A truly GREAT Buyer’s Agent will serve a few primary functions, most importantly:
- ADVOCATE directly and exclusively on behalf of the Buyer
- FACILITATE the search, negotiation, finance, inspection, and closing processes; and
- ADVISE the Buyer on anything and everything throughout the entire experience.
WHY YOU SHOULD HAVE A BUYER’S AGENT: IT IS A FREE SERVICE…BUT, IF YOU NEED TO HEAR MORE
- There are many, many common mistakes that are made by a first time home buyer… A lot of folks out there think they can just find local listings online and coordinate with the listing agent directly. You can. However, most of the online resources are not up to date, which can waste a lot of the Buyer’s time. Also, it is important to remember that the listing agent represents the Seller and NOT you – regardless of how comfortable they may make the Buyer feel. They’re essentially salespeople that have an obligation to the Seller to get the highest price and most favorable terms for the Seller possible. Listing agents’ interests are in direct conflict with those of the Buyer. A Buyer’s Agent has a fiduciary obligation to advocate only on your behalf and work exclusively with your best interest in mind.
- FACILITATE YOUR SEARCH: The entire process is more complicated and involved than most people realize – especially first time home buyers. A Buyer’s Agent can serve to facilitate your search for your perfect property by being a single point of contact and having access to every single house that is actually on the market. If you don’t want to work with a different agent for each house you look at, then a Buyer’s Agent is the way to go. Also, if the you have certain criteria and expectations for your next home or investment property, the Buyer’s Agent can perform a search specifically tailored to the Buyer’s criteria, compile the results, then facilitate a tour of homes and properties.
- FINANCE: If you are unfamiliar with how to finance the purchase of your new home or are unsure about how much purchase power you may have, an agent can be very helpful in evaluating your actual purchase and borrowing power, can guide you through the loan pre-approval / pre-qualification and application processes, and ensure that closing is not delayed or cancelled due to unexpected financing issues.
- CONTRACT NEGOTIATIONS: Further, during the contract negotiations is always helpful to have someone experienced on your side and advocating on your behalf to secure the most favorable price and terms. Buyers have a lot more leverage than they realize during these transactions. Further, in the current Seller’s Market, simple variances in often overlooked contract terms can mean the difference between an accepted offer and a rejected one. Without a Buyer’s Agent, these advantages and proven strategies will be lost.
- INSPECTIONS: Once you’re under contract, during the due diligence or inspection period, it is extremely beneficial to have someone who can serve as a guide and who has a list of vendors that can complete thoroughly all critical inspections. A good buyer’s agent will guide their clients through the entire transaction, all the way up to the closing table.
- FREE SERVICE: Most importantly: It’s essentially a free service. Unless there’s a prearranged consulting fee, a Buyer does not pay the Buyer’s Agent. Instead, Buyer’s Agents split the commission that is paid from the Seller’s funds to the Listing Agent.