Should You Still Pay Buyer Commissions?

By Arizona Home Group

Sell your home fast and net thousands more. We’ll make sure you get the absolute top market dollar for your home. We’ve helped thousands of buyers and sellers over the past 30+ years with over 200 5-star reviews.

Do you still need to pay a buyer’s agent’s commission? The short answer is no. You should also know that contrary to common belief, commissions were never fixed—they have always been negotiable, but many people didn’t know that. However, as a home seller, there are advantages that you will gain by offering competitive commission rates for buyer’s agents. Today, I will tell you what these advantages are:

First, you should know that recent data shows that 65% of homes across the United States are sold with a buyer’s agent representing a buyer. If you don’t offer to pay a buyer’s agent’s commissions, your prospective buyer will have to shoulder that fee, and this will likely discourage them from buying your home simply because buyers typically don’t have enough money to pay for buyer agent fees considering the costs of buying a home. This means that offering to pay buyer’s agents commission will help your home sell faster and for more money.

By offering to pay buyer agent fees, you will also be able to beat the market competition. Ultimately, paying buyer agent commissions is all about staying competitive. Buyer agents know all the buyers and will be able to market your home to as many buyers as possible. Ask your listing agent what commissions are typically paid to ensure that homes sell quickly and for top dollar. This will help you decide on a competitive offer that will attract more buyers and get your home noticed.

However, there are some upcoming changes to how commissions used to be paid following the Sitzer-Burnett lawsuit. Once these changes are approved, commissions will no longer be advertised on the multiple listing service. Most likely, commissions will take the form of concessions. Buyers might include in their offers a request for the seller to provide concessions towards the buyer’s fees, which the buyer can then use to pay their realtor.

If you have any questions, please don’t hesitate to reach out to us by calling (602)-571-3730. You may also visit our website at www.pheonixmetrohomesearch.com for more information. Please also follow us on our YouTube account, Arizona Home Group as we will be keeping you posted on real estate updates. We look forward to hearing from you!