I often write about first time buyers and why they want to be represented by a “buyer’s agent” (all buyers really) and here is just another example. My office partner showed one of my listings to a buyer who found it on the Internet. He is new to the area and a first time buyer. Investors totally renovated my listing and are now selling. Everything is updated and with good quality choices. However it has some challenges with total square feet and no basement.
She was representing my seller and the buyer was calling listing agents to show him homes. In fact he was late because he had to wait for the agent at his previous viewing. In the same week, I showed one of my listings to a buyer who doesn’t want a “Buyer’s Agent” because she feels she will save money if she uses the listing agent.
The first buyer decided against my listing but called us to work with him on finding a home. While our first priority is to sell our listing, after a buyer decides they are not interested, we propose working with them to find the right one. So my office partner took this buyer out and started showing other listings. One of his first comments was “I can’t believe how much you are telling me about this home that you did not say about the first one you showed me!”
When I recently showed my listing to a buyer, I was very complimentary about the home – it is lovely and priced well. However it does need new windows, a new furnace and has some challenges with the location. As a seller’s agent, I would never point this out to a buyer. I answer all questions about the home and condition honestly (if those questions are asked). As a seller’s agent, I am not offering any additional information about a home.
This is particularly important for first time buyers to know - it is in your very best interest to be represented – and it costs you only an agency commission fee. Our office charges $250 that is paid only at closing. The seller often covers this as part of closing costs for a buyer. I haven't figured out why buyer’s think they save money (I have heard this before) – particularly in a “buyer’s market" where seller's price competitively. The seller pays all commission and most everything else if a buyer’s agent asks for closing costs.
I have taken care of both buyers and sellers in a transaction and am as fair as possible in representing everyone and have the best interests of all parties. However, we are a designated agency so my first responsibility when I am the "listing agent" goes to the seller. If you are a buyer, it is in your best interest to be represented. You want a Realtor working only for you to make sure you get the best home in the best condition in the best area at the minimal cost for your price range. A buyer’s agent will do a market analysis and negotiate aggressively on your behalf. You want a home inspection and you want to be represented every stop of the way. Think about it . . . it makes sense.
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Royal Oak Realtor selling Oakland County Real Estate and Real Estate in most of Southeastern Michigan. TishHouse sells Houses - with RE/MAX Showcase Homes in Birmingham, Michigan. Helping People in a challenging market by specializing in Short Sales. See what my clients have to say about my extraordinary customer service and you can always follow me on Twitter.
Cathy, I have learned to wait for buyers to ask me what I think before I say much. I have been through some houses that I wanted to run out of that the buyers loved.
I have a pending offer on a foreclosed home that my buyers LOVE - I have been pointing things out as we move along - just so their eyes are wide open and so they know what they are getting into. I am now getting excited about the possibilities they see and can't wait to see it when they do the work. Thanks for stopping by.