Many homebuyers are apprehensive about hiring an agent to represent them in their homebuying, as they think they can obtain a better price on the home they wish to purchase from the seller. This simply is not true in most cases. There may be an indirect way in a very small percentage of cases that this could indirectly be true, which I will discuss later.
Here's how it works in Colorado. When a home is listed for sale by a listing agent that represents the seller, that agent has already negotiated a percentage by which both agents, one that represents the seller and another that represents the buyer, will share a commission. They will both be paid by the seller, when the home sells. This is the case in well over 99% of the time. A homebuyer is doing themselves a disservice by not hiring an agent to work, negotiate and look out for their best interests, when that agent would be working on their behalf for free. After all, the seller has an agent doing the same on the seller's behalf. A buyer needs someone in their corner to obtain the best possible price and terms that they can get on their future home. In most bank owned listings, most banks will not negotiate a lower price by eliminating a buyer's agent. So use this free service. Note: Many real estate companies today are charging a per transaction fee to their agents of anywhere from $99 to $395, which many agents do pass along to their buyer to be paid at closing.
Now here comes that exception that could have some bearing on the purchase price that the buyer may end up paying. In cases where the private owner stills owns their property and it is not in foreclosure or short sale, there are times when the agent representing the seller is asked by the seller that the listing agent reduce their commission should they (the seller) or the listing agent bring in the buyer themselves, therefore, only having to pay commission to a single agent. This could inspire the property owners to reduce their price some, since now they are paying a reduced commission. Again, it may or may not inspire the owner to reduce their price.