Should I Use a Real Estate Buyer’s Agent?

By
Real Estate Broker/Owner with 3:16 team REALTY ~ Locally-owned Frisco TX Real Estate Co. #9001154
http://activerain.com/droplet/4YNG

I could completely understand that everyone wants a “good” deal when buying anything at all. I do! I do! I certainly do understand! I’m so frugal with money that it would hurt me thinking I spent a penny more than I should.

I had a wonderful client who just started his process of “considering” a move closer to work. Nothing too serious. Therefore, he didn’t call me first. Then, he visited an Open House of a house that peeked his interest. At the Open House, he was greeted by the Listing Agent (LA). The LA mentioned to my client, “Without an agent (representing you), the Seller can sell the house $10,000 cheaper”. 

Getting a real estate buyer's agent gives you an edge in buying a home in Frisco TX.

He called me after the Open House. 

My honest answer is that I couldn’t give him a non-biased answer because so much of what I would make is tied to the answer.

I said, “If I wasn’t an agent but just a friend, I’d say Use an agent 100% of the time”. He doesn’t know what he doesn’t know. Guess who is the Listing Agent there to represent? (Seller).

What happens during the inspection negotiation? Will he receive a fair repair negotiation that serves him and his family well?

We discussed about the house the next day after I had a chance to see it in person. Great home with alot of character. But knowing him (& his life season), it wouldn’t fit his lifestyle because of some flaws of the floorplan. And how that impacts resale when he does go to sell it. These may be just some conversations he wouldn’t have with the Listing Agent – who is there to sell the house! 

I had to bring the question up again. If all the unknowns he’s about to step into is worth 10K more to him.

I felt bad in that situation because I felt like a 10K burden. But in fact, because that didn’t work out, it caused him to look in another area and he would spend 100K less than when he could jump into that deal and charging on that path.

So, should a buyer use a Real Estate Buyer’s Agent? Every. Single. Time.

Topic:
Real Estate Sales and Marketing
Location:
Texas Collin County Frisco
Tags:
loreena yeo
homes for sale in frisco tx
frisco tx homes
homes in frisco tx
frisco tx homes for sale
frisco tx real estate properties for sale
real estate properties for sale in frisco tx

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Ambassador
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Mike Frazier
Carousel Realty of Dyer County - Dyersburg, TN
Northwest Tennessee Realtor

I even hire my own buyers agent when I purchase investment property in another state. It just makes good sense!

Jan 13, 2017 03:14 PM #4
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Debe Maxwell, CRS
www.AtHomesCharlotte.com | The Maxwell House Group | RE/MAX Executive | (704) 491-3310 - Charlotte, NC
Charlotte Homes for Sale - Charlotte Neighborhoods

Absolutely, Loreena Yeo!  It just makes sense to save money and time and HIRE a buyer's agent - especially in states where the seller has already agreed to pay the listing brokerage a specific commission.  You're NOT going to save money by self-representing or going through the LA!

Jan 13, 2017 07:40 PM #5
Rainmaker
57,233
Beth Bromund
Coldwell Banker Weir Manuel - Rochester, MI
REALTOR (248) 651-3500

In Michigan the seller pays the buyer's agent.  I've never heard of a house where they've offered to drop the price if the buyer didn't use an agent.  You bring up good points about what purchasers need to understand about agency.  The sellers agent has to have the seller's best interest in mind, not the buyer's best interest.

Jan 13, 2017 10:04 PM #6
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Harry F. D'Elia
Real Estate and Beyond, LLC - Phoenix, AZ
Investor , Mentor, GRI, Radio, CIPS, REOs, ABR

I could not imagine purchasing a home without a buyers agent in this current market.

Jan 14, 2017 04:03 AM #8
Ambassador
1,351,922
Loreena and Michael Yeo
3:16 team REALTY ~ Locally-owned Frisco TX Real Estate Co. - Frisco, TX
Real Estate Agents

Robert Harrington, is this your Saturday morning joke? You cannot be serious about what you said. You should spit out what you just said and re-think it over.

And study listing agent fiduciary duties to ALL clients.

Jan 14, 2017 04:13 AM #9
Rainer
394,896
Sham Reddy
H E R Realty, Dayton, OH - Dayton, OH
CRS

By all means use them.

They will save you a lot of aggrevation, frustrations, and potential legal issues in the purchase of your home for now and for the future!!!

Jan 14, 2017 04:28 AM #10
Rainmaker
219,135
Shirley Coomer
Keller Williams Realty Sonoran Living - Phoenix, AZ
Realtor, Keller Williams Realty, Phoenix Az

I doubt if this buyer is in a position to know whether this house is over priced or under priced without assistance in considering comps and doing some due diligence.  What if the house if $15000 overpriced? Dual agency is a slippery slope. What about inspections and appraisals?  The agent at the listing is working for the seller.

