Do you need an agent to help you?
Buyer representation or not? This question is going to need to be answered by every real estate buyer who is looking to purchase a property from here on out. We agents are now required to get our prospective buyers to sign a “Buyer’s Representation Agreement”, and we must list every address of every property that we tour with the prospective buyers. As a long time agent, I work with both buyers and sellers, and feel pretty confident that I’ll be able to answer my clients’ questions! Local resident and agent, Kim Kelly, is available to answer your questions! 760-285-3578.
Buyer’s Agent Agreement Defined
A buyer’s agent agreement is a contract between a home buyer and a real estate agent that defines how the two agree to work together. And that’s it! While an agent typically is the one who requests a buyer’s agent agreement, it’s meant to set expectations and protect both agent and buyer in case one party doesn’t hold up their end of the deal.
Think about it this way: If you were shopping at a store and a sales associate really took the time to help you find exactly what you were looking for, then they earned the commission for your sale. Well, let’s say after all the sales associate’s hard work, a different one swoops in right at the close, rings you up, and takes the first associate’s commission. Not okay, right? That’s the kind of funny business a buyer’s agent agreement protects a real estate agent from.
Likewise, if the sales associate you’re working with ends up doing an awful job, you’ll want to be able to find a better associate, maybe even a better store. Well, if the right conditions are outlined in a buyer’s agent agreement, that’s exactly what it empowers home buyers to do.
But before you sign anything, you need to make sure the right conditions are outlined—that’s the only way the buyer’s agent agreement will work for you. So how do you know good conditions versus bad ones? The right conditions are:
- What does the buyers agent do for you..the buyer? This is where we, the agent, need to explain our value. Most buyers have no idea how much time and effort goes into narrowing the search to properties that fit their criteria. I’ve got 23 years experience in our Coachella Valley. I am very familiar with the various communities in our desert cities. That’s worth alot!
- How do I, as your agent, get paid? The buyer agreement breaks this down. The buyer pays my commission in the agreement. Remember that commission is negotiable. Even if you agree to pay this commission, it’s my job to negotiate with the seller to get you the best purchase price and terms. Let me do my job!
- Length of contract. You can start with a shorter term to try out your agent, then give them a longer term if you are satisfied with them.
Bottom line: I think a buyer DOES need an agent working on their behalf. If I were buying in an area I did not know, I’d certainly hire one to help me.
