I don't know the answer to this but I definitely want to know. Personally, I think it's ludicrous that any 3rd part negotiator would charge a buyer (not their client) a fee for helping the seller (their client). Seems like a conflict of interest to me.
I agree it seams ludicrous that the buyer would have to pay that fee. However, when the seller has no $$'s and can't pay it, but wants to do a short sale, some one has to pay. It indirectly benefits the buyer, because they et the house. The time spent on paperwork and followup is considerable. Realtor's don't have time to do that, and can't afford to hire it out either. Especially when they are getting less than 6% and than have to split that with a co broke.
I think this is silly too. Third party companies often have too many files to doa good job anyhow! They should pass a law that 3rd party companies need be licensed real estate professionals.
Just to be clear, and I know I'm in the minority..I work both as a Realtor and sepearately as a 3rd party for other Realtors/buyers/sellers. When I work as a 3rd party, I have a signed agreement with the Buyer, stating what the fee is, and that the Buyer will be responsible for it, assuming it is not paid through any buyer concessions, given back by the seller's lender. The problem is when, as with a lot of 3rd partys, no fee agreement is executed, and the fee becomes a "surprise" once you get close to closing, or they start playing games with addendums/HUDs trying to hide the source of their fees. And yes, some 3rd party negotiators, who have no executed fee agreement, will attempt to hold the deal hostage until someone pays their fee. In these cases, I agree the 3rd party negotiator should be cut loose, then shot.
I perform similar services to Wayne as both a broker and 3rd party company for other brokers. As stated above, there are brokers and 3rd party negotiation companies who are great and those who are terrible - it really boils down to the people. I would love to see that 3rd party companies regulated more because it would be great for those like me who are licensed and disclose properly.
AGAIN JUST BECAUSE YOU ARE DISCLOSING SOMETHING DOES NOT MEAN IT IS LEGAL...I COULD DISCLOSE ALOT ...DOES NOT MAKE IT LEGAL BOY YOU ARE SCARY GUY WAYNE BROOKS
Camille, and this is illegal how?