Jan 14, 2017 05:52 AM #11
Rainmaker
602,279
Nick & Trudy Vandekar, 610-203-4543
Long & Foster Real Estate Inc 610-225-7400 - Devon, PA
Tredyffrin Easttown Realtors, Philly Main Line

A buyer needs an agent who is independent to the home they are purchasing. Who can raise the questions you mention, who can suggest options that the buyer may not have considered, who acts as the devil's advocate and says but, what if....or how about....? That is the buyer agent value, not showing the house. Good post, you did a good job with the post and with your client.

Jan 14, 2017 06:48 AM #12
Rainmaker
2,223,759
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

Buyer agents make the Real Estate world go round and make sense. Worth it!

Jan 14, 2017 07:36 AM #13
Rainmaker
899,988
Corinne Guest, Managing Broker
Barrington Realty Company - Barrington, IL
The Best in Buyer Representation

Ab sol ute ly!

Jan 14, 2017 08:10 AM #14
Rainmaker
3,287,912
Dorie Dillard
Coldwell Banker United Realtors® ~ 512.346.1799 - Austin, TX
Serving Buyers & Sellers in NW Austin Real Estate

Good morning Loreena Yeo ,

Congratulations on the featured post! You are so right..absolutely a buyer should use a buyer's agent every time!

Jan 14, 2017 08:30 AM #15
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Jeff Dowler
Solutions Real Estate - Carlsbad, CA
The Southern California Relocation Dude - Carlsbad

Hi Loreena

Congratulions on the feature. It's an important topic that bears repeating over and over again. Is it possible to go it alone. Yep. Does it make sense from a risk liability and financial standpoint. Heck no.

Jeff

Jan 14, 2017 09:14 AM #16
Rainmaker
141,780
Diana White-Pettis
Exit Bennett Realty - Upper Marlboro, MD
GRI, CDPE, CNE, WHC Upper Marlboro Homes for Sale

Yes, buyers need their own representation,

Jan 14, 2017 07:27 PM #17
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Praful Thakkar
LAER Realty Partners - Andover, MA
Andover, MA: Andover Luxury Homes For Sale

Loreena Yeo - this is something that I tell ALL the buyers!

They should have someone to protect their interests, isn't it?

Jan 14, 2017 10:12 PM #18
Rainmaker
4,066,247
Barbara Todaro
RE/MAX Executive Realty - Franklin, MA
"Franklin MA Homes"

Good morning, Loreena Yeo every client deserves proper representation.... and a buyer should always have a buyers agent by his/her side.... it's the right thing to do...

Jan 15, 2017 05:52 AM #19
Rainmaker
882,652
Sussie Sutton
UTR Texas Realtors - Pearland, TX
UTR TEXAS Realtors - Rep for buyers and sellers.

Buyers need an agent to represent them!

Most buyers surf the MLS anyway to find the homes they are interested in seeing; no matter how many the agent may send their way to see. So Mr. Harrington there is no "steering" coming from any of us licensed agents.

Jan 16, 2017 06:54 AM #20
Rainmaker
1,427,831
Sybil Campbell
Long and Foster REALTORS® 5234 Monticello Ave Williamsburg, Virginia - Williamsburg, VA
REALTOR® ABR, SFR, SRES Williamsburg, Virginia

Yes, especially in the state of Virginia, because the real estate laws are more in favor of the seller.

Jan 16, 2017 12:44 PM #21
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Jan 16, 2017 11:57 PM #22
Rainmaker
457,994
Sonja Patterson
Keller Williams - BV - College Station, TX
Texas Monthly 5-Star Realtor Recipient for the Hou

Great post Loreena,

Had a friend/buyer whose husband insist they "save the 3%"...but the listing broker took 6%, and they had no representation whatsoever.  It makes sense to hire a well-respected agent, whose knowledge can end up saving you more than a commission.

Jan 17, 2017 02:30 PM #23
Rainer
57,138
Johanna Roy
Counselor Realty - Saint Paul, MN
The Name Friends Recommend

I don't know why you felt like the $10k burden. As you are a great Realtor and worthy of that $10k. We don't just get handed that $10k we work for it. We put our knowledge of the market to work with negotiating on their behalf, being there for inspections and negotiating items to be fixed prior to closing, working with the lender helping your buyer find the best deal/mortgage, and holding their hands throughout the entire process trying to make it as smooth as possible. So YES we are worth the $10k and so much more!

Jan 18, 2017 07:40 AM #24
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