How Much Does It Cost To Hire A Realtor?

Q: My fiance and I are moving to the Akron, Ohio area and are leaning towards renting for a year before we buy a house (in order to get to know the area). We need help finding the perfect place and were considering seeking the help of a Realtor. We were wondering how much does it cost to hire a Realtor?
–Kendra, Blacksburg, VA
A: A Realtor’s® compensation is 100% commission based and they do not receive any pay for the work they do until a sale is made and escrow is closed.
The seller pays commission to the listing agent through escrow and it is usually divided in this manner:
• The listing agent is the one who aggressively advertises and promotes your home, helps you choose a competitive asking price, determines a profile of buyers, coordinates opportunities for agents and buyers to view your home, coordinates the preparation of all the necessary paperwork until the sale is closed.
• The buyer’s agent is the other party who will bring the prospects. To encourage agents to do this at least 50 % of the commission is paid to the buyer’s agent.
• The balance is paid to the listing agent (who works for you, the seller). 30% – 50% of the listing agent’s cut is paid to the agent’s broker as part of the office “split”. This covers the Broker’s overhead expenses.
So, a Buyer’s Agent will:
• Provide neighborhood information on shopping, schools and much more.
• Search all Multiple Listing Services daily for the right home based on your criteria.
• Provide immediate notice of new listings via E-Mail, FAX or Phone.
• Coordinate opportunities for you to view homes you select from inside and out.
• Negotiate on your behalf to bring about the best possible purchase contract.
• Assist you in obtaining financing.
• Coordinate the preparation of all the necessary paperwork on timely basis all the way through to a successful closing.
• Provide Caring Assistance and Peace of Mind!
And, all this service is free to the buyer. Engage a Realtor to go to work for you today!
Lee Dworshak is a Realtor® with Keller Williams LA Harbor Realty in Rancho Palos Verdes, CA.
A: The buyer does not pay commission – it comes from seller’s side of the deal so go ahead and hire a Realtor (in the area that you are moving in). Renting in the new location before buying makes sense. George Szkup is a Realtor®  in Tucson, AZ.

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