Not really a FSBO

[aprilshowers]

I was wondering if anyone had any advice on our situation. We took a look at a friend-of-a-friend's house the other day, the day before they spoke to the realtor they were planning on listing with. I suggested that they tell their realtor we had seen the property before they listed in the hopes that we could both save some on the commission. I haven't talked to her since then to see how that went. We are working with an agent who is helping us search but we haven't signed anything on the buyer's side and we haven't told him about this new house (he is also our seller's agent and our condo is currently under agreement).

Neither the sellers nor DH and I are the type to sneak behind their backs and try to complete the deal on our own to avoid any commission. I mean, none of us even have any idea how we would go about completing the sale! So, it isn't really a traditional FSBO because we'd both still need the help of the agents to do all the paperwork. But, should we decide to buy, the agents aren't really doing any other work (though our agent has brought us to other properties). Has anyone done this kind of transaction before? What do you think is a fair commission? Have you ever done something where you just paid a flat fee to the agents for doing the paper work? Commissions in our area are 4 or 5% (I think - I should know this, right?!).

I'd love to hear anyone's experiences. I am going to look up the FSBO thread too when I have a moment but I wanted to get this question out there ASAP since if we decide to move forward with it, we'll want to put in an offer before their first open house.

Thanks!

[mamax2]

If the friend of friend's haven't yet signed a listing agreement, you need to ask them to list you as an 'excluded buyer'. *If* you do end up buying the house, no commission would be due (at least per the laws of my state, your state may be different).

If you truly only want help with paperwork - you plan to secure and schedule your own inspector, appraisal, etc. and you will do ALL your own negotiating, then you should just hire a competent real estate attorney instead.

If the house is already listed and you were not listed as an excluded buyer and you choose to buy this home, your seller's are SOL - they are obligated to pay commission whether you or they believe the broker has had to 'do anything' to procure the sale.

[kristin]

We are doing a FSBO right now but have talked to tons of agents. It's seems like what you are doing is totally legit and you wouldn't need an agent but a lawyer to complete the sale if you can agree on a price. In some states, realtors can do all the paperwork, but many states require a lawyer anyway, so if you can just use a lawyer, it makes sense.

A realtor came to our open house last weekend and was dismayed that we didn't have a sign in sheet (we thought it was less pressure). But he said that if we eventually wound up going with a realtor, if a person who saw our home at a previous open house (that we did FSBO) we would have sold the home on our own and then the realtor we were using wouldn't get the commission.

And if you are working with a realtor, but you found this home on your own, I don't think you would be obliged to pay her a commission unless you've signed a contract.

Be aware there are realtors out there who will use strongarm tactics and make you feel very obliged to them. If you have a signed contract, you are obliged to them, but otherwise you are not. Same goes for the sellers.

Hope that helps.

[villanelle75]

When we were selling our agent told us that if we found a buyer before he did his listing and marketing, he'd handle the transaction (offer, paperwork, etc.) for 1%, rather than the 2.5% we negotiated for a full service sale.

I'm sure they could ask their agent if he'd be willing to do something like that if they haven't listed yet.