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Should A Home Buyer Use the Seller's Agent?

By
Real Estate Agent with Coldwell Banker D'Ann Harper REALTORS® TX License #0566780

Should A Home Buyer Use the Seller's Agent?


Have you ever been the third wheel joining a couple on a date? I know it's really stretching the analogy to compare a real estate transaction to a social function. But there are similarities.

In a social situation, the couple are getting to know each other, and the usual objective is to have fun with each other. If you are the third person in this arrangement, you add a differenct dynamic and things are likely to feel a bit out of balance. Somebody is going to feel a bit uncomfortable.

When a seller engages the services of a real estate agent to list and sell their property, they  establish a bond and working relationship. They share confidentialAs a buyer, should you use the Seller's Agent? information that will not usually be divulged to outsiders. They have a relationship, a strategy for getting the house sold, and financial objectives.

If you, as a Buyer, are interested in the property, should you find an agent to represent your interests in obtaining information and possibly negotiating for the sale of the property, or should you work through the agent already hired by the Seller? The Seller's agent does know a great deal about the property. However, they also have a longer term working relationship to the Seller. Does that help your position as the Buyer?

Some Buyers have the opinion that if they do not have an agent, they will be able to buy the property for a lesser amount because there will not be a commission for a Buyer's Agent. In Texas, the absence of a Buyer's Agent usually has no affect on the sales priceor commission paid by the Seller.

There are issues regarding agency, and intermediaries in this sort of arrangement under Texas Real Estate Rules that should be discussed and Buyer'Are You Comfortable Being The Third Wheel?understood by the Buyer and Seller. I will not be describing the issues or such variables in this blog post. But if you are inclined to take this approach, ask the real estate professional to explain agency and intermediary arrangements.

As with any business arrangement, having qualified representation, for all parties, is the best approach to take. If you don't mind being the third wheel, use the Seller's Agent. However, I think it best to have separate representation for each party.


Looking for a good Realtor® in San Antonio? Let me Google that for you.

Coldwell Banker D'Ann Harper logo

Wayne Johnson
18756 Stone Oak Parkway
Suite 101
San Antonio, Texas 78258

e-mail: wjohnson@cbharper.com
Tel: 210.483.6329
Website:www.Wayne-Johnson.com

Texas Real Estate License #0566780

Texas Law requires all real estate licensees to provide the following information about brokerage services:
http://www.trec.state.ts.us/pdf/contracts/OP-K.pdf

The information, opinions, suggestions, and ideas contained in this blog are mine, and are not necessarily those of Coldwell Banker, Coldwell Banker D'Ann Harper Realtors. Information contained herein is deemed reliable but should be verified before acting upon. Suggestions and ideas expressed herein are appropriate under the real estate laws and regulations of the State of Texas.

©December 2010 By Wayne Johnson All Rights Reserved *Should A Home Buyer Use the Seller's Agent?*


 

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Comments (9)

Andres Munar
Keystone Alliance Mortgage - State College, PA
Experience The Difference

I think the 3rd wheel analogy is perfect. This is always a touchy subject. When a buyer comes to me I personally always advise to find a buyers agent to represent them. Although I have done transactions for realtors where they were on both sides and all parties were happy. I also think it depends on the realtor some can do a great job and others are just out for a high commission.

Dec 22, 2010 04:25 AM
Greg Cook
Platinum Home Mortgage - Temecula, CA
Mortgage Consultant NMLS ID# 283159

Wayne, great points.

In our market, almost all the homes are either bank owned or short sales, so you have the buyer who thinks he is in a real estate transaction negotiating with a bank who is in a debt settlement transaction.

You certainly wouldn't go into court and ask the other party's attorney to represent you.Why would you do it in the most important financial transaction of your life?

Dec 22, 2010 06:21 AM
Ginger Harper
Coldwell Banker Sea Coast Advantage~ Ginger Harper Real Estate Team - Southport, NC
Your Southport~Oak Island Agent~Brunswick County!

I understand your point.  It is hard to remain totally neutral when you represent both.

Ginger

Dec 22, 2010 01:07 PM
Wayne Johnson
Coldwell Banker D'Ann Harper REALTORS® - San Antonio, TX
San Antonio REALTOR, San Antonio Homes For Sale

Andres-I agree and in some cases, everybody is happy. But I think everybody needs their own counsel, unless family members are selling to each other. Thanks for commenting.

Dec 23, 2010 01:59 AM
Wayne Johnson
Coldwell Banker D'Ann Harper REALTORS® - San Antonio, TX
San Antonio REALTOR, San Antonio Homes For Sale

Greg-That is exactly how I see it. Thanks.

Dec 23, 2010 01:59 AM
Wayne Johnson
Coldwell Banker D'Ann Harper REALTORS® - San Antonio, TX
San Antonio REALTOR, San Antonio Homes For Sale

Ginger-Yes, an agent is not a referee. Somebody must be getting better info or advice. I appreciate you input.

Dec 23, 2010 02:01 AM
Karen Kruschka
RE/MAX Executives - Woodbridge, VA
- "My Experience Isn't Expensive - It's PRICELESS"

Wayne  Arthur and I just stopped by to wish you and your family a Merry Christmas and Happy, Healthy and Prosperous New Year

Dec 25, 2010 05:42 AM
Keisha Hosea- KASIHomes.com
KASI Homes - Chino Hills, CA
Real Estate Solutions For Real People

Wayne, I loved your analogies and the pictures. Have a Happy New Year. Think I'll suggest this one and re-blog.

Dec 26, 2010 03:48 AM
Wayne Johnson
Coldwell Banker D'Ann Harper REALTORS® - San Antonio, TX
San Antonio REALTOR, San Antonio Homes For Sale

Karen-I hope you and your family had a gread Christmas. Go for the gold in 2011.

Keisha-Thanks for your comment and re-blog. Have a Happy New Year.

Dec 26, 2010 09:03 AM