Buyer’s agency agreements can often be a daunting term for many people. However, once you understand what it is, it can be beneficial for you. You don’t want to sign a document that you don’t understand. A buyer’s agency agreement states that an agent will represent their client when engaging with other parties. Glenn Phillips, CEO of Lake Homes Realty, explains what you should know about them and how they can help you when buying a lake home.
- More Than Opening Doors: Buyer’s agents can help you do more than just open doors. They do analyses of the markets that meet your criteria, filtering out houses that don’t meet your goals. Buyer’s agents also help with comparing the market value of your home beyond the listing price.
- Fiduciary Duty: Signing a buyer’s agency agreement ensures that the agent has a financial obligation to help you. Without this agreement, they may not work on your behalf, and in some states, they may work on the other party’s behalf.
- Transparency of Commission: Buyer’s agency agreements help outline how the agent you work with will be paid. Discussions about commission, rates, or what the seller is contributing can be linked to the agreement. This ensures no confusion or surprises about how money flows at the closing table.
- Scope is Adjustable: This is something that not many people know about buyer’s agency agreements. With these agreements, you can adjust how long you work with the agent, whether it’s a few weeks or several months
- Do Your Homework: Signing a buyer’s agency agreement helps drive you to do your homework about the agent. The agent might have made a great first impression, but buying a lake home is nuanced, and you need an expert agent who understands that. Doing your homework about your agent before signing the agreement helps you know who you’re signing an agreement with.
Lake real estate is a different game than typical real estate, and having a buyer’s agent alleviates some of the pressures of the process. Buyer’s agency agreements can help you understand who you’re working with as well as establish financial responsibility for the agent. Visit lakehomes.com where you can get in contact with agents who will help you understand buyer’s agency agreements further.