WHO PAYS THE BUYER'S AGENT'S COMMISSION?

Posted by Dan Kennedy on March 14th, 2024

Real estate commissions in Utah are a hot topic of conversation lately. Commissions are always great click bait and they can make for interesting headlines and news stories. Understanding just how it works can be tricky. Many buyers and sellers jump into the market without a full understanding. Let us pull back the curtain for you!

In Utah, there is no standard or set way of paying a commission. There are no set amounts of a standard commission that a buyer or seller must pay. It's always negotiable. The most common way of paying commissions in Utah goes something like this... A listing brokerage who represents a seller agrees to sell the house at a certain commission amount. A portion of that commission may be offered as cooperative compensation…

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Who pays the commission?

Posted by Dan Kennedy on July 26th, 2018

Who pays the buyer's agent's commission?

If you're buying a home and working with The Kennedy Group as your Realtors 99 times out of 100 you will NOT end up paying the buyer agent fee. It comes out of the proceeds of the seller of the house. This is a common misconception held by many buyers, especially first-timers. 

The real estate agent's commission is an agreement between the seller and the listing brokerage, which is then shared with the buyer's agent who brings a buyer to the table. When the sellers and their agent are negotiating terms of listing, they are also discussing the total compensation the sellers will be paying both the buying and selling agents. A buyer going straight to the listing agent or home builder is not a guarantee to…

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