But all they ever say is find the deal and we'll cut you X%...no paperwork, no written agreement, just verbal with the expectation of payment which leads me to believe that everyone is paying under the table.

On top of that if they do somehow get lucky enough to cross the closing line with this buyer traditional logic would dictate that it would take at least double or triple the amount of time it could take that agent to close with a client who is looking at homes in their price range which would cut their hourly pay in half or into thirds.

I would also suggest if possible, you find ways to cut your expenses. 

For example, you might find that the $900,000 the seller needs is just to cover his mortgage so he can cut the properties loose and move to retirement.

But, for every one of you that is smart enough to know to ask that, there are 10 buyers who find things on Zillow and call the listing agent directly who would never know to ask to cut the commission.

Our tenants also each have a "laundry alcove" with  washer and dryer hookups and a scissor gate.

Cut grass, wash windows, gardening, what ever your community needs. 

So now, I need to figure out the best way to cut scope and come under budget.

Or your cutting corners somewhere.. there is a term called lipstick on a pig.. this is what could be happening to get to that price point..

I realize it sounds crazy, but outside of getting a civil engineer to develop site plans it is fairly cut and dry.