Do I Need a Buyer’s Agent?

You may be wondering – do I need a Buyer Agent? Well, I wanted to follow-up on my last post about AGENCY and talk some more about what a Buyer Agent is and why it may be important to have one.

A Buyer Agent is an agent who is specifically working on YOUR behalf. While any agent you “hire” can help you through the process of buying a new home, the traditional role of an agent (often unclear to buyers) is working on behalf of the seller. Not just because the commission gets paid that way, but unless an agent is specifically asked to be YOUR Buyer Agent, they may be working for the seller. And that means they are NOT protecting YOUR interests. The laws around agency vary from state to state so this may not always be the case, but you should ask for clarification.

So why is having an agent working for YOU important?

• You want someone who is looking out for your interests as the buyer; asking questions, obtaining information, and making sure YOU understand the implications of all that you do in the transaction.
• You want confidentality. An agent working for you will keep information s/he learns from you private and not share it with the seller or the listing agent (e.g., you might tell your agent that you are willing to pay full price if you need to, but want to start lower – this could really damage your negotiating if this were shared with the listing agent and seller, couldn’t it?).
• You probably want and need assistance determining an offer strategy. An agent working for you can help you determine the BEST price to offer based on current market conditions (although it is YOUR decision). An agent who is not, who is working for the seller, cannot help since their job is to help the seller get the best price, not you. Make sense?

As a consumer, it is in your best interests to have someone working for you during the transaction. So keep this in mind as you think about who you want to help you buy your new home.