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with a quick sale, do I pay realtor commission in Michigan?
Asked By Sarah Rossell | Lansing, MI | 769 views | Selling | Created 2 years ago
Answer(4)
Chris Yochum
Dickson Realty
Length of time it takes to sell a home is not usually a factor. It is best to read the contract you have agreed to so you have a thorough understanding.
- 2 years ago
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Bob Fall
Century 21 Lee-Mac Realty
Hi Sarah! I am a Realtor in Michigan. A typical exclusive right to sell contract usually dicates that the brokerage is owed a commission for the sale of the property no matter who purchases it. In a typical exclusive agency listing contract the brokerage is owed a commission IF they bring a buyer. There are also one party listing agreements that are common among "for sale by owners" that are dealing with a buyer agent; in these the commission is negotiated before the offer is presented.
The speed of the sale is not relevant in determining if a broker is owed a commission unless the contract has expired.
I hope this helps answer your question. Make today great!
The speed of the sale is not relevant in determining if a broker is owed a commission unless the contract has expired.
I hope this helps answer your question. Make today great!
- 2 years ago
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Jeff Duneske
Keller Williams Advantage
In Michigan, who pays the real estate commission depends on how the home is sold and whether an agent is involved in the transaction.
1. If You Listed with a Realtor
If you signed a listing agreement with a Realtor®, then yes, you’ll typically owe the commission outlined in that agreement, even if the sale happens quickly.
The commission is always negotiable.
It’s paid from the proceeds at closing, not out of pocket upfront.
So even in a fast sale, your Realtor still earns their fee because they marketed, negotiated, and facilitated the deal that got your home sold.
2. If You Sell Without an Agent (For Sale by Owner or Direct to Investor)
Suppose you sell your home on your own or directly to a buyer or investor without listing it. In that case, you typically don’t owe a Realtor commission, unless you separately agreed to pay a buyer’s agent who brought the buyer to you.
However, in those cases, the buyer may expect a discount on the purchase price since no agents are being paid.
3. In Some Quick or Off-Market Sales
Suppose your agent brings you a buyer directly (before public marketing or listing). In that case, most listing agreements still state that commission is earned once a ready, willing, and able buyer is procured, even if it happens fast.
The Bottom Line
Yes, in most quick sales handled by a Realtor, commission is still paid at closing as part of the normal process.
That said, a quick sale often means you’re saving time, stress, and carrying costs, which can balance things out financially.
1. If You Listed with a Realtor
If you signed a listing agreement with a Realtor®, then yes, you’ll typically owe the commission outlined in that agreement, even if the sale happens quickly.
The commission is always negotiable.
It’s paid from the proceeds at closing, not out of pocket upfront.
So even in a fast sale, your Realtor still earns their fee because they marketed, negotiated, and facilitated the deal that got your home sold.
2. If You Sell Without an Agent (For Sale by Owner or Direct to Investor)
Suppose you sell your home on your own or directly to a buyer or investor without listing it. In that case, you typically don’t owe a Realtor commission, unless you separately agreed to pay a buyer’s agent who brought the buyer to you.
However, in those cases, the buyer may expect a discount on the purchase price since no agents are being paid.
3. In Some Quick or Off-Market Sales
Suppose your agent brings you a buyer directly (before public marketing or listing). In that case, most listing agreements still state that commission is earned once a ready, willing, and able buyer is procured, even if it happens fast.
The Bottom Line
Yes, in most quick sales handled by a Realtor, commission is still paid at closing as part of the normal process.
That said, a quick sale often means you’re saving time, stress, and carrying costs, which can balance things out financially.
- 3 months ago
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Lindsey Flynn
Century 21 Signature realty
Hi Sarah- it depends on whether you hired a REALTOR and what your contracts state.
- 1 year ago
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