Understanding Who Is Responsible in Paying Real Estate Commission Fee
In most cases, the salary of the real estate agent is from the commission fee that they charge for the services that they offer their clients. The big question is who is responsible in paying the commission fee where the dilemma is the seller or the buyer of the house. As you plan to purchase a new house using realtors it is vital that you get to know if there is an additional amount of money you are supposed to pay as a fee besides the value indicated. Thus, if you don’t have an idea of who is to pay the real estate agent commission fee you will be directed in this article.
Whether you are purchasing or selling a home it is vital that you get to know the real value of the property inclusive of the commission fee. Typically, the commission fee will comprise the amount of money that the buyer or the seller will have to pay the realtors to be offered fast services. The commission fee that is charged in most cases finds lots of the buyers and sellers unaware since it is an agreement and realtor will charge a certain percentage of the real value of the property.
Nevertheless, the seller of the home or the house will be the one to cater for the commission fee that the real estate agent will need from the proceeds. Here you have to understand that there are several realtors that are actively involved in selling your property hence the commission fee that you will be charged will be shared amongst them but there are other ways you can use when selling a house.
In addition, the commission fee that is charged by the real estate agent it is negotiable and you will have to agree with the realtors before the listing of your house. In some instances, you can find the real estate agent representing the buyer and seller and this can be dangerous as you can end up paying high commission and that is why lots of states prohibit such a practice. The main objective of the real estate agent will be to sell your property at a higher price so that the commission fee can be high.
On the other hand, the buyer will have to pay the fee as well sine will have to sign an agreement contract that will require the help of the real estate agent. Therefore, as you sign the agreement it is essential that you get to know the type of the agreement that you are signing since they are different and you might end up making unnecessary payments.