Agency Choices for Buyers of Real Estate

Customer or Client... It's Your Choice!

Because all real estate brokerage companies are subject to the Common Law of Agency, the information here within pertains to every real estate brokerage company. A buyer and a real estate brokerage company must agree on a legal relationship before your real estate needs or financial information are discussed. This legal relationship determines whether you will receive client level services or customer level services.

Customer Level Service: If a real estate brokerage company represents the seller in a transaction and not the buyer, the seller will be the client and the buyer will be the customer of the seller's brokerage company. In this example all fiduciary duties are owed to the seller and the seller only! (Fiduciary duties are explained below)

Client Level Service: If a real estate brokerage company represents the buyer in a transaction and not the seller, the buyer will be the client and the seller the customer of the buyer's brokerage company. To obtain representation, the buyer and the brokerage company will enter into a "Buyer Representation Agreement." In this example the buyer is owed all the fiduciary duties of his/her agent. (Fiduciary duties are explained below)

The Fiduciary Duties owed to a client by a real estate brokerage company are as follows:

* Undivided loyalty

* Obedience

* Reasonable Care

* Confidentiality

* Full Disclosure

* Accountability

When signing any sort of contract, there is always consideration to be paid. However, there are several ways to receive this representation without having to pay for it yourself ! Here are a few:

1. To induce buyers to view their property, many sellers will voluntarily agree to pay all or a portion of the buyer's agent's fee on behalf of the buyer. If the property is listed with a brokerage company, this can be accomplished at no additional expense to the seller.

2. A buyer may make an offer to the seller which is contingent upon the seller paying the buyer's agent's fee.

3. The buyer can pay the buyer's agent's fee and reduce the offer to the seller by the amount of the fee.

4. The buyer can simply refuse to purchase the property if the seller will not assist in the paying of the buyer's agent's fee.

* TO DATE, NONE OF MY BUYER CLIENTS HAVE HAD TO PAY FOR THE REPRESENTATION THAT I SUPPLIED TO THEM. YOU CAN ENJOY THIS LUXURY AS WELL!!

Let's now look at the benefits of being a buyer client while looking for a home:

* Your agent can now fight to help you obtain the best possible price & terms for the property you finally choose.

* The knowledge that anything you say to your agent cannot be used against you in the negotiations with the seller.

* Now you can be provided with a 'Competitive Market Analysis' for any home to assist you in determining price.

* Your buyer agent will provide an objective view of properties pointing out both positive and negative aspects of the property, neighborhood & area.

* Your buyer agent will assist you, the buyer, in establishing a negotiating strategy, implementing the strategy and keeping the strategy confidential.

* But most importantly, your agent will obey your lawful instructions and provide 100% loyalty to you!

Click on "Referral" below if you would like me to assist you in locating the "Accredited Buyer Representative" nearest you. You know you want to purchase a home, now make the move that will help you achieve your goal for the lowest possible price and best possible terms...

It's your money...It's your decision!