I was just offered a “$2000 Realtor Bonus on Move-in Ready Homes”

Real Estate Brokers should be transparent regarding compensation.



Cary Real Estate Topics

 

It just came across in an email:  "$2000 Realtor Bonus on Move-in Ready Homes"
How does that benefit my Buyer clients?  If I am given a financial inducement "or bribe" to drag them out to a new home neighborhood, am I taking them out because the property suits them, or because the bonus suits me?
Should they wonder about it?

Now, in North Carolina, it is required for a REALTOR® to disclose any compensation in addition to that predicted in the Buyers Agency Agreement.  That disclosure must be done prior to writing an offer, and preferably when initially showing the property.
We REALTORS® even have a document to document the disclosure, Form 770.
It isn't a matter of tripping over nickels and dimes, but of additional compensation in the form of bonuses, high Buyer Agent co-broke commissions, and spiffs like Ipads, points that let me build a higher commission for multiple sales or earn a cruise, or other attractive inducements.
It all seems to present great opportunity for conflict of interest for the agent.

The cure?  Bonuses and other inducements are here to stay.  So, I think it is incumbent on real estate brokers to be transparent regarding their compensation, comfortable in discussing it, and willing to answer client questions regarding compensation. 


New NC disclosures on agent compensation

As of October 1, 2008, there are new disclosure requirements in North Carolina for real estate agents regarding commissions, and “Additional Compensation.” Continue reading “New NC disclosures on agent compensation”