There are 3 types of rolls real estate agents play- a “buyers agent” & a “listing agent” or a “Sub-Agent” .
Buyers Agent- represents the buyer & the buyers best interest for any property for sale
Sub-Agent- works on behalf of the listing agent to work with buyers, but represents the sellers best interest. (For example, an Open House being held open by an agent other than the listing agent is acting as a sub-agent for that property).
Listing (Sellers) Agent-Represents the sellers best interest to sell their home.
Quite simply, a Buyers Agent represents Buyers & a Listing agent represents the Sellers.
Q: If you are looking for a home & see one for sale, it is best to call the number on the sign & speak with the listing agent?
A: No. Because you are a buyer, the listing agent is not representing your best interest. It is better to have another agent you trust & like working with to represent your best interest & have them contact the listing agent on your behalf to set up a showing.
The buyer’s agent works for the interests of the homebuyer, but also must know how to work with the listing agent. (Courtesy of the WRA) A buyer’s agent can:
- Give a negative opinion or critique of a seller’s property beyond disclosing defects.
- Recommend or suggest an offering price or give you an opinion about whether a particular house is priced too high or too low.
- Structure the offer and draft offer provisions with the buyer’s best interests in mind.
- Recommend and assist the buyer with negotiation strategies for the best price and terms.
- Disclose all information and research a property’s history and liens so the buyer can make an informed decision.
- Give advice within the scope of the agent’s expertise as a licensed real estate professional.
If you are working with a listing agent or a sub-agent, legally, they can not comment on the above information. That is why it is so important to have a buyer agent representing you.
A great place to find a buyers agent:
-Referral/Recommendation from a someone you know
-Attending open houses in the areas you’d like to live. A great way to casually interview someone to see if they would be make a good fit to show you around. Plus, the most likely know the neighborhood well if they are holding an open house there
-The internet — a growing referral source I recommend you look for agents who jive with your style & neighborhoods you are interested in. Pick up the phone & give them a call!
What’s more? A buyer agent is normally a no cost service to the buyer. The listing agent splits commissions with the buyers agent, so there is no out of pocket expense to you . The commission comes from the selling side.