Wednesday, September 23, 2015

Why many home buyers of today fear commitment

Why first time home buyers fear committing to one agent.
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Why should I sign with just ONE agent? 

The biggest reason that you should sign with an agent is that it provides a buffer between home sellers, other agents and you. Without an agent you are a commodity. With a signed agreement you are essentially off the market. Assuming your agent is doing what they should and properly representing you than everyone comes out a winner. Consider these points when debating to sign an agreement: there is no set or required length of time you must commit to and the selling agent represents the sellers not you. 

  • The thing to remember is that you can sign the agreement for as short as one day. This serves to ensure that the agent is there to act as a buffer between you and the homeowner/listing agent. The most common complaint I hear is that people don't want to commit to one agent. This is understandable and of course many people may have had a bad experience with an agent in the past. The thing to understand is that you are still in control of the situation. You control the length of time you commit for as well as many other factors depending on the agreement. The agreement does have some specific binding terms and should be read carefully before signing. 

  • The listing agent is already representing the seller and therefore is not looking out for your interest. This is something to consider when you’re driving around and calling the signs in front of houses. Calling the sign number will almost always put you in contact with the listing agent. The listing agent is representing the sellers and is bound to do what’s in the best interest of their client i.e. the home owner. The listing agent may try to talk you into letting him/her handle both sides of the transaction, a term called intermediary. This is fine if you are comfortable with the process of buying a home and don’t need particular advise as the process goes along. By doing this the realtor/agent is representing both parties and therefore can’t give specific transaction related advise to either side

Assuming that you do not have an agent in mind that you would like to work with, than check reviews by others online. I have found that Zillow is amongst the stricter criteria for agents getting reviews posted. If the agent has 4 stars or better, than it is probably a safe bet that they do a good job more than they don’t. This isn’t to say that bad agents don’t get good reviews, but it is a good starting place. Don’t commit for 6 months unless you're very early in the process or comfortable with your agent. Give the agent 30 days and see how they do, if you are satisfied than continue the relationship, if not than walk away.

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