Buying a home in Orlando, FL isn’t unusual since Florida is one of the big names in the real estate market. Not every buyer in Florida, though, has experience buying real estate. This means buyers can have a hard time navigating the local market because of the influx of interested buyers in the Orlando, FL real estate market.
Because of this, buyers often realize the importance of having someone represent them during real estate transactions. This is where Orlando FL buyer’s agents can come in handy. A buyer’s agent will help home buyers navigate seamlessly in the real estate market and more.
Here’s everything you need to know about Orlando FL buyer’s agents.
What Does a Buyer’s Agent Do?
A buyer’s agent is a specialist in real estate whose main job is to represent buyers throughout the home buying process. A buyer’s agent is the buyer’s representative in a real estate transaction process. They advocate and negotiate for the buyers to get them the best possible result in favor of the buyer’s interest.
It’s part of their fiduciary responsibility to ensure that their buyer finds the right property that meets their interests and conditions. Additionally, they’re also obligated to provide relevant information about the prospective properties that may affect a buyer’s buying decision.
More than that, a buyer’s agent will also identify anomalies or draw attention to issues that may harm the buyer. They must also report any problems and provide a solution that will work out best for the buyer. All information disclosed between the buyer’s agent and the client will be kept in confidence as part of the signed agreement.
Understanding Buyer Representation Agreement
Understanding the buyer representation agreement is essential when working with an Orlando FL buyer’s agent. Signing an agreement protects both the agent and the buyer. A buyer representation agreement should contain an outline of the following:
1. Buyer’s agent’s responsibilities. In this section, the buyer’s agent responsibilities should be stated. Some of these are: explaining the home buying process, finding prospective properties in the market, inspecting these properties, helping the buyer decide on the asking price, and more.
2. Term length. This section will state how long the buyer and buyer’s agent will be working together.
3. Disclosures. This section will tackle the information that a buyer’s agent will provide to a buyer. This means that any harmful or beneficial info relevant to the transaction should be disclosed and discussed with the buyer.
4. Exclusivity. An agreement should also specify its exclusivity. There are three types of buyer representation agreements, namely:
- Non-exclusive, Not for Compensation - This is a rare type of agreement that means the buyer can hire more than one agent. With this kind of agreement, the agent does not need compensation, and the contract can be terminated anytime by either involved party.
- Non-exclusive, Right to Represent - This type of agreement also allows the buyer to hire more than one agent. The difference is that a buyer’s agent will be compensated if they represent the buyer in the closing deal on a property. A non-exclusive agreement means that the buyer can still hire another buyer’s agent if the previous agent they worked with wasn’t able to close a deal for them.
- Exclusive, Right to Represent - This agreement is the most commonly used contract between a buyer and buyer’s agent. In this situation, the buyer can only hire one buyer’s agent that will represent them. Additionally, their compensation is also explicitly stated with the term length. An exclusive agreement typically lasts for a term of at least three months to a year.
5. Property Description. This section will give detailed information about the type of property the buyer is looking for, as well as their price range.
Orlando FL Buyer’s Agent Commission
In Florida, the average commission for real estate agents is around 5% or 6% of the property’s final sale price. The 5% or 6% commission is split between the listing agent and buyer’s agent. This means each agent will receive half of the agreed commission fee from the final sale price of the sold property.
Home buying in Orlando, FL, can get hectic without the help of a buyer’s agent. The home buying process requires a lot of time and effort to achieve a successful transaction. Working with a buyer’s agent will minimize any issue or problem that a buyer may encounter, while saving them time and money as well.
If you want to know more about Florida real estate, watch this eye-opening webinar on YouTube. The speaker is Erika Phelan, an experienced broker associate in Florida. She will talk about real estate secrets every home buyer should know and tips to help you in your next home buying experience. Click on this https://www.youtube.com/watch?v=qDPUxwfJUQg&feature=youtu.be to watch the full webinar!