Let’s go over the benefits of having a buyer agency agreement in place. A lot of people that believe when they go look at houses with an agent, that agent automatically serves their best interests. But that is not the case without specific disclosures in place.
An agent without an agreement in place only owes you honesty and fairness, whereas a designated buyer’s agent commits to the home buyer and provides undivided confidential representation. So what does that entail? Well, it of course includes showing houses, but it also means pointing out the property’s features, providing financing information, and submitting the offer to purchase.
But those are just the minimum requirements of a buyer agency; in most cases, an agent will go above and beyond. This means a higher level of service where that agent is dedicated to you and ensures that you are receiving the information you need. Everything will be getting done on time and they’ll be working with your schedule to make sure that you’re seeing as many homes as you need to see to increase your chances of finding the right one.
A designated agent also owes their clients loyalty. Because brokers don’t get paid until a deal closes, they’re not as likely to offer their loyalty to a buyer who may be working with several different agents. With a buyer agency agreement in place, an agent is obligated to act in the buyer’s best interests above his or her own. Furthermore, without representation, a broker cannot advise a buyer on how much to offer or negotiate on their behalf. Essentially without the buyer agency in place, an agent can only be transactional rather than working for your benefit to ensure you’re getting the best possible service and the best value out of the home you’re buying.
Given that the seller typically pays the broker’s commission, it’s a really good idea to consider putting a buyer agency agreement in place to protect your interests as a buyer. If you have any questions or would like to start the home buying process, reach out to anyone on our team and we would be happy to assist you! Our office number is (217) 422-3335.