Buyer Representation – What Is It? Are you thinking of buying a home and don’t know how to begin the home buying process? If so, you aren’t alone. Many people who would like to own their first home or, move to another home, do not know the tools that are available to them to make their real estate purchase go smoothly. The information listed here will explain a very important, yet little known fact about real estate—Buyer Representation. For years the real estate industry operated solely on the principle of seller representation. All real estate agents worked for the seller and the buyer was basically on their own in the home buying process. It was a Latin term “caveat emptor”, which means “Buyer Beware”! Within the last couple of decades, important real estate legislation has been passed that has given way to a whole new playing field for buyers-- the establishment of Buyer Agency which allows a buyer to be represented by a Realtor in a real estate transaction. The following are some frequently asked questions regarding Buyer Representation and Buyer Agents: Q. Why do I need my own realtor when purchasing a home, can’t I just use the services of the person who is selling the home for the seller? A. While you certainly will be treated fairly and honestly by a seller’s real estate agent, that real estate agent is working for the seller and is not necessarily looking out for your best interests in the purchase of the home. Q. What will a Buyer’s Agent do for me? A. Buyer’s Agent works for you by representing you in the transaction. She does such things as negotiates the purchase price, writes the offer to purchase and presents it to the seller or seller’s agent, navigates you through the steps involved in the purchase leading up to a smooth closing on the home. Prior to finding the right home, it is the Buyer Agent’s job to search all sources available to her to locate homes that meet your criteria. From those possibilities, the agent sets up showing appointments of the homes you are most interested in, with the seller’s agents, and goes with you to look at the homes. In some cases, she may even preview homes that she thinks you might be interested in. It is her job to work diligently for you to locate your dream home. Q. How much will a Buyer’s Agent cost me? A. Most Buyer Agents do not charge any fees to the Buyer client. Buyer Agents are typically paid by the listing agent, in a cooperation agreement per the MLS. |