Realtors...

[FLMIKE]

I'm closing on a new construction condo in Nashville- I'm not using a realtor but originally called the listing agent to get info on the it. The listing realtor did absolutely nothing and recently asked me to sign a paper that indicates that she will receive 6% comission. I have no problem with her getting 3% but why would she receive 6% when she is not my realtor nor represent me?

[monsoon]

Generally its the seller that pays the commission, not the buyer. You should not have to pay anything.

[FLMIKE]

I'm not paying her directly yet indirectly through the cost of the condo. Typically, a realtor listing agent - would receive 3% and the buyers agent 3%. In this case since I did not have someone represent me, she is taking the entire amount ? Isn't this unethical?

[Guest]

'FLMIKE"

Standard practice in real estate. If you wanted to claim the 3% off the price of the condo it needed to be spelled out in the contract. BTW I have learned the hard way that it is worth getting an agent...as you said the developers agent is just protecting his/her interest.

[monsoon]

I'm not paying her directly yet indirectly through the cost of the condo.  Typically, a realtor listing agent - would receive 3% and the buyers agent 3%.  In this case since I did not have someone represent me, she is taking the entire amount ?  Isn't this unethical?

<{POST_SNAPBACK}>

No it is not unethical. As mentioned above it is standard practice. As the buyer you should never see that cost as this is an arrangement between the seller and the real estate agent they hired to sell the property. The seller is going to pay 6% regardless. If another agent comes in then there is an agreement between the agents where they split the 6% booty. But it will not effect the amount the seller has agreed to pay nor that cost that gets indirectly passed on to you.

The agent BTW normally does not get all of the money as her agency will get most of it. Of the 3%, normally the agency gets 1.5% to 2% and the agent gets the remainder.

If you were a licensed real estate agent in the market, then you could represent yourself and get the 3%.