Matteo Sterzi
Founder of Prodomos
“A good negotiation is one in which, at the end of the day, both parties are genuinely satisfied”.
Benefits of using a buyer's agent when buying real estate
A buyer’s agent will guide you through the home-buying transaction and be at your disposal for any questions or concerns.
Find the right property.
After determining what the clients are looking for and what they can afford, the agent will schedule appointments to tour homes that fit the bill. The agent can also explain the ins and outs of various properties and neighborhoods, to help buyers decide which home is right for them, by explaining the pros and cons of various options.
- Negotiate the offer.The buyer’s agent will advise clients on an appropriate price to offer and present it to the seller’s agent. Then they will negotiate on your behalf and write up the contracts for you. This is where the agent’s experience in negotiating deals can save you money and help you avoid pitfalls like a fixer-upper that’s more trouble than it’s worth.
- Recommend other professionals.A buyer’s agent should also be able to refer you to reliable mortgage brokers, real estate attorneys, home inspectors, movers, and other real estate professionals. This can also help expedite each step of the process and move you to a successful real estate sale all the faster.
- Help overcome setbacks.If the home inspection or appraisal brings new issues to light, a buyer’s agent can advise you on how to proceed with the transaction, and then act as a buffer between you and the sellers or their broker. If negotiations become heated or hostile, it’s extremely helpful to have an experienced professional keeping calm and offering productive solutions.
Buyer's agent vs. listing agent:
What's the difference?
Buyer's agents are legally bound to help buyers, whereas listing agents—the real estate agent representing the home listing—have a fiduciary duty to the home seller.
That's why it's in your best interest as a buyer to get an agent who is there to represent you. Think about it this way: If you were getting sued, would you hire the same attorney as the person suing you? Of course not. You need someone who will diligently fight for your interests and rights.
The agent/buyer contract
Once you agree to work with someone, you will have to sign a contract called an “exclusive buyer agency agreement,” outlining the agent’s services and compensation.
This contract also means that this person will be your sole representative and that you won’t work with other buyer’s agents.
How much do buyer's agents cost?
Home buyers don’t need to worry about the expense of hiring a buyer’s agent. Why? Because the seller pays the commission for both the seller’s and buyer’s agents.
Typically, the commission is the equivalent of about 3 -4%, which is split evenly between both agents.