Generally, there is a Listing Agent and a Selling Agent.
The Listing Agent is hired by the sellers to market and sell their house. The Selling Agent is the agent who brought the buyer to the home and wrote the purchase offer.
There are times when the Listing Agent and the Selling Agent are one in the same.
Who the agent represents is spelled out in legal documents. The agreement between the Listing Agent and the Seller is known as a Listing Agreement and the agreement between the Selling Agent and the Buyer is a buyer’s agency agreement (if the agent is working for the benefit of the buyer).
It is important to know who the Realtor is working for.
Do you know that when you go to an Open House and a Realtor greets you, he/she is working on behalf of the SELLER. So, don’t talk to the agent about your personal position or you could be jeopardizing your negotiating strength.
Did you know that if you went into an open house, spent time looking through the house, built rapport with the agent and shared the following information with him, he would be required to share the information with the seller -
- The price you would be willing to pay for the house
- Your credit situation
- How much you qualify for
- What your motivation to buy a home is
- If you really need closing help
- If you are looking at any other homes
Be very careful to understand your position and that of the agent you are speaking with. How do you know who they are working for? Ask him/her.