There is a lot of confusion about how Wilmington Realtors get paid, because it’s not a traditional compensation structure. The details are all outlined in the Working with Real Estate Agents document, which most agents require clients to sign, but when the client receives this varies from agent to agent and even after reading the document, there still seems to be some misconceptions that follow. So, here’s a quick and simple explanation:
The seller pays the commission for both the listing agent and selling (buyer’s) agent.
If you’re a buyer, you may be thinking, “But I hired you, so I should be paying you, right?” When working with professionals, that’s usually the case, but the seller is essentially paying for an agent to bring a buyer for their home. So, it costs you nothing to hire a buyer's agent.
Are there exceptions? Yes. If you want to place an offer on a For Sale By Owner and the owner doesn’t want to pay a buyer's agent’s commission, you will be responsible for it. Very rarely, a traditional seller will agree to only pay the listing agent's commission also making you responsible, but the commission is listed on every property in the Multiple Listing Service (MLS) so you can choose not to make an offer on a home that isn't offering compensation to the buyer's agent.
It's important to know that an agent cannot legally pressure you into putting an offer on any property, because it has a higher commission than another. If you EVER feel pressured, speak to their Broker-in-Charge (BIC). The BIC will help remedy the situation based on any paperwork you've signed.
Have a question about commission? Give us a call or send us a message through our Contact page.