Section 6.4 of SC REALTORS® Form 310 defines how buyer transaction costs and buyer-side compensation are handled.
It also separates ratified Broker-to-Broker Compensation Agreements from any seller-paid concessions written into this paragraph.

 

“At Closing, Seller will pay Buyer’s transaction costs not to exceed $_____, which includes non-allowable costs first and then allowable costs (FHA/VA). This amount should not include any funds that have been negotiated between the Brokers of the Seller and the Buyer Broker in a separate Compensation Agreement.”

👉 Any ratified Broker-to-Broker Compensation Agreement must be handled separately.
Paragraph 6.4 only governs buyer transaction costs and seller concessions.

 

✅ Seller permits a portion of the seller-paid buyer concession to go toward Buyer Broker Compensation.
💬 Example: Seller pays up to $8,000 in buyer’s transaction costs. Buyer owes their agent 3%. $3,000 of that $8,000 credit may be used for Buyer Broker fee if both sides initial Option A. ✍️ Must be initialed by both Buyer and Seller. Not initialed = no authorization.
⚠️ May not include or replace any amount already agreed to in the ratified Broker-to-Broker Compensation Agreement.
💡 Used for bridging the gap between the Buyer’s Agency Agreement and the ratified Broker-to-Broker Compensation Agreement.
📑 Result: Part of seller credit may cover commission difference if approved and initialed.

 

🚫 Seller prohibits any part of the seller-paid buyer concession from going toward Buyer Broker Compensation.
💬 Example: Seller pays $8,000 in buyer’s costs ONLY. No portion may cover Buyer Broker fee. Buyer must pay agent directly.
✍️ Must be initialed by both Buyer and Seller. Otherwise, Option A cannot be used later.
⚠️ Commission cannot be rerouted through closing attorney under any circumstance.
💡 Used for standard buyer closing costs only (fees, insurance, taxes, etc.).
📑 Result: All seller credits apply to closing costs only — no commission coverage.

 

🏠 Buyer’s Agency Agreement: 3% commission owed to Buyer’s Agent.
🤝 Ratified Broker-to-Broker Compensation Agreement: 2.5% commission.
🧾 Buyer’s Agent wishes to request the remaining 0.5% through Option A.

“Seller to pay Buyer’s transaction costs not to exceed $8,000. Seller agrees to allow up to $1,500 (0.5%) of this amount toward Buyer Broker Compensation under Option A.”

This keeps the Broker-to-Broker Agreement separate and complies with lender and contractual rules.

 

✅ Both parties must initial Option A or Option B — never leave blank.

💡 Option A bridges the Buyer Agency Agreement and ratified Broker-to-Broker Compensation Agreement.

🚫 Option B means no commission may come from seller credit.

⚠️ Do not alter or add commission inside this paragraph.

📂 Always submit through Carolina Elite Dotloop Review before ratification.