That sounds suspicious, but not a deal-killer. Probably that broker does not really have the listing on the property. They don’t have an agreement with the seller. They are probably only going to get paid from you. Have you asked them point-blank if they have an agreement with the seller?
Ultimately if the deal still pencils-out with the extra 4%, then it does not matter. Think of it as a referral fee. We pay referral fees, and 4% is reasonable for a really great deal. Just be sure to do your due diligence…! Attend Bootcamp. This broker sounds a bit fishy; he/she will probably tell you anything you want to hear about the property to get themselves paid. So you’ll need to be meticulous in your diligence.
But if the diligence checks out, then go for it and pay the 104% for the deal.
To your continued success,