DO I NEED A BUYER'S AGENT?
BUYER REPRESENTATION
Accredited Buyer's Representative (ABR)
"More than one million people in the US and Canada are licensed to sell real estate.
Of those licensees, fewer than one in five hundred is an Accredited Buyer Representative."
The ABR Designation
The ABR designation requires extensive classroom training, a formidable written examination, and substantial experience in buyer representation. An Accredited Buyer Representative is fully committed to the real estate buyer.
TO TOP
Why Use An ABR?
Across the country, advocacy groups and licensing laws now encourage buyer representation. From locating suitable properties to contract negotiations and settlement, seek a real estate agent who will be YOUR representative in buying new property.
As a consumer, how often do you buy real estate property? Once, twice, three times in your lifetime? Purchasing real estate is a complex and major transaction with many details to be handled. In the majority of cases the seller will be represented by an agent. Wouldn't you want to have complete and fair representation in the real estate transaction?
TO TOP
The Benefits of Using a Buyer's Agent
Using a Buyer's Representative offers the consumer many benefits. A Buyer's Representative will:
Evaluate the specific needs and wants of the buyer and locate properties that fit those specifications.
Assist the buyer in determining the amount that they can afford (pre-qualify) and show properties in the price range and locale the consumer has determined.
Assist in viewing properties and either accompany the client on the showings or preview the property on behalf of the client to ensure that the identified specifications are met.
Research the selected properties to identify any problems or issues to help the consumer in making an informed decision prior to making an appropriate offer on the property.
Advise the client on structuring an appropriate offer to purchase the selected property.
Present the offer to the seller's agent and seller on client's behalf.
Negotiate on behalf of the buyer client to help obtain the identified property. Keep in mind that the buyer agent will be doing so with their client's best interests in mind.
Review and explain all legal documents to their buyer client.
Recommendations and assistance in securing appropriate financing for the selected property.
Provide a list of potential qualified vendors, e.g. movers, attorneys, and carpenters, if these services are needed by the consumer. Most importantly, the buyer can be confident that they are fully represented throughout the real estate transaction.
TO TOP
How do you hire a Buyer's Agent?
To have an agent represent you, the Buyer, requires an "Exclusive Buyer Agency Contract" to be executed between the Buyer and the Agent. This Contract details what is involved with a Buyer Agency and also what should occur if there is a possibility of a Dual Agency situation.
TO TOP
Buyer Agent vs. Traditional System vs. Dual Agency
Traditional System (Seller's Agent)
Under this system all Brokers and Agents (including the agent who sells you the home) are Agents for the Sellers and have a duty to represent the Seller's best interests, including:
- Negotiate for the highest price possible
- Structure the transaction to the Seller's advantage
|
Dual Agency Relationship
A dual agency results when the buyer (client) wishes to purchase property that is listed with the same company that the Realtor representing them works for. In this instance the Broker/Agent cannot disclose:
- Price Seller is willing to accept
- Price Buyer is willing to pay
|
Buyer Agency
Under this system the Selling Agent is the Agent for the BUYER and has a duty to represent the Buyer's best interest, including:
- Negotiate for the lowest price possible
- Structure the transaction to the Buyer's advantage
This method could save you thousands of dollars, provides you with a Competitive Market Analysis of the property before you make an offer, allows the agent to show you both listed and unlisted properties and costs you absolutely NOTHING! |
TO TOP
Comparison of Services Provided
Comparison Checklist |
| Services & Duties Provided |
Seller
Agent |
Buyer
Agent |
| Arrange Property Showings |
Yes |
Yes |
| Assist with Financing |
Yes |
Yes |
| Provide accurate information |
Yes |
Yes |
| Explain forms & agreements |
Yes |
Yes |
| Monitor escrow and closing |
Yes |
Yes |
| Give you advice & counsel |
NO |
Yes |
| Keep your bargaining and financial position confidential |
NO |
Yes |
| Promote and protect your best interests |
NO |
Yes |
| Negotiate the best price and terms for you |
NO |
Yes |
| Point out reasons not to buy |
NO |
Yes |
| Pass on info that may enhance your bargaining position |
NO |
Yes |
| Assist in writing the offer with your best interest at mind |
NO |
Yes |
| Provides exposure to both listed and unlisted properties |
NO |
Yes |
| Provides a competitive market analysis |
NO |
Yes |
TO TOP |
