As the name implies, a buyer’s agent represents the buyer’s interests and will negotiate on the buyer’s behalf during the transaction. Home buyers should always have an agent representing them. Buyer agents work to negotiate the best terms and price for the buyer. Best of all, the buyer agent’s services in a majority of cases are free to the buyer. Most people think they have to pay a sales commission when working with a buyer’s agent. The truth is that usually the Seller pays for the Agents Commission. It is very rare to see that a buyer pays a buyer’s agent a commission unless otherwise disclosed and agreed upon in advance. What most buyers need to understand is that whether they use an agent or not, the seller still pays the commission in most sales when going through an agent. The only person that wins when buyers are not represented is the Listing Agent/Seller’s Agent. In most situations a buyer’s agents will have their clients sign an agency agreement, which is usually called an Exclusive Buyer Agency Agreement, but there are many occasions where this agreement is not signed. An Exclusive Buyer Agency agreement usually describes the services provided by the buyer’s agent, how they are compensated, and how the two parties will work together. As a Realtor I get asked all the time why do I need to hire a buyer’s agent to help me buy a house, wouldn’t I get a better deal if I work with the listing agent directly. I usually answer, would you hire your wife’s attorney to represent you in your divorce? The same thought process goes for real estate. Why would you use the listing agent who is working for the seller to negotiate your best interest? There is an inherent conflict of interest. Though not all real estate agents are members of the National Association of Realtors (NAR), those who do join the group agree to abide by a code of ethics. That code essentially stipulates that Realtors deal with all parties of a transaction honestly. Under the code, the Realtor is obligated to put the clients’ interests ahead of his own. He or she is also required to make full disclosure about the problems with a property and be truthful about what he or she knows about the property. The Home Buying Process is stressful enough without worrying about who you can and cannot trust that is why your buyer’s agent should be someone you can confide in and be able to go to when you have any questions about the buying process. Most real estate agents can set a price on a home the minute they walk through the door. If they have a lot of experience in a market, they know how well a neighborhood holds its value and what a buyer should be paying for that property. While anyone can spend a few minutes online and pull information on sales of comparable houses, real estate agents have the experience to know whether a specific house is overpriced or underpriced. In the best-case scenario, an agent will have such a good idea of what you’re looking for that she won’t even waste your time touring houses that won’t work. Not only can agents provide all the data on local home sales that you want to see, but they usually are able to negotiate the best deal and price possibly, most of the time a much better deal than when a buyer decides to buy the property by themselves unrepresented or through the use of the listing agent “Seller’s Agent”. A buyer’s agent can usually bring assets to the deal that come from years of watching waves of transactions in the neighborhood. A Buyer’s Agent is like a parent that wants the best for their children, and will go through all sorts of actions to make sure they are taking the best steps necessary to ensure the success of their children. Now that you are armed with this information, below you will find 10 traits of a good buyer’s agent: 1. Knowledge of the different neighborhoods, pricing, and comps, 2. Ability to identify trouble and request repairs when warranted 3. Finding Available Homes and Suggesting Options Even Off Market Options not available online or MLS 4. Tackling the Paperwork 5. Unemotional Negotiation & Skills 6. Local Code Expertise 7. Thorough Record Keeping 8. Access to Resources like Contractors, Attorneys, Architects, etc. 9. Avoiding Closing Problems 10. Overall Experience
