What does a buyer's agent do for a home buyer?
All agents owe the following duties to their home buyer:*
But what does a Buyer's Agent actually do for the home
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As your representative, a Buyer's Agent will share valuable information with you, such as how long the home has been on the market and what strengths and weaknesses the property might have.
Most important for many buyers, you can ask a Buyer's Agent for advice and assistance in setting your offering price and structuring the other terms of your offer. You'll have peace of mind knowing an agent is working on your behalf to help you buy at the best possible terms.
"Who needs a Buyer's Agent?" If you're a first-time buyer, if you're relocating or unfamiliar with the local real estate market, if you're buying for investment and want negotiating help, or if you need to purchase anonymously, you'll be best served by a Buyer's Agent who puts your interests first. Also, if the real estate professional helping you find a home is a relative, close friend, a business associate or you previously were the agent's home-selling client, chances are you'd expect the agent to represent your interests and should establish a Buyer Agency relationship. Or, if you just want to get the best value in a property, you owe it to yourself to be the most knowledgeable buyer you can be.
"Can a Seller's Agent or Subagent help Me buy?" The Seller's Agent or subagent is actually working for the seller and is the seller's legal representative. Yes, a Seller's Agent or subagent can offer buyers some services, including a diligent search to find the right home, an explanation of available financing, calculation of monthly payments, estimation of settlement costs, and presentation of your offer. What a Seller's Agent should not do is disclose information such as an opinion of the home's real value. By law, the Seller's Agent or subagent must negotiate on behalf of the seller.
"What will a Buyer's Agent cost me?" Nothing. The sales commission for both agents is paid by the seller in listing the property. Perhaps the right question is, "What will it cost me if I don't use a Buyer's Agent?" Purchasing a home without representation can be a mistake. A Buyer's Agent can guide you each step of the way to prevent costly errors. Failure to find out the actual value of the property can, of course, be expensive. And failure to negotiate a contract that works for you can cost you plenty. With a Buyer's Agent, you can ask for and receive advice and assistance in selecting the best property and determining an offering price.
Summary: If you want an agent to fully represent your best interests, if you want help evaluating a property, if you want someone to negotiate to get you the best price and the best terms, you'll want to enlist the aid of a Buyer's Agent.
Buyer's Agent: acts exclusively on behalf of the buyer; also, "Buyer's Broker."
Listing Agent: person acting on behalf of the seller; the agent who "lists" the home for sale; also "Seller's Agent."
Client: the buyer represented by a Buyer's Agent or the seller represented by a Seller's Agent; also, the "Principal."
Customer: a buyer who works with a Seller's Agent is considered a "customer" rather than a "client" of the Seller's Agent because they have not entered into an agency relationship. Buyer has no representation.
Disclosed Dual Agency: Occurs when one brokerage company represents both the buyer and the seller. In some states, certain modifications may be allowed by law.
Subagent: agent often from another company other than the listing company working with the home buyer but who legally represents the seller.
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