Barbara's Blog - Who Does The Broker Represent? Part Two

So you’re in the market to buy a house. As the buyer you want a bargain just as much as sellers want the best possible price they can get. Real estate agents are the middlemen trying to get all parties to a happy medium.

Because of this, it is important to make sure you have the right type of representation. Should you hire a broker’s agent, is dual representation right for you or should you go it alone using just a lawyer for the legal matters in a real estate purchase?

There’s no right or wrong answer to that question. It’s personal preference and what makes you as the buyer the most comfortable.

Hiring an agent is pretty straightforward. Most agents are hired through word of mouth and reputation. Looking on your own without an agent is also pretty simple, search the net or local papers for homes you want to see, call the listing agent and take a look. If you want to make an offer an attorney can help with that paperwork.

The tricky part comes when or if you are asked to agree to dual agency or designated representation. Whatever you do, don’t just sign it. Ask questions:

·         Why is this important?

·         What if you don’t sign?

·         Can you get a buyer’s agent that will truly have your best interests in mind?

·         Is any or all information I give my agent confidential or will they share it with the seller’s agent?

·         Are there any financial obligations to anyone whether you buy the property or not?

If you decide to go with dual agency or designated representation, make sure you read the agreement carefully. There may be clauses in it in which you end up having to pay not just your agent but the seller’s agent as well.

It’s also important to know who will have access to your information; will your personal and financial information be shared between agents and perhaps the seller? In that case the best advice would be not to say much to your agent. Keep as much financial information you provide between you and your lender.

Whichever route you choose, just make sure you are as comfortable as possible with the situation and your agent.