Learn & Earn / Back to Previous Topic Buyer's Agent vs. Seller's Agent There are some differences you may want to consider about using a Seller's Agent instead of choosing a Buyer's Agent, also known as a Buyer's Broker, when you purchase a home. A Seller's Agent will typically try to sell their own listings first and if there is no interest move to other properties in the MLS. They seldom will show properties in which their commission is not protected, A Buyer's Broker will typically start with the MLS and move on to For Sale By Owners, the foreclosure arena and even properties not on the market at all. A traditional agent will show a limited number of properties and utilize sales techniques to close the deal on the one the buyer likes best. A Buyer's Agent will show any and all properties that fit the criteria that emerged out of the initial counseling session.A Seller's Agent must disclose any material defects but not deficiencies in the property as must a Buyer's Agent. By law, a Seller's Agent must use their experience and bargaining talents for the seller. A Buyer's Agent must develop a negotiating strategy for the buyer. A traditional agent must be concerned with the sale of the property that they think fits the buyer's objectives. The Buyer's Agent must counsel the buyer and help them determine and clarify what their objectives are. Buyer Agency is much more consultative and counseling-oriented in its approach. A Seller's Agent cannot advise a buyer that other similar properties have sold for less recently. A Buyer's Broker not only presents such information but helps the buyer study and interpret it. Without the seller's permission, a seller's agent or subagent cannot tell the buyer of the seller's urgency to sell, adverse circumstances that would affect their bargaining position, or that there are other properties at a better buy. The primary difference in Buyer Agency is in the approach and fulfillment of the fiduciary responsibilities. In the approach, working through a buyer's agent will be without sales pressure. As a Buyer's Broker, the agent doesn't need to sell you on a particular property, but simply give you the support and information you need to make your own informed choice. Because you work under contract with the Buyer's Agent, the agent knows that you will eventually purchase through them. Conversely, a traditional agent knows that if they don't sell you a house today, you may buy one from another agent tomorrow. Some buyer agents work on a non-exclusive basis and may put you in a disclosed dual agency situation. Beware the dual agent. Although disclosed dual agency is legal in Massachusetts, it is unlikely to be in a buyer's best interest to use an agent who cannot serve as a buyer's advocate and who is limited only to conveying information between buyer and sellers. |
