Realtor commission based on MLS list price or purchase price?

[Jenny T.]

Putting an offer on our first rental property and my buyer's agent has put in the contract that her commission will be... "3% of the purchase price or the MLS listing price, whichever is greater." Is that typical?

The listing notes that the seller will pay the buyer's agent the standard 3% commission, but I'm assuming that is based on the purchase price. If that is, in fact, the case, I would be responsible for paying the difference in the commission rate, since the sales price would be lower than the list price.

Am I interpreting this correctly?

Thanks! 

[Ryan Dossey]

Yeah.... I would probably look for a different agent.. As a buyer's agent they should be out to help you not give you grief.