Special offer

TO BOLDLY GO WHERE FEW OFFERS HAVE GONE BEFORE...

By
Real Estate Agent with RE/MAX Integrity Oregon 200808151

This is the mission of Oregon Exclusive Buyers Realty...

When the listing agent called me back after receiving the offer I submitted for my buyer, he called it an "anomaly."

He must have felt he was being transported into a space-time continuum in an Alternate Universe...

"I've never seen anything like this before! You are totally giving the buyer the advantage."

I took it as a compliment.

I explained that I am an Exclusive Buyer Agent - that I do indeed represent my buyer and their position 100%. What sort of buyer agent would I be if I wrote up offers giving the seller the advantage? I am contracted in writing to my buyer. It the listing agent's job to represent the seller, mine to represent the buyer.

The sales agreement is the place to start, the buyer begins the process, the buyer brings the money to the table, the buyer makes a seller. Without the buyer, there are just people who own homes and real estate agents without paychecks. It is always about the buyer for me. I never forget without buyers, there is NO real estate market. The buyer begins the dialogue, the seller can respond in ways that meet their needs. We work though a process and ultimately arrive where both parties are in their comfort zones.

In my Universe the offers I write are NOT anomalies. They are always about the buyer and their needs and protecting their interests. My company is expert at that. Every clause of verbiage in our sale agreements has been taken down to the Real Estate Agency in Salem, Oregon and approved for use in meeting our buyers requirements.

The one area the listing agent had never seen and was particularly perplexed with was our use of a promissory note for earnest money, to be redeemed after buyer's satisfaction with the inspection and after buyer's satisfaction with agreed upon repairs, if any, have been completed. The whole agreement for the sale hinges on the condition and repair of the property because that makes sense for the buyer.

Why should any buyer give earnest money to a seller when the seller hasn't shown the buyer the underlying condition of the property by producing their own inspection? Most sellers don't have a current evaluation of their property. They expect the buyer to pay for an inspection.

Of course, the buyer will get their own inspection, and that is where they begin the process to show their earnestness toward the sellers. They pay out-of-pocket, right at the beginning, with no guarantee the property will pass muster. I've had buyers pay for the inspection on a beautifully dressed interior and find out every underlying system was lacking. They walk away with money out of their pocket. They certainly were earnest enough about the property to go that far. Why should they put any money in escrow if there is even a remote possibility of that happening and no agreement ever being made?

There IS NO sale agreement until after the inspection discovery period. There is nothing to be earnest about until the buyer knows the property is in good repair, and if not, will be brought into good repair. If a seller doesn't want to do this, then they need to list the property "as is" and price accordingly.

Yes, the way we represent buyers may be an anomaly to the Universe many listing agents and sellers inhabit. But as Exclusive Buyer Agency continues to expand, my company will continue to educate both buyers, sellers and listing agents, that there is a new way to approach things. We will continue to move boldly forward to a new place where buyers' interests and their position are honored and protected and doing so is no longer considered an anomaly.

My goal is to "Beam Up" all buyers to that place with every offer I write.

Trek on!

Posted by

            
       

Nannette Martin

Broker, Licensed in Oregon

ABR®, e-PRO®, GREEN, SFR®, FACS, REALTOR®

                     503-302-9212 CELL

                    503-371-5262 FAX

                    Mailto:purpleshoesrealestate@gmail.com

                    RE/MAX Integrity

                    2110 Mission St. SE

                    Salem, OR 97302

                  www.purpleshoesrealestate.com

                  Oregon Real Estate Agency Disclosure Pamphlet

John Waugh
True North Realtors NY : Exclusive Buyer Agency - Canandaigua, NY

Although EBA's have been around for a long time, the concept itself is still somewhat of an anomaly in every area of the country.  Keep doing what you're doing and hopefully, more buyers will become aware of the alternative they have before entering the home-buying process - a process that continues to get more complicated and one that points to the increasing purpose of what we do.

Feb 18, 2010 06:41 AM
Retired from ActiveRain
Baker, OR

Nannette, What a concept to professionally represent a buyer with whom you have a fiduciary responsibility.  There are far more sellers than buyers right now and a buyer can do well by working with a buyer's agent like you.  Good luck as you grow your business.

Feb 18, 2010 06:47 AM
John Waugh
True North Realtors NY : Exclusive Buyer Agency - Canandaigua, NY

Rick, Nannette's point is that EBA's go beyond fiduciary responsibilities set by each state.  They never represent sellers or take listings in the first place so there is never the slightest possibility of a conflict of interest.  I have represented many repeat homebuyers who thought they had been exclusively represented in previous transactions because the agent signed a buyer's agent agreement.  But we all know that listings take priority for those who sell and that ultimately, cannot be in the best interest of every buyer. 

Feb 19, 2010 02:13 PM
Sally Morris
Greenwood Realty ( Greenwood SC ) - Greenwood, SC
SOLD IS NEVER HAVING TO SAY YOU'RE SORRY

Nannette I like the idea of withholding the earnest money until after the inspection. Earnest money is not a requirement to make an offer to a seller but sometimes it does sway the seller in a multiple offer situation to accept the offer with the best good faith deposit if everything else looks good. I guess it's like everything else you make the best decisions based on individual circumstances at the time you need to make the decision. Great insight into another way to look at the status quo. That's the great thing about AR, knowledge flows abundantly around here!

Feb 19, 2010 11:52 PM
Nannette Martin
RE/MAX Integrity - Salem, OR
Your Purple Shoes Real Estate Pro at RE/MAX

It makes sense to me and the buyers, and most sellers don't grouse about it too much. If the seller would provide a home inspection up front, then my buyers would feel more comfortable. When a seller has their own inspection done and shares that with a buyer, that is their good faith and it would elicit more good faith from the buyer.

When I was going to sell my home, my REALTOR® recommended I get a home inspection of my own at the beginning. I did and was able to address things that a buyer's inspector would have found.

I think it keeps things cleaner if you don't tie up earnest money until after the inspection...of course, in a seller's market the strategy might have to change. Yup, individual circumstances dictate the course of action.

Feb 21, 2010 04:50 PM