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Comparing New Jersey Real Estate Agents - From the Home Buyer Perspective

By
Real Estate Agent with Buyer's Advisors

In New Jersey, I have found that consumers often find it difficult to understand the difference between the various roles which may be played depending on their choice of a particular real estate agent. 

Even though the New Jersey Real Estate Commission requires a real estate agent to provide the New Jersey Consumer Information Statement(C.I.S.) to a prospective customer (or possibly client), the verbal explanations accompanying the C.I.S. vary widely and most consumers admit they come away confused about "agency relationships".

The two tables I put together below try to provide a clearer explanation of the "representation provided" and the "activities performed" from the perspective of a Home Buyer in New Jersey. 

As you can see below, depending on the role which must be played by their real estate agent, a Home Buyer is owed significantly different services by their real estate agent.

Representation Provided

Seller's AgentDisclosed Dual AgentTransaction BrokerBuyer's Agent


Represents the Seller
(or Builder).  Work only for the Seller. May work with Buyers but may not represent them. Have a written listing agreement with a Seller. Obligated to try to sell their own listed properties.

Yes - --


Represents both the Seller and the Home Buyer
. Work for both the Seller and the Buyer.  Must obtain the informed written consent of both the Seller and the Buyer.

Yes --


Works with a Seller, a Home Buyer, or both in the sales transaction without representing anyone.
  Cannot promote the interests of one party over the other party to the transaction.  Should provide a written agreement to any Seller.

--  Yes -


Represents the Home Buyer.
Work only for the Home Buyer. Provide a written buyer agency agreement to their Buyer client.

- -Yes  

 

Activities Performed for a Home Buyer

Seller's AgentDisclosed Dual AgentTransaction BrokerBuyer's Agent

Provide basic facts about properties (seller's asking price, features, and amenities) and sources of financing.

Yes

Yes

Yes

Yes

Show homes in the Multiple Listing Service.

 Yes Yes Yes Yes

Submit a purchase offer and convey the Seller's response Back.

 Yes Yes Yes Yes

Respond honestly and accurately to questions.

YesYesYesYes

Disclose material facts known about the property.

 Yes Yes Yes Yes

Offer property without regard to race, creed, sex, religion, or national origin.

Yes

Yes

Yes

Yes

Advise in choosing an attorney.

Yes

Yes

Yes

Yes

Confirm needed correction/repairs have been completed.

YesYesYesYes

Accompany on a final walk-through inspection of the property.

YesYesYesYes

Tell the Seller everything they know about a Home Buyer including their financial situation and motivation for buying.

 YesDepends,
if Buyer agrees.
Yes No

Guarantee in a written agency agreement to represent and work for the home buyer only.

--- Yes

Search for available properties, not just Multiple Listed properties, but also "For Sale By Owner", "For Sale By Developer/Builder",  and sometimes even locate properties that are not yet on the market.

- -- Yes

Locate and show properties, pointing out not only strengths, but also weaknesses, potential problems, and factors that may impact resale of the property.

--- Yes

Discuss the price the Seller is asking, the reason they might be selling, the price they paid, how long or how many times the property has been on the market, and any concessions (in price or terms) that the Seller may be willing to give up.

- - - Yes

Develop an estimate of comparative market value for the property,  and assist in developing an offering price.

- - - Yes

Review and interpret comparable property values.

--- Yes

Advise regarding other offers on the property.

- - -Yes

Help determine the need for professional property inspections and any warranties.

- - - Yes

Identify any information detrimental to the Seller, or which might give an advantage to the Home Buyer.

-- - Yes

Consult throughout the entire negotiation process offering advice and information regarding counter offers.

- -- Yes

Negotiate only on behalf of the Home Buyer, be their advocate, and negotiate to get them the best deal in terms of price and terms.

- - - Yes

Assist in independently evaluating the most favorable financing.

Maybe Maybe Maybe  Yes

Supply financial information about neighborhood properties and value trends.

- -- Yes

Advise on the final walk-through inspection of the property.

- --Yes

Attend the closing and represent the Home Buyer's best interests, as necessary.

-- - Yes

Keep everything the Home Buyer tell us absolutely confidential and work in the best interests of the Home Buyer.

---Yes

For more information contact:
Pamela Bell, Broker, BUYER'S ADVISORS Pam@BuyersAdvisors.com
or visit my website at: http://www.buyersadvisors.com/

Show All Comments Sort:
Ann Cummings
RE/MAX Shoreline - NH and Maine - Portsmouth, NH
Portsmouth NH Real Estate Preferrable Agent

Hey Pam!!!  Great to see you here and posting!!

Ann

Feb 22, 2008 10:52 AM
Vicki Lloyd
The Lloyd Realty Group - San Diego, CA
(619)452-9798, Real Estate San Diego California

Hi Pam! 

I like your agency disclosure chart.  Keep posting!  I'm glad to see you participating here too! 

Vicki

Mar 04, 2008 04:41 PM
Maureen McCabe
HER Realtors - Columbus, OH
Columbus Ohio Real Estate

 

Pam Bell has a face.  How did I miss that you were here in February? 

May 07, 2008 12:47 AM