Special offer

You are charging me a fee for what?

By
Real Estate Agent with Berkshire Hathaway Home Services Fox & Roach, REALTORS - Exton - PA License #RS-225179-L / Delaware License #RS-0025038 225179

I know the real estate climate is still settling in and changes and even surprises are bound to happen

Yesterday I had a Buyer go to a new construction development, Applecross in Downingtown. This is a Pultie Builder site and when we went to sign in I see that Pultie is charging me, the Buyers Agent, a $200.00 administration fee from my commission.

When I asked the Builder's Agent what services exactly I was being charged for.....that I did not ask for......he replied, yea I know, we are being slammed over the charge.

Again I inquired, what is the charge for? He stated that he saved me the time to prepare the paperwork. I replied, that I have not choice but to use your paperwork and since when do you charge for something you have to do?

 

My Buyer is getting a good deal, I negotiated well and got some extra money and perks, yet this is nothing that can be justified. When asked about it being removed, the answer was no and that it is part of the way they do business now.

Has anyone else had a similar interaction? Is it just that I have not had a new construction Buyer for a while that I am not up to speed w/the industry?

I do not mind paying for services I need, require, ask for and most importantly......KNOW what they are.....am crazy?

Rosemary Brooks
BMC Real Estate - 209-910-3706 - Stockton, CA
The Mother & Daughter Realty Team

Good morning Dan, nice picture of you.  Nice article.  Nowadays everyone is charging a little bit more and more for every thing under the sun.

Oct 11, 2012 12:33 AM
Sharon Parisi
United Real Estate Dallas - Dallas, TX
Dallas Homes

Dan, I have not heard of this in our market area.  Lat week, I spoke to an agent who exclusively sells new builds and he did not mention this.  It will be interesting to see other comments.

Oct 11, 2012 12:38 AM
Dan Hopper
Dan Hopper - Gold Way RE - Westminster, CO
Colorado Broker / Referral Services

Dan, it does not surprise me of the nickel and dime costs by any party to the transaction, anymore.  No different the the contract admin commissions that some of the real estate companies charge, as well.

Oct 11, 2012 12:39 AM
Candy Miles-Crocker
Online Real Estate Agent Training - Chevy Chase, DC
Realtor - Real-Life Real Estate Training

Dan, I've never heard of such a policy.  In new construction we must use the builder's contract so I don't understand how this is saving me time.  Interesting concept, I'm willing to bet that we will be seeing more small fees like this.

Oct 11, 2012 12:41 AM
Shannon Milligan, Richmond VA Real Estate Agent/Associate Broker
RVA Home Team - Richmond, VA
RVA Home Team - Winning with Integrity.

I haven't heard of it either and think it is a practice that will back fire on them. Matter of fact, one of our big builders just increased our COMMISSION and I am sure they are getting more business because of it. THAT'S how to do business.

Oct 11, 2012 09:53 AM
Daniel J. Brudnok, REALTOR
Berkshire Hathaway Home Services Fox & Roach, REALTORS - Exton - PA License #RS-225179-L / Delaware License #RS-0025038 - Downingtown, PA
SRES, e-PRO,ABR,GREEN,CSP

Hi Rosemary,

Thanks for stopping by......I just wish I knew what I was being charged for!!!!!

Oct 11, 2012 11:02 PM
Joy Daniels
Joy Daniels Real Estate Group, Ltd. - Harrisburg, PA

There are quite a few of these types of communiites in our area that require THEY DO THE PAPERWORK. . .honestly I think it's great, but if they wanted to charge me $200 I think I too would need to know "WHY?"  I can do paperwork!

Oct 14, 2012 03:06 AM
Daniel J. Brudnok, REALTOR
Berkshire Hathaway Home Services Fox & Roach, REALTORS - Exton - PA License #RS-225179-L / Delaware License #RS-0025038 - Downingtown, PA
SRES, e-PRO,ABR,GREEN,CSP

Hey Sharon,

I just do not see the point.....and no other Builder is doing it here that I have found either.

Oct 16, 2012 11:26 PM
Daniel J. Brudnok, REALTOR
Berkshire Hathaway Home Services Fox & Roach, REALTORS - Exton - PA License #RS-225179-L / Delaware License #RS-0025038 - Downingtown, PA
SRES, e-PRO,ABR,GREEN,CSP

Hey Dan,

I get charging a fee, but no explanation as to what it is for?  If it is for the Agreement.....HELLO, it is your agreement that you insist be used.

Oct 16, 2012 11:30 PM
Daniel J. Brudnok, REALTOR
Berkshire Hathaway Home Services Fox & Roach, REALTORS - Exton - PA License #RS-225179-L / Delaware License #RS-0025038 - Downingtown, PA
SRES, e-PRO,ABR,GREEN,CSP

Hey Candy,

I am sure it is only the beginning too.

Oct 16, 2012 11:35 PM
Wayne Johnson
Coldwell Banker D'Ann Harper REALTORS® - San Antonio, TX
San Antonio REALTOR, San Antonio Homes For Sale

Dan-I've not been faced with that admin fee here. About half my sales a new homes with multiple builders.

Oct 23, 2012 01:13 PM
Kwee Huset
Kwee Huset Realty - Venice, FL
Venice Florida Homes For Sale

Hi Dan, I have not come across this situation. However there are some listing agents charged extra in the resale market.

Oct 30, 2012 11:52 PM