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Reply to "Sellers, pls stop offering pay buyer's agent commission! "
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[quote=Anonymous][quote=Anonymous][quote=Anonymous]Why not offer to pay Buyer's commission...but of course, you would expect that Buyer to submit a higher offer compared to a buyer where you aren't paying the commission. Certainly, there is value to a Buyer to be able to wrap that commission into a mortgage payment vs. paying cash out-of-pocket via hourly rates or a lump sum at closing. [/quote] Lots of people will wrap the commission in the mortgage. Whether or not the seller pays the buyer commission totally depends on the overall offer and the competitiveness of the market. If list is $1 million and you want me to pay your buyer commission of 2% and you offer me $1,020,000, I’ll pay that commission. However, if someone else offers me the same amount with no request to pay a buyer commission, you’re going to lose. [/quote] Will lenders allow borrowers to finance this amount? There are limits on how much you can finance that is NOT the principal of the home. [/quote]
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