Two pieces of paperwork come before we can tour a home. South Carolina law requires me to give you a disclosure explaining the types of agency relationships before I show you a property. Separately, as a REALTOR® and MLS member, I'm required to have a written buyer agreement with you before we tour a home, in person or by live video.
The agreement is what lets me represent you instead of the seller. It spells out what I'll do, how long we work together, and exactly what my fee is. We go through it together before the first showing, and nothing in it is a surprise.
How My Fee Gets Paid
My fee is negotiable, and we set it in writing before we look at anything. My goal is to keep it from coming out of your pocket. I treat it as one more term in your offer.
The Number We Agree On Is the Ceiling
I can't collect more than the amount in our agreement. If a seller offers more than we agreed to, the difference doesn't come to me. It stays with the seller or goes toward your closing costs.
Asking the Seller to Cover It
Most of the time we ask the seller to pay my fee as part of the offer. That keeps your cash going toward the down payment and closing, where you need it.
What Your Loan Allows
If you're financing, your loan program limits how much a seller can contribute toward your costs. The limit depends on the loan type and your down payment. I check this with your lender before we write the offer, so we don't ask for something the loan won't allow.
When a Seller Won't Pay
Sometimes we find the right house and the seller won't cover the fee. There are three ways to handle it, and I'll walk you through the tradeoffs before you decide.
We Walk Away
Inventory on the peninsula is thin, but there is usually another house. Overpaying to win one negotiation is a bad trade.
I Reduce My Fee
If the gap is small and the house is right, I'm often willing to take less to make it work.
You Cover the Difference
You can pay some or all of the fee at closing, or we can build it into the offer price. If we build it into the price, the house has to appraise at the higher number. I run the comps first so you don't end up bringing unexpected cash to closing.
Why This Plays Out Differently on the Peninsula
This is a small market. For any given historic house, the pool of serious buyers is narrower than the price suggests. Sellers here often know their inventory is scarce and negotiate accordingly. A house that has sat through a full season usually has more room in it than the list price shows.
Appraisals are the other local wrinkle. Two houses on the same block can appraise very differently depending on condition and elevation, and true comps for a one-of-a-kind historic house can be hard to find. That's why I never build a fee into a price without checking what the house will actually support. If elevation is part of the question, my flood and high ground map is a good place to start, along with how flood insurance works on the peninsula.
Buyer Representation Questions
Do I have to sign a buyer agreement to see homes in South Carolina?
If you're working with a REALTOR® who is an MLS member, yes. Since August 2024, MLS rules require a written agreement before touring a home, in person or by live video. South Carolina law separately requires your agent to give you an agency disclosure before showing you a property. I handle both before our first showing and walk you through each one.
What does the buyer agreement cover?
It covers what I'll do for you, how long we work together, and exactly what my fee is. The fee has to be a specific amount or rate, not whatever the seller happens to offer. It also states that commissions are negotiable and not set by law. I go through it with you line by line before you sign.
Who pays the buyer's agent commission in Charleston?
It depends on how the offer is written. In most cases we ask the seller to pay my fee as part of the offer. If the seller won't, you can cover some or all of it, I can reduce it, or we can move on to another house. We decide the approach before we write anything.
Can I negotiate my buyer's agent commission?
Yes. My fee is negotiable, and we agree on it in writing before we start. Whatever we agree to is the most I can collect. If a seller offers more, the difference stays with the seller or goes toward your closing costs.
What happens if a seller refuses to pay my agent's fee?
There are three options. We can walk away, since there is usually another house even in a thin market. I can reduce my fee if the gap is small. Or you can cover the difference at closing or build it into the offer price, as long as the house will appraise at that number.
Can a seller help with my closing costs too?
Often, yes, but your loan sets the limit. Every loan program caps how much a seller can contribute toward a buyer's costs, and the cap depends on the loan type and your down payment. I confirm the limit with your lender before we write the offer.
Does signing a buyer agreement lock me in?
Only for the term we set together, and we can make that term short. The agreement defines our working relationship. It isn't meant to trap you. If the term or scope worries you, tell me before you sign and we'll adjust it.
What is an appraisal gap, and how does building my fee into the price affect it?
An appraisal gap is the shortfall when a house appraises below the contract price. If you're financing, you usually have to cover that gap in cash. Building my fee into the price raises the number the house has to appraise at, so I run the comps first to make sure it will. On the peninsula, condition and elevation can swing appraisals a lot, even on the same block.
Questions Before You Sign?
I've been licensed since 2008 and have lived on the peninsula since 2007. If you want to go through the agreement before you commit to anything, I'm happy to sit down and do that. You can also see what's involved in buying on the peninsula or what the true cost of owning here looks like.
