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WHY USE AN EXCLUSIVE BUYERS AGENT?

By
Real Estate Broker/Owner with Sage Realty LLC RM419313

WHY USE AN EXCLUSIVE BUYERS AGENT?

I am flabbergasted at how many potential homebuyers out there do not understand why it is in their best interest to use their own agent when they buy a home. And more specifically, an exclusive buyers agent—one who only represents buyers. I have started asking people why they don’t. Here are the reasons I have discovered:

1. They think they will have to pay the agent

Not true in most cases. Certainly with my company, there is no fee payable by the Buyer and they are NOT paying more by using me because the fee is ALREADY set with the listing agent by the seller when they list the home. All that happens is the two agents share it. Most transactions are done this way. Sellers demand their homes be available to be shown by buyer’s agents so they place the home on the multiple listing service and internet sites, and include that sharing requirement in the listing agreement. If there is no buyer’s agent then the listing agent takes the ENTIRE FEE. I have NEVER seen a transaction where the buyer paid more because they had an agent. Never.

 

2. They think they can work a deal with the listing agent

I have no idea why people think that they are able to get a good deal by dealing directly with the seller’s agent. What incentive is there for that agent to reduce the price to you? They get twice the commission and you have no one on your side. How great is that for them? They are in the business and know all the tricks and foibles and YOU DO NOT. Will they take advantage of you? What do you think? Why not at least have someone to give you some perspective and advice? You don’t have to take it. Like how to find out what the seller is looking for in a closing date, or how to do pick a good inspector, or how to get your lender to give you a better deal. The listing agent will not help you in any of these areas.


3. They do not want to take the time to select an agent


Amazingly, many home purchases are spur-of-the-moment decisions.
Someone sees a house online and they want to see it NOW.
Or a friend says there is a great house that just came on the market in her neighborhood. Who wants to take the time to interview buyers’ agents to see who would do a good job in getting the best deal? But wait, isn’t this the largest transaction in most people’s lives? Probably. Just as you might check references before you go to a surgeon or maybe ask around before you get your car repaired, don’t you want to research who knows the most about the process of buying a home and use someone like that? Just a thought!

4. They think all agents are “light weights” so cannot imagine one could add value to the process.

 

How sad that the profession has this reputation. An agent is just a pretty face to open the door and that is all they do. NOT TRUE. Many agents, but particularly exclusive buyers agents, specialize in the residential real estate transaction and know TONS about types of homes, repair issues, great neighborhoods, resale values, lender problems to avoid, negotiating techniques that work and on and on. Find one and get a great house at great terms and become someone who knows:


The real question is: WHY NOT USE AN EXCLUSIVE BUYERS AGENT?

 

Posted by

Triangle house        Sage Advice for home buyers

Comments (2)

Karin Lundeen
Keller Williams Realty - Denver Southlands - Centennial, CO
Realtor Centennial Homes For Sale

Hi Linda ~  I met a buyer at my open house and she has several agents looking in different areas of the city.  She doesn't realize that no agent wants to put too much time into it because there are no guarantees of getting paid.

Jul 01, 2011 03:33 AM
Mike Crowley
Mike Crowley - Spokane, WA

Terrific points Linda!

Jul 02, 2011 08:17 AM