, if you’re a hands-on kind of person who has done the following:
*met with a lender and gotten pre-approved for financing.
*found your dream home online.
*attended an open house to confirm it’s the right house for you. (with or without us)
*are ready to write an offer.
You’ve just saved us a considerable amount of time, and we will reward you accordingly by rebating a large portion of our commission at closing. The amount of the rebate will be determined by several factors, but mostly by how much time you save us. Our average home buyer client that participates in our exclusive program this year will receive $2,812.00, but it could be $5,000 or more.
By the end of 2019, we expect to have rebated to those participating buyer clients over $200,000!
Again, we have no problem doing it all for you, we’re simply making the offer to those home buyers who would like to participate and in turn be well-compensated for it. There’s never a requirement to do so.
Rest assured that if you agree to participate, you will have a written agreement, signed by us, that guarantees your payment at closing. We have over two decades of experience helping home buyers just like you. Let us show you how we’re different.