By now, you’ve probably heard it’s a duplex buyer’s market.
You’ve also probably heard there are so many houses and duplexes for sale that it’s difficult to make a decision. So, as you consider buying a duplex, you want to see everything that’s on the market– so you’re sure you find the very best one.
So you look at 20. Or even 30.
Then you change your mind and decide you want to move in with your girlfriend and see how that goes before you buy a thing.
Believe it or not, this happens a lot.
And that’s why many of the Realtors I know are requiring clients to put up a retainer fee before they take them out to look at duplexes. In turn, the agent agrees to give them a credit for that amount when they purchase a property.
Realtors are independent contractors. They are not paid a salary, nor are they reimbursed for their expenses. They earn a check only when one of their clients successfully buys or sells a duplex.
Now, buyers don’t usually have to pay a Realtor a thing. Their agent is compensated through a commission that comes from the seller’s real estate broker.
However, because there is the perception that there is so much on the market, and so much more coming, buyers are less motivated and committed than they’ve been in the past. And they’re costing Realtors much more time and money; especially if they change their minds.
What do you think? Would a retainer fee keep you from buying a duplex?