Contract Question for Sellers Agents

[TC Scott]

Have you ever had a buyer present you with a contract asking you for concessions? 

Assume you never met them at the property, and fielded 1 phone call from them. The next day you get a RE State promulgated contract from them for full ask, but they want you to pay 2% towards their closing costs.

Let's say it's a 500k house and the listing agreement is for 5%, with 2 to the sellers agent.

Looking to hear some expert takes on this scenario.

TC

[Peter Mckernan]

Quote from @TC Scott:

When selling a house as you know the fees typically come from the seller's net proceeds (commission, closing costs etc.). So, if you are taking 2% of the 5% from the listing commission, it would not come from the agent, the agent has the contract with the seller for the 5%. It (2%) technically would be coming from the seller by reducing the 5% to 3% and then you get a closing cost credit for 2% at COE. Agent gets paid from the net proceeds unless the seller is unwilling to pay the buyer agent fee/commission, which in this case you do not have an agent; that agent would ask (if they were representing you) for the buyer/you to pay them their commission from a buyer broker agreement (if the seller was not paying commission).

So it's the same difference, the seller will pay it (2%), and the agent will not come out of pocket for it. It will be structured as the seller's concession to the buyer of 2%, then the agent gets 3%, or whatever the seller agrees to pay that agent after the 2% goes to you. The agent will not be paying you/seller/buyer because the agent does not bring money to the seller/buyer in any fashion in a transaction (typical transactions), unless this agent is a partner to that person buying the property, or they are a principal to the property.

Let me know if that makes sense.