We don’t always focus on the difference between a seller’s and buyer’s agent. But understanding these differences is crucial when choosing who to work with. It can be confusing to understand the terminology.
We’ll refer to them as a buyer’s and seller’s agents for the purposes of comparing them. A buyer’s representative represents buyers and a seller’s agent represents sellers.
You should weigh whether you need an agent when selling your home. While you can do the job as the owner, you may not be as successful if you are not a skilled marketer or negotiator. An agent can make it even more valuable to you as a buyer. Agents for sellers may not accept buyers’ offers.
The following differences exist between the two, beyond the terminology.
If you are selling your home, and you have hired an agent to represent you, then you will usually get an exclusive representation listing. This is an agreement between the agent and you, the seller. Once you have signed this agreement, the only person entitled to a commission for your home’s sale is the listing agent. The brokerage that the seller’s agent works at receives a commission, and the agent gets a portion.
If a buyer’s agent works with the seller’s broker and their client is able to purchase a home, they are compensated.
A buyer’s agent and a seller’s agent have two primary differences. When a buyer decides to buy a home, their agent wants to ensure that they get the best price and deal possible. The agent representing the seller wants to ensure that their client receives the best price for their home.
Sometimes, the seller’s agent may also represent the buyer in certain cases. However, this is not legal in all states.
Agents can work with buyers and sellers, but there is no reason why they shouldn’t. Many agents do this. Some agents prefer to deal with one side of a transaction, so they might specialize.
The responsibilities of a seller’s agent can include:
* A seller’s representative will visit a property to do an initial walkthrough. They might offer tips to help the seller make their home more attractive to potential buyers.
* Seller’s agents are responsible for marketing. This can include professional photography.
* The seller’s agent works with the homeowner to determine the right price for their property. The goal is to achieve a fair balance between selling the property quickly and getting the highest price.
* Additional services offered by seller’s agents include hosting open houses and tours, helping with closing, and negotiating with buyers’ agents regarding inspections and other issues.
The responsibilities of a buyer’s agent include:
* Assisting buyers in the preapproval process for a mortgage loan.
* Identifying properties that meet their client’s criteria.
* We can arrange appointments for buyers to view potential properties.
* Helping buyers to understand the value of a house as they make an offer.
* Coordinating communication between the title officer, seller, buyer and mortgage lender.
* Assistance with closing.
Although their roles may be different, buyers’ agents and sellers’ agents have the same goals