"Whatever 2 parties agree and sign to" #entrepreneur #tips #shorts #short #shortsvideo #shortvideo

2 Jan 2025 · 1 min

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Short YouTube video (short) featuring Steve D Valentine and an unidentified speaker discussing how commissions are handled in lease-purchase agreements. The clip explains that commission treatment depends on what parties negotiate and sign (a deposit/commission may be paid up front or handled separately), and references a recent NAR change that clarifies compensation handling on lease-purchase deals.

Chapters

How does the commissions work on a lease purchase? Because technically, they're leasing it for two years and then they buy it. So how does that work?
It works out however you want it to work out. It's whatever's in an agreement. So either a portion of it can be paid. I will tell you that I don't pay. And by the way, this is a really good thing in these lease purchase offers. Now, we're not worried about compensating in the other direction. That is for them to work out. So you are only dealing with what your commission is paid to you on this listing and lease purchase. Okay. So. So unless it is negotiated into those things, and now we'll have to see what they're requesting out of that deposit as commissions. But again, it's really. That deposit is us, and that's between us and Bernadette as to what commission is being paid up front in advance for this position. It really actually, this new NAR thing really cleans this up for us, especially on a lease purchase, because now they get to go deal with their own buyer on compensation.