Buyer’s Broker Commissions - What should I offer?
In a typical full service broker real estate sale, the seller pays the listing broker 6%, who shares half of that, or 3% with the buyer's broker. Part of the agreement when you list on a Multiple Listing Service (MLS) is that you are stating up front how much the sale of your home will pay a cooperating buyer's broker. With HomeLister, you get to decide how much you are willing to pay a buyer's broker.
When creating your listing, you choose how much commission you are willing to offer to a buyer’s broker upon closing if that broker brings you a buyer and helps you to close the deal. Offering any amount above 2% will not deter buyer’s brokers from showing your home. Offering less than a 2% commission to a buyer’s broker will reduce the number of brokers who suggest showing the home to their clients.
It is important to note that you never have to accept any offer.
If you aren’t sure whether you want to pay a buyer’s broker commission, we recommend offering 2% and then you can compare the offers made with brokers and without and see which one gives you more cash at closing. Even if you offer a 2% buyer’s broker commission, you can choose not to accept an offer through a buyer’s broker if you do not get the cash you need out of the deal. You can still receive offers without brokers and compare how they benefit you financially.