I Want To Talk To The Listing Agent…

Caller:  I want to see this house today are you the listing agent?

Buyer’s Agent:  I would love to open the door to this home for you today.  However, I am not the listing agent.  Can I ask why you don’t want to have representation?

Caller:  I don’t want to have to pay you. 

Buyer’s Agent:  Just so you know, working directly with the listing agents means they are representing the seller’s best interests, not yours.  Their role to you is limited.  A buyer’s agent’s role is to represent you and to ensure your interests are protected throughout the buying process.

Caller:  But I heard that sellers aren’t paying your commission anymore.

Buyer’s Agent:  That isn’t exactly true.  When you find the home you want to purchase, I would submit your offer and include a form called the Seller’s Compensation Agreement.  This agreement allows me to ask them to pay my commission.  Most seller’s are still willing to do that.

Caller:  Then why did the news station commentary say I would have to pay it?

Buyer’s Agent:  That’s a good question, with no great answer except that they don’t really know what they are discussing.

Caller:  So, do I have to pay you?

Buyer’s Agent:  Maybe, maybe not.  It’s up to the seller if they agree to pay my commission.  It’s all negotiable.

Caller:  But the listing agent knows everything about the property.

Buyer’s Agent: So does the buyer’s agent.  We have access to everything on the MLS and Public Records that the listing agent has.  In fact, since we have your best interest in mind, you are actually in a better position with a buyer’s agent; the listing agent is trying to get their client the best deal.  As your agent, we negotiate for YOUR best interest.

 

What has changed for the buyer

New rules have come into play since August 17, 2024 when the courts decided that a seller no longer needed to pay the buyer’s agent.  However, the seller never really did pay the buyers agent.  The seller paid their listing agent’s broker an agreed upon commission.  Their broker, in turn at closing, shared their commission with the buyer’s agent for finding the buyer to purchase their clients property.

Since August 17, 2024, buyer’s across North America will find that they need to sign a Buyer Broker Agreement To Show A Property.  This is not negotiable, it is mandatory.  An agent can receive a hefty fine by their local chapter and state real estate governing board for not following this rule.  And, there are ways to not make it seem so binding to the client.  For instance, I make my agreement for a time-frame of 7 days.  That way, if the client doesn’t like working with me, (my clients love me) they have an out.  But not signing it is now a deal-breaker; it has to be signed or I don’t open the door.

 

What are the differences between the two agents

The listing agent is focused on making sure they receive the best deal for their client.  They could also represent you, however, you will probably have to sign a document stating that you are non-represented.  Which just means in legal terms that you will receive the dregs of the deal.  Because NO ONE is there to make sure you are not taken advantage of.  The thing to remember about this paragraph is; The Listing Agent Is Going To Make Sure Their Seller Receives The Best Deal At The Highest Price Possible.

The buyer’s agent is there to ensure that YOU don’t get trampled on during this entire transaction.  My focus, as a buyer’s agent, is to make sure that you get the best deal possible.  This includes negotiating on your behalf, helping with inspections, provide information that you need to make a great offer, and make sure you avoid any costly mistakes.  You can NOT use a buyer’s agent, but if the seller agrees to pay my commission (and most still do agree), why wouldn’t you want to?  We take on the stress so that you don’t have to.

 

Do You Have Any More Questions

Walking through the new rules of buying a home in the post August 17, 2024 era can be a bit confusing if you listen to the media or friends who only know what they hear.  Instead, ask a Realtor for the specifics and why having your own representation is important.  We may be able to save you a lot of money.

Tina Marie