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The Ummel Verdict Is In - Buyers Need to be Careful in Choosing Their 'Buyer Agent'

Good article. Exclusive Buyer Agents go way beyond analyzing comps (which is a given) - to looking at recent market trends and statistics, neighborhood information, city plans, community plans, and helping the buyer do Due Diligence on other things.

Interestingly - the general public and many Real Estate agents - don't even know that Exclusive Buyer Agents exist.

Exclusive Buyer Agents are experts at collecting information on the seller's situation - while keeping their buyer client's situation confidential.

Because Exclusive Buyer Agents are specialists - they a very good at what they do. Since they are generalists - some "buyer agents" may spend 95% of their time listing property for sale and representing sellers - or may have dual agency conflicts of interest.

Posted by Rick Hauser, ABR, CNE, GRI Exclusive Buyer Agent - 100% Buyers on 04/17/2008 12:06 PM

Comments (5)

ummel verdict, california, buyer agent, exclusive buyer agent, naeba, dual agency, comparable sales, comps

Post is included in group: Exclusive Buyer's Agents (EBAs)

5 Comments on The Ummel Verdict Is In - Buyers Need to be Careful in Choosing Their 'Buyer Agent'

APR

2008

I'm not a specialist buyer agent only as I feel it is VERY important to understand the workings on all real estate transactional sides, but I can tell you that my buyer clients (and they do sign a buyer's reprentatation agreement with me) get the information they need to make an informed choice. I could NEVER choose a home for someone or sell them a home they did not want. No agent could. I give them the tools to make informed decisions and I give all the education and assistance they need to make that choice, but I do resent the idea that I am somehow less capable a buyer's agent because I handle both buyer and seller transactions (in about equal proportion).

Ron, bravo I was going to post something very similar but read your comment first!

Ron,

Don't feel bad about the "less capable" part. Many companies with more experienced agents like Re/Max market that way.

There are always some benefits to specialization.

(Just don't ask me how to fill out a listing ticket.) :-)

Ron,

As I understand it, the issue in Ummel is not that the agent chose the home or sold them a home they didn't want. It's that he didn't give them comps on nearby proeprties. It may even be that they didn't overpay. Perhaps the other homes had some undesireable features the subject proeprty didn't. How can the buyers make an informed decision without comps on nearby properties?

Incidentally, I'm an Exclusive Buyer Agent (EBA) and Secretary of the National Association of Exclusive Buyer Agents (NAEBA). I was a traditional agent, representing both buyers and sellers, until 1999 when I became an EBA. So, I and many other EBA's like me do have experience with representing sellers.

I don't think agents like yourself who represent both buyers and sellers are necessarily less capable as buyer agents. However, I do think if you diligently practice a task like representing buyers, you should get very good at it. Specialization has its advantages. As EBA's, we can truthfully tell our clients that they have our undivided loyalty every time we look at a house. We will never act as dual agents or sell "in house" listings, because we simply don't take listings.

I am always intrigued by arguments made by seller agents that they can better represent buyers because they better understand both sides of the transaction. Personally, I feel that if you will do better what you do most. That thing often referred to as experience. I think that specialization is here to stay in the real estate industry, and sincerely hope that consumers will seek out those agents who are best situated to meet their specific needs.

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