How a Buyer’s Agent Gets Paid in New Jersey
(And what that means when you work with Lorraine Macaluso – Realtor)
Buying a home in New Jersey has changed in recent years, and many buyers understandably want to know how their buyer’s agent is compensated. Here’s a simple breakdown of how compensation works when you hire me as your dedicated buyer’s agent.
My standard commission fee is 2.5%, and here are the three ways that fee is typically paid:
1. Seller Pays the Buyer Agent Compensation (Most Common)
When we submit an offer, I include a request asking the seller to pay the 2.5% buyer-broker compensation to Coldwell Banker at closing.
If the seller accepts:
✔️ You pay nothing additional at closing for my commission.
✔️ The seller’s agreement fully satisfies your Buyer Agency Agreement.
✔️ This is the most common outcome in Union, Middlesex, and Somerset County markets.
2. Seller Offers Less Than 2.5% (We Negotiate the Difference)
Sometimes the seller may counter with a lower rate—for example 2% instead of 2.5%.
What happens then?
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I negotiate directly with the seller’s agent to try and secure the full 2.5%.
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If the seller ultimately declines, the 0.5% difference becomes your responsibility at closing.
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Many lenders may allow the buyer-side portion to be financed — we would confirm with your lender.
I fight to protect my clients financially, and in most cases, sellers agree to cover the full amount.
3. Seller Offers No Buyer-Agent Compensation (Very Rare)
In New Jersey, it is extremely uncommon for a seller to offer zero buyer-agent compensation. It puts their listing at a competitive disadvantage.
However, if you decide to move forward with a home offering no buyer-side compensation and the seller refuses to negotiate, then:
➡️ The full 2.5% fee would be due from you at closing.
Again — this situation is rare in Westfield, Scotch Plains, Clark, Cranford, Fanwood, and surrounding towns.
⭐ A Few Important Things to Remember
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Strong negotiation matters. I negotiate purchase price, terms, repairs, credits, timeline — and your commission protection.
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You may be able to roll part of the fee into your mortgage. Your lender can confirm options.
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Good representation isn’t free — bad representation is expensive.
My goal is to protect you financially, strategically, and legally every step of the way.
Ready to Get Started?
I’m here to guide you from the first conversation to the final walkthrough. If you have questions about compensation, touring homes, or next steps, let’s talk anytime.
🧭 Let’s Get Started on Your Home Search!
To help me learn your goals, preferences, and timeline — please complete my quick New Buyer Questionnaire.
It only takes a few minutes and gives me everything I need to customize your search, set up home alerts, and guide you confidently through the buying process.
👉 Start Your Buyer Profile Here:
https://forms.gle/5EcsQL8ocmrx1x42A
