Hiring a Buyer's Agent

Make sure your needs are represented as a Buyer.

Just as sellers choose and hire a Listing Agent to market their home, it is important for you as a Buyer to choose and hire a Buyer's Agent to represent your needs in the purchase of a home.

A Buyer's Agent will simplify your home purchase by consulting with you on your search criteria, coordinating appointments and showings, advising you on your offer, and negotiating on your behalf. Buyer's Agents help from Day 1 to after closing and are an essential resource when you are buying a home.

A Buyer’s Representation Agreement makes a commitment to one Realtor and puts your Realtor to work for you. This written agreement allows the Realtor to represent you as a Buyer’s Agent – and gives them the confience of knowing that they can work diligently to
find the right home for you and negotiate the sale of the home on your behalf.

In most cases, the buyer's agent commission is paid for by the seller, which means an advocate that is worth their weight in gold comes at no cost to you!

Why Use a REALTOR®

REALTORSï¿½ Are Experts

Eighty-five percent of sellers were assisted by a real estate agent when selling their home, according to NAR's 2008 Profile of Home Buyers and Sellers, and 79 percent of buyers purchased their home through a real estate agent or broker.

All real estate licensees are not the same. Only real estate licensees who are members of the NATIONAL ASSOCIATION OF REALTORSï¿½ are properly called REALTORSï¿½. They proudly display the REALTOR "ï¿½" logo on the business card or other marketing and sales literature. REALTORSï¿½ are committed to treat all parties to a transaction honestly. REALTORSï¿½ subscribe to a strict code of ethics and are expected to maintain a higher level of knowledge of the process of buying and selling real estate. An independent survey reports that 84% of home buyers would use the same REALTORï¿½ again.

Real estate transactions involve one of the biggest financial investments most people experience in their lifetime. Transactions today usually exceed $100,000. If you had a $100,000 income tax problem, would you attempt to deal with it without the help of a CPA? If you had a $100,000 legal question, would you deal with it without the help of an attorney? Considering the small upside cost and the large downside risk, it would be foolish to consider a deal in real estate without the professional assistance of a REALTORï¿½.

But if you're still not convinced of the value of a REALTORï¿½, here are a dozen more reasons to use one:

1. Your REALTORï¿½ can help you determine your buying power -- that is, your financial reserves plus your borrowing capacity. If you give a REALTORï¿½ some basic information about your available savings, income and current debt, he or she can refer you to lenders best qualified to help you. Most lenders -- banks and mortgage companies -- offer limited choices.

2. Your REALTORï¿½ has many resources to assist you in your home search. Sometimes the property you are seeking is available but not actively advertised in the market, and it will take some investigation by your agent to find all available properties.

3. Your REALTORï¿½ can assist you in the selection process by providing objective information about each property. Agents who are REALTORSï¿½ have access to a variety of informational resources. REALTORSï¿½ can provide local community information on utilities, zoning. schools, etc. There are two things you'll want to know. First, will the property provide the environment I want for a home or investment? Second, will the property have resale value when I am ready to sell?

4. Your REALTORï¿½ can help you negotiate. There are myriad negotiating factors, including but not limited to price, financing, terms, date of possession and often the inclusion or exclusion of repairs and furnishings or equipment. The purchase agreement should provide a period of time for you to complete appropriate inspections and investigations of the property before you are bound to complete the purchase. Your agent can advise you as to which investigations and inspections are recommended or required.

5. Your REALTORï¿½ provides due diligence during the evaluation of the property. Depending on the area and property, this could include inspections for termites, dry rot, asbestos, faulty structure, roof condition, septic tank and well tests, just to name a few. Your REALTORï¿½ can assist you in finding qualified responsible professionals to do most of these investigations and provide you with written reports. You will also want to see a preliminary report on the title of the property. Title indicates ownership of property and can be mired in confusing status of past owners or rights of access. The title to most properties will have some limitations; for example, easements (access rights) for utilities. Your REALTORï¿½, title company or attorney can help you resolve issues that might cause problems at a later date.

6. Your REALTORï¿½ can help you in understanding different financing options and in identifying qualified lenders.

7. Your REALTORï¿½ can guide you through the closing process and make sure everything flows together smoothly.

8. When selling your home, your REALTORï¿½ can give you up-to-date information on what is happening in the marketplace and the price, financing, terms and condition of competing properties. These are key factors in getting your property sold at the best price, quickly and with minimum hassle.

9. Your REALTORï¿½ markets your property to other real estate agents and the public. Often, your REALTORï¿½ can recommend repairs or cosmetic work that will significantly enhance the salability of your property. Your REALTORï¿½ markets your property to other real estate agents and the public. In many markets across the country, over 50% of real estate sales are cooperative sales; that is, a real estate agent other than yours brings in the buyer. Your REALTORï¿½ acts as the marketing coordinator, disbursing information about your property to other real estate agents through a Multiple Listing Service or other cooperative marketing networks, open houses for agents, etc. The REALTORï¿½ Code of Ethics requires REALTORSï¿½ to utilize these cooperative relationships when they benefit their clients.

10. Your REALTORï¿½ will know when, where and how to advertise your property. There is a misconception that advertising sells real estate. The NATIONAL ASSOCIATION OF REALTORSï¿½ studies show that 82% of real estate sales are the result of agent contacts through previous clients, referrals, friends, family and personal contacts. When a property is marketed with the help of your REALTORï¿½, you do not have to allow strangers into your home. Your REALTORï¿½ will generally prescreen and accompany qualified prospects through your property.

11. Your REALTORï¿½ can help you objectively evaluate every buyer's proposal without compromising your marketing position. This initial agreement is only the beginning of a process of appraisals, inspections and financing -- a lot of possible pitfalls. Your REALTORï¿½ can help you write a legally binding, win-win agreement that will be more likely to make it through the process.

12. Your REALTORï¿½ can help close the sale of your home. Between the initial sales agreement and closing (or settlement), questions may arise. For example, unexpected repairs are required to obtain financing or a cloud in the title is discovered. The required paperwork alone is overwhelming for most sellers. Your REALTORï¿½ is the best person to objectively help you resolve these issues and move the transaction to closing (or settlement).