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Choosing an
Agent
Once you
have made the decision to
purchase or sell a home, the
next step is to find a real
estate agent who will best
represent you and your housing
needs.
There are three types of real
estate agencies: the Buyer’s
Agent, the Seller’s Agent, and
the Dual Agent.
These are the three typical
Agent/Client relationships that
may occur. The terms of these
relationships may vary from
state to state, so please verify
the terms of these Agency
Agreements in your local area
before signing any agreements.
The Buyer’s Agent
Many prospective home buyers
do not feel it is necessary to
contract the services of a real
estate agent. They feel that the
listing agent will represent
them fairly during the buying
process. However, what many
buyers do not know is that the
listing agent, or Seller’s
Agency, works solely on behalf
of, and in the best interest of
the home seller. Therefore, it
is essential that the buyer seek
out and find a Buyer’s Agent
that will best meet their needs.
A Buyer’s Agency works solely
on behalf of the buyer. The
buyer’s agent will assist their
client in the negotiation of the
terms of a contract. In
addition, they will gather
information on zoning issues,
past tax data, schools and
community services, and any
other information deemed
necessary by the buyer before
making the decision to extend an
offer on a home.
Many prospective home buyers
have the misconception that once
they begin working with an
agent, he/she represents the
buyer. However, this is not
always the case. Unless there is
a signed Buyer’s Agency
Agreement, the agent that is
working with the buyer still
represents the seller’s
interests in the transaction.
Without the agreement, there is
certain information that the
agent cannot disclose to the
prospective buyer:
· The reason
that the owner is
selling the property.
· Any
concessions that the
seller is willing to
negotiate.
· Any
conversations between
the seller and the
agent.
· Any
disclosed information
that would harm the
seller and/or give the
buyer an advantage in
the contract
negotiations.
Normally, there are no extra
costs associated with signing a
Buyer's Agency Agreement. Any
commissions paid to agents in a
sales transaction are usually
paid at closing by the seller.
The Seller’s Agent
This agent solely represents
the seller. If there is an agent
involved in a sales transaction,
by default, that agent will
represent the home seller unless
there is a signed Buyer’s Agency
Agreement with the buyer.
When looking for an agent to
work with, it is best to
interview a minimum of 2 to 3
real estate agents before making
your final decision. Ask friends
and relatives for names that
they would recommend.
Below is a list of questions
that may help you in deciding on
which agent will best meet your
needs:
· How long
have you been in the
Real Estate Business?
· How familiar
are you with the area?
How long have you lived
in the area? How long
have you sold houses in
this area?
· How many
clients are you
currently working with?
· Do you work
with more sellers or
buyers?
· How many
homes did you sell last
year?
· What is your
typical commission?
· How do you
plan on marketing or
promoting my home?
· Can you
provide me with names
and phone numbers of
some of your most recent
clients who would be
willing to give me a
reference (if this agent
has not already been
referred to you by a
friend or family
member)?
When selecting a real estate
agent to represent your
interests, it is important to
find an agent that you trust and
feel comfortable with. Remember,
this is probably the biggest
sales transaction you will have
in your life, so it is important
to work with someone that you
are sure will get you the best
offer!
The Dual Agent
A Dual Agency Agreement
occurs when two agents who work
for the same Broker each
represent a buyer or a seller in
the sales transaction. This
agreement must be disclosed to
both the seller and the buyer,
and any privileged information
cannot be disclosed to the
interested party without the
permission of the other party.
What to Look for in an Agent
In addition to finding a real
estate agent that you feel
comfortable with and whom you
trust, make sure that he/she is
a dedicated professional who
will work with you until your
goals have been met.
They should be familiar with
the area. Not only should they
be familiar with the housing
market, but also with area
churches, schools, clubs, and
parks.
Also, look for an agent that
is a licensed REALTOR®.
REALTORS® are individuals who
are members of the National
Association of REALTORS® (NAR),
and must adhere to its strict
code of ethics.
By following these
guidelines, your home buying or
selling experience should be a
pleasant one!
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