Negotiating W/ The Seller's Agent...
I'm about to put an offer on a multi-family, and I'm not using an agent.
I spoke with Century 21, the home seller's listing realtor, and they charge a standard 6% commission.
My propostion is to stike a side deal with the seller's agent, asking for 1% of their commission at close to cover my closing costs?
In theory, that would still leave the agent and Century 21 with 5%, since they don't have to pay a buyer's agent.
Has anyone used this tactic successfully?
Also, are there any other creative ways to negotiate with the seller's agent, considering I'm not using a buyer's agent?
Thanks,
Ken
For one thing I doubt 1% would be nearly enough to cover closing costs. I'd lean more towards 2-3%. An average is "2% + $1200"
In my state and probably in your state it is ilegal for a Realtor to split their commision with any one but another realtor. However I am sure they could pay closing costs, or if they are real jerks ask a buyers agent what he'll do for you if you drop an easy deal in his lap. If you have a buyers agent the sellers agent will have to split his commision in half (give 3% to buyers agent) if you use that knowledge to your advantage you might be able to swing something with them. Good Luck.
Josh
[addsig]
Two thoughts here..
If you have already been shown the property by the seller's agent, it may be too late to bring in an agent representing you with that agent getting any compensation from the seller.
Why not put in the contract that the seller will give you a credit of X$ at closing? The amount of commission the seller pays the listing agency is something to be negotiated between them. You can get a seller's credit, the max. amount depends on your mortgage co's requirements. Throw that out there and see what happens.