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Reply to "Why do sellers still offer 2.5% to buyers' agents?"
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[quote=Anonymous][quote=Anonymous]OP, you have the risks exactly right. Buyers' agents have lots of influence over buyers, so you don't want to do anything to anger them. Why do you think there are so many escalation clauses and waived contingencies? You really think buyers want to do those things? It's the agents encouraging them. So unfortunately, you really need to give them 2.5% to keep them happy and so that they encourage their clients to do dumb things like put in escalation clauses and convince themselves that it's OK for four bedrooms on the upper level to share one closet-sized bathroom. If you're going to save on commission, do it with the selling agent.[/quote] Thanks. I suspect you are correct. As a buyer, I can't imagine bidding or not bidding on a certain house because of what an agent said, but I could see how some buyers could be swayed to waive contingencies or add an escalation clause by an agent seeking a larger paycheck.[/quote]
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