26 April Is it proper for the buyer’s agent to attach a document entitled, “Commission Agreement,” to the offer, which essentially increases the percentage of compensation the listing broker initially offered in the MLS? April 26, 2017By Cindy Sellers Ethics 0 No.Article 16 of the NAR Code of Ethics prohibits REALTORS® from engaging in any action or taking any action inconsistent with exclusive representation agreements that other REALTORS® have with clients. Standard of Practice 16-16 prohibits REALTORS® from using the terms of an offer to purchase to attempt to modify the listing broker’s offer of compensation and from making the submission of an executed offer contingent on the listing broker’s agreement to modify the offer of compensation. The Case Interpretations related to Article 16 make it clear that the Article is violated if the buyer’s agent fails to determine, prior to submitting an offer, whether or not the listing broker and/or the seller were willing to contribute to the buyer’s agent’s commission. Also, Article 16 is violated if the Buyer, at the urging of the Buyer’s agent, demands that a portion of the Buyer’s agent’s commission be paid by the seller or listing broker. Related Posts Is it illegal and/or unethical for an agent to refuse to show another company’s listing to a buyer client based on the compensation being offered to the agent by the listing company? Is it illegal and/or unethical for an agent to refuse to show another company’s listing to a buyer client based on the compensation being offered to the agent by the listing company? My broker has informed me that under no circumstances may I contact the owners of property following my departure from the company and that any listing I have will remain with my current broker. My broker has informed me that under no circumstances may I contact the owners of property following my departure from the company and that any listing I have will remain with my current broker. Is my broker right? I am the broker for a small company and I still take listings. I am the broker for a small company and I still take listings. If another agent in my office has a buyer client interested in my listing, how can we make dual agency work? I am a listing agent involved in a short sale transaction. The lender has requested that I reduce my commission. The selling broker will not agree to accept less than what was advertised in MRIS. I included a comment in the remarks section that the commission was subject to lender approval. What happens if the selling broker refuses to take a commission that is less than what the listing broker offered in MRIS? Also, is it true that Fannie Mae servicers cannot condition the approval and closing of short sales on the willingness of the listing firm to alter its fee arrangement with the borrower as long as the total commission does not exceed 6%? Does this mean the mortgage company has to pay the fee if it’s less then 6%? The buyer submitted an offer to purchase a property. The seller's counter-offer included a slightly lower price and a reduction to the amount of requested closing cost assistance. The seller also sought a reduction in the commission to be paid to the buyer's broker. Does the seller have the authority to reduce the commission as offered in the multiple listing service by the listing broker? When can a listing broker change the offer of compensation in the MLS? When can a listing broker change the offer of compensation in the MLS? Comments are closed.