What a Buyer’s Agent Does
Sellers often use agents to represent them; similarly, you can enlist an agent to work on your behalf as a homebuyer. Using a buyer’s agent could end up saving you a ton of time, hassle and expense.
Why You Need A Buyer’s Agent
A buyer’s agent can help you through the challenges of finding the perfect property and negotiating with the seller for the best price.
Finding listings and touring houses with you
Agents may be more knowledgeable than you about the neighborhood, and they could give you access to more listings (including those For Sale By Owner, or FSBO). They could also prevent you from overpaying on a property and help you decide on the right offer.
Negotiating the price and sale conditions
Your agent can serve as a buffer between you and pushy seller’s agents or sellers.
Recommending services you’ll need
The agent can put you in touch with mortgage lenders and home inspectors, and assist with other steps in the process.
Helping with all the paperwork involved
Because really, who loves doing paperwork?
It’s Free – No Cost
In return for these services, the buyer’s agent typically takes a commission between 2% and 3%. As the homebuyer, you don’t have to pay this, since the buyer’s agent fee is usually paid by the seller (and taken out of the seller’s agent’s commission). The convenience, guidance and free price make a buyer’s agent especially attractive for first-time homebuyers or those looking in unfamiliar neighborhoods.
Buyer Agents and the Agreements
According to most buyer agency agreements, the buyer’s agent must do these things:
Protect their client’s financial information
Negotiate the best possible price for the buyer
Must disclose to the buyer if they are working with another buyer interested in the same property
Show all properties the buyer is interested in that fits their criteria and budget
Connect you with the service providers—inspectors, lenders, home warranty companies—to best suit your needs
The buyer also has some responsibilities to their buyer’s agent
- Buyers must work with their buyers agent exclusively
- Buyers should clearly define their “must-haves” and “deal breakers” to help their agent streamline the showing process
- Buyers should never give personal information to any other agent
- Buyers should not call other agents to see properties, even if they think they are saving their agent some time and effort
View Our PDF Buyer’s Guides
