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From: joe@petsd.UUCP (Joe Orost)
Newsgroups: net.invest
Subject: Re: REALTOR
Message-ID: <350@petsd.UUCP>
Date: Fri, 7-Sep-84 14:47:27 EDT
Article-I.D.: petsd.350
Posted: Fri Sep  7 14:47:27 1984
Date-Received: Wed, 12-Sep-84 03:07:20 EDT
References: <144@analog.UUCP>
Organization: Perkin-Elmer DSG, Tinton Falls, N.J.
Lines: 43

<>

>I am in the process of looking for a new home and would like to know the
>advantages and disadvantages of using a realtor. Some of the questions I
>have are:
>
>Is their a way to write off the commission that a realtor would get if I
>decide not to use one?
	NO

>What is the normal cut that a realtor gets? 
	7% split 4 ways:
		listing salesperson
		listing salseperson's broker
		selling salesperson
		selling salesperson's broker

>Who pays the cut in the long run?
	The seller pays the entire commission.

>Should I expect to get a lower price by not using a realtor?
	It is possible (but illegal) that the seller will raise his ASKING 
	price to try to cover the commission, but you can always offer less, 
	and usually (unless the offer is very low) it will be accepted by the 
	seller.  

	The listing salesperson has the experience to know what a
	house is worth and will not list it at a price that is inflated.
	(The commission is only earned when the house actually sells - at
	the time of closing.)

	Also, the realtor has access to all the local listings, usually on a
	multiple listing service which he/she pays much to belong to.  You will 
	have to do a lot of legwork to keep up with that database.

					regards,
					joe

--
Full-Name:  Joseph M. Orost
UUCP:       ..!{decvax,ucbvax,ihnp4}!vax135!petsd!joe
US Mail:    MS 313; Perkin-Elmer; 106 Apple St; Tinton Falls, NJ 07724
Phone:      (201) 870-5844