very good question...I was actually wondering the same thing...
if you find the deal yourself, then its all good...
but if you are trying to work a deal with somebody that is on the MLS, then how would an agent get paid, since techniquely it is being bought down the road, and not at the moment?
__________________
~TAKE ACTION AND THINGS WILL HAPPEN~
***Something to Believe In***
"If you want something, GO GET IT...PERIOD" Will Smith
***"I CAN'T IS NOT A EXCUSE...IT JUST MEANS YOU WON'T"***
"Obstacles are those frightful things you see when you take your eyes off your goal" Henry Ford
~"Success doesn't come to you...You go to it" Marva Collins~
I will try to answer your question with a ( but read on) statement.
To answer your question the realtor will get paid once the property is actually purchased by you or purchased through you to your end buyer. It might be one month, 3 months, 8 months, or 15 months after signing the original lease agreement.
Now why would your realtor want to make this deal with you and wait for the money you ask- they probably wouldn't.
That's why you don't want to use your realtor.
What you do want to do however is use the sellers realtor. Offer him\her double commission. Once when the house sells from you to the original seller and another when your buyer purchases the house from you. This is their incentive for waiting those 3,8, or even 15 months.
Hope this helps Ken
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-You Cannot Plough A Field By Turning It Over In Your Mind-
you generally want to do these on FSBO properties not MLS listings. You can negotiate with your agent what you would be willing pay them for helping you. They maybe help you find expired or withdrawn MLS listings that haven't been relisted with another agent. Otherwise negotiate the deals yourself to save on agent fees. With MLS listings the Listing Agent is expecting to be paid for their services and the Buyer's agent as well when they bring an able and willing buyer.
janj95 wrote:
Reading Dean's Millionare book it discusses doing Lease Option/Purchase for props. When I do this, how/when does my realtor get paid?
Thanks,
Jan
__________________
"I will NOT BE BROKE! ANYMORE!"
In the name of Allah, the Beneficent,
the Merciful.
22.He is Allah besides Whom there is no God: The Knower of the unseen and the seen; He is the Beneficent, the Merciful.
23. He is Allah besides Whom there is no God: the King, the Holy, the Author of Peace,the Granter of Security, Guardian over all, the Mighty, the Supreme, the Possessor of greatness. Glory be to Allah from that which they set up (with Him)!
24. He is Allah: the Creator, the Maker, the Fashioner: His are the most beautiful names. Whatever is in the heavens and the earth declares His glory: and He is the Mighty, the Wise.
Thanks for the help. Finding props 20-40% discounted is proving to be near impossible in so. CA. I thought lease/purchase at 10-15% might be more attractive to sellers!
I agree with Atlcamel. It's very difficult to go through a realtor to do a Lease/Purchase. I'm not saying it can't be done, but the realtor would not want to wait for a year or two to get their commission. That's why it's important that you deal with FSBO. That's the best way to go and also you can negotiate directly with the homeowner rather than go to an agent. I hope this help!
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very good question...I was actually wondering the same thing...
if you find the deal yourself, then its all good...
but if you are trying to work a deal with somebody that is on the MLS, then how would an agent get paid, since techniquely it is being bought down the road, and not at the moment?
~TAKE ACTION AND THINGS WILL HAPPEN~
***Something to Believe In***
"If you want something, GO GET IT...PERIOD" Will Smith
***"I CAN'T IS NOT A EXCUSE...IT JUST MEANS YOU WON'T"***
"Obstacles are those frightful things you see when you take your eyes off your goal" Henry Ford
~"Success doesn't come to you...You go to it" Marva Collins~
I will try to answer your question with a ( but read on) statement.
To answer your question the realtor will get paid once the property is actually purchased by you or purchased through you to your end buyer. It might be one month, 3 months, 8 months, or 15 months after signing the original lease agreement.
Now why would your realtor want to make this deal with you and wait for the money you ask- they probably wouldn't.
That's why you don't want to use your realtor.
What you do want to do however is use the sellers realtor. Offer him\her double commission. Once when the house sells from you to the original seller and another when your buyer purchases the house from you. This is their incentive for waiting those 3,8, or even 15 months.
Hope this helps Ken
-You Cannot Plough A Field By Turning It Over In Your Mind-
you generally want to do these on FSBO properties not MLS listings. You can negotiate with your agent what you would be willing pay them for helping you. They maybe help you find expired or withdrawn MLS listings that haven't been relisted with another agent. Otherwise negotiate the deals yourself to save on agent fees. With MLS listings the Listing Agent is expecting to be paid for their services and the Buyer's agent as well when they bring an able and willing buyer.
Thanks,
Jan
"I will NOT BE BROKE! ANYMORE!"
In the name of Allah, the Beneficent,
the Merciful.
22.He is Allah besides Whom there is no God: The Knower of the unseen and the seen; He is the Beneficent, the Merciful.
23. He is Allah besides Whom there is no God: the King, the Holy, the Author of Peace,the Granter of Security, Guardian over all, the Mighty, the Supreme, the Possessor of greatness. Glory be to Allah from that which they set up (with Him)!
24. He is Allah: the Creator, the Maker, the Fashioner: His are the most beautiful names. Whatever is in the heavens and the earth declares His glory: and He is the Mighty, the Wise.
Thanks, I thought it wasn't good for my realtor.
Jan
Thanks for the help. Finding props 20-40% discounted is proving to be near impossible in so. CA. I thought lease/purchase at 10-15% might be more attractive to sellers!
Jan
I agree with Atlcamel. It's very difficult to go through a realtor to do a Lease/Purchase. I'm not saying it can't be done, but the realtor would not want to wait for a year or two to get their commission. That's why it's important that you deal with FSBO. That's the best way to go and also you can negotiate directly with the homeowner rather than go to an agent. I hope this help!
Lloyd
Marva:
Turns out it's not good for my realtor...only FSBO deals!
Jan