Recently, one of the tenants living in a 440 West unit managed by, Andrew Cherry, asked why they should use SeaSide Spot’s buyer services for the purchase of their future condominium verses contacting the seller’s agent directly. The tenants were under the impression that contacting the selling agent directly would somehow save them money with regard to commissions.
A) When using the Multiple Listing System, the same percentage of commission will be paid by the seller regardless of the sales price and regardless of how many brokers or agents are involved in the transaction.
B) The listing agent pre-negotiates a percentage of the sale price as the stated commission. This percentage is agreed upon in writing and in advance regardless of the actual sales price. In the example listed above the condo was listed for 299K and the listing agent had a 6% exclusive listing, meaning that no matter what the sales price, the listing agent’s broker would receive 6% minus any co broke fees. The standard MLS listing agreement, which must be used when listing on the multiple listing system, clearly states and pre – negotiates any co brokerage split allowed by the seller. Per the listing agreement, buyer agent commission must be deducted from the pre determined listing broker’s commission when a property is listed on the MLS. Therefore, the same percentage will be paid by the seller regardless of the sales price and regardless of how many brokers or agents are involved in the transaction.
B) The listing agent has a fiduciary relationship with the seller and therefore according to Florida Statute 495, must work on behalf of the seller’s best interest and not the best interest of the buyer, other agent, or brokerage office.
C) Andrew Cherry, when working in the capacity of a buyer’s agent, is committed to protecting buyer(s) from making crucial mistakes that could cost thousands of dollars, such as errors in escrow, errors in property inspection, errors in real estate contract, and errors with regard to title.
D) Listing agents are committed to creating seller friendly contracts, meaning contracts where the seller financially benefits by forcing the buyer to pay additional closing cost.
E) Andrew Cherry protects buyers by negotiating closing cost with the listing agent, thus resulting in a fair trade.
F) When a bona fide tenant residing in a unit managed by Andrew Cherry purchases a piece of real estate and uses Andrew Cherry’s real estate services to complete and close the transaction, Andrew Cherry will cover any expense related to terminating the lease agreement. This saves buyers thousands of dollars and ensures that responsible tenants have the ability to recapture deposit and last month’s rent.