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Buyer's Agents: Here's What We Offer! Main Photo

Buyer's Agents: Here's What We Offer!


Posted: October 30, 2017 by Bailey Gordon

While most people enlist the help of an agent when selling their home, many are still unaware of just how  beneficial an agent can be to assist you with purchasing a home. Today we'd like to introduce you to the benefits of having a Buyer's Agent!

How They're Qualified: Licensed agents can act as Listing Agents, Buyer's Agents or both, depending on their preferences, so it's important they have the same knowledge and access to the market, which means more help for you when it comes to buying and selling!

Buyer's Agents are licensed in Real Estate. Not only do they participate in extensive courses, continuing education and are required to pass a National and State licensing exam, but they are also required to take courses in ethics and moral responsibilities when it comes to helping clients.

This education allows them an expansive amount of knowledge about the local real estate market, as well as access to statistics, property sales, projections and market values that an unlicensed buyer would be unaware of.


How They Help You: Sometimes buying property can be a highly emotional, unfamiliar experience, especially for first time buyers. A buyer's agent can offer objective pro's and con's to help you make tough decisions that could be difficult on your own. 

A buyer's agent will also be beneficial when it comes time to make an offer and negotiate the terms of your contract. People often find that while negotiating sounds generally easy, it is difficult when your emotions are involved, when you're making a large investment and when you don't typically negotiate in your daily activities. This is when a buyer's agent can really make sure your needs and wants are met, with experience and a good skill set of negotiation techniques.


Having a buyer's agent can also save you a lot of time! By hiring a buyer's agent you're instantly gaining access to listings that aren't available to the public. An agent will study, research and eliminate properties that don't match what you're looking for while also taking the time to compare prices for you, coordinate your walk throughs, schedule inspections, adhere to deadlines and again, relieve the stress of having to house hunt on your own. With a well-prepared list of properties that fit the description of what you're looking for a buyer's agent will take on every aspect of your search from start to finish!

What a Buyer's Agent Costs the Buyer: Nothing! Seriously, we know there is some confusion here for those who are new to buying about how the buyer's agent gets paid, but for all of the above mentioned help you will receive by hiring a buyer's agent, here's how their payment works:

When a seller wants to sell their home, they hire a listing agent and agree on a fee to pay that Listing Agent. The listing agent (for that fee) lists the home on a network called a Multiple Listing Service (MLS) where they agree to compensate the buyer's agent once the sale has closed. It's as simple as that.

The original fee that a seller and their listing agent agrees upon is negotiated and then split by that agent to pay your buyer's agent. This offers incentive to the seller and their listing agent to get serious buyers and multiple offers because that's how the buyer's agent gets their commission. So honestly, the seller of the home you will purchase is who ultimately pays for your buyer's agent. It's really a win-win situation for you as a buyer because you get all of the knowledge, assistance and benefits of an agent to help you obtain your home, without ever having to pay for it.

The confusion often comes into play here because when you agree to hire a Buyer's Agent to represent you, you will be asked to sign an Exclusive Buyer's Agency Agreement, but that is only to clarify the agent's services and compensation, by agreeing that this agent will act as your sole representation and that you will not be working with other Buyer's Agents at the same time. Buyers do not need to worry about the expense of hiring an agent, as their compensation is a negotiation between the seller and their listing agent.


So in a nutshell, when you purchase your home, you do sign a contract that protects the buyer's agent from you working with other agents, but also agrees that your confidentiality and any information you don't want shared with the seller is protected by that agent exclusively. In terms of compensation, the listing agent's commission is split (by negotiated terms) with your buyer's agent. Your agent gets compensated through the transaction, but only represents you (with confidentiality, fairness and loyalty as bound by their Commission Rules) throughout the whole purchase!

We hope to have shed a little light on the importance of having a Buyer's Agent when you start your home search. With only your best interests in mind, a Buyer's Agent will not only help you narrow down your search, but will guide you through each step of the purchase including writing your offer, negotiating on your behalf, providing you with all the necessary documents, requesting signatures as they are required, scheduling inspections, offering you a loyal outlet for expressing your concerns & emotions and holding your hand until the keys are placed in them! 

 

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