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Do FSBO sellers have to pay realtor fees?

Generally speaking, for sale by owner sellers will pay realtor fees – either directly or indirectly. Most commonly, the buyer’s agent will also ask you to cover the agent’s commission. Because there is no listing agent, the commission asked is usually half of the traditional six percent commission because there is only one agent involved. If a for sale by owner wishes to avoid paying the commission directly, the buyer will be required to pay the agent out of pocket. As a result of this expense, the offer will usually ask for a “credit” to the buyer to pay the buying real estate agent’s commission at closing. In this case, the credit is a concession for the agent’s commission that comes out of the proceeds of your sale.

In real estate, fees cannot be avoided. That’s why companies with 1.5% listing fees like Clever are increasing in popularity among would-be FSBO sellers.

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