Home buyers seem to be confused about buyer commission rebates. When a home is listed for sale, the seller agrees to pay the listing agent a commission (most typically these days around 5%). The listing agent than offers half of her or his commission to any agent who brings a buyer who purchases the house. On a $1,000,000 home, the dollar amount offered to the buyer's agent is about $25,000. So if you feel guilty that your agent drove you around to look at 10 homes last week: Don't be. They stand to earn $1,000 per hour as a tour guide!
If you write an offer on a home with a traditional agent, the agent will collect the fee paid by the seller, and you pay nothing. Hey, a free buyer's service sounds pretty good right? Not when the alternative is having the agent share that $25,000 with you the buyer!
At CataList Homes, we understand many home buyers don't need a $1,000 per hour taxi driver and prefer to manage part of the house-hunting on their own in exchange for part of the commission. So our buyers get MLS access, preview the homes first and then we get them inside for viewing. When ready to write the offer, our local office will manage the offer and negotiation process through the close of escrow. The only thing our buyer clients don't get is an expensive ride in the agent's Mercedes.