While ‘Seller-Financing’ and ‘Realtor’ are options rarely considered together, they work well through RealtyPact to help Sellers get many types of properties sold.
Seller-Financing is typically associated with For-Sale-by-Owner (FSBO) Land Contract properties. And in most FSBO Land Contract situations, that means the property owner must do all the “selling legwork”: list the property for sale online, market it offline, post signs, show it to interested buyers, hold open-houses, take calls and inquiries on the property, negotiate with potential buyers, ready the sale documents, etc.
Basically, a Seller takes on all the tasks a Real Estate Agent would do to make a sale.
But what if a Seller could retain the services of an Agent and still offer Seller-Financing? Well that’s exactly what happens when an Agent and Seller work together through RealtyPact!
The Agent does the selling legwork and finds a Buyer for the Seller. Then the transaction is processed through RealtyPact for the purchase agreement contracts, the monthly payment oversight, and the Deed work.
RealtyPact offers TWO WAYS for a Seller to work with a Real Estate Agent:
– a STRAIGHT-FEE PAYMENT, with a set amount agreed upon in advance (typically $995) paid to the Real Estate Agent by the Seller after the signing of the Purchase Agreement with the Buyer; or
– a COMMISSION PERCENTAGE paid monthly as a percentage of the Buyer’s monthly payment, sent by RealtyPact as one of the Seller’s monthly expenses.
The straight fee payment option is far more common, as its process is simple and straight-forward: the Real Estate Agent and Seller agree to an amount paid when a Buyer is found and the contracts are signed. (The Seller might even break out the Agent’s fee into 2-3 payments over a short period of time to ensure ongoing payments are received from the Buyer before paying the full Agent fee.)
The commission percentage option to the Real Estate Agent ensures that the Seller pays fees only on payments received each month from the Buyer. But monthly payments could last for years — even decades if no buyout or balloon payment is included in the contract — meaning the full commission value to the Agent could be years in coming. But the commission amount paid over time to the Agent will be a larger total amount than a straight fee, so it’s a choice to be weighed between the Seller and the Agent.
Either payment option gets a Seller and an Agent working together through the RealtyPact system. And Agents and Sellers working together get property sold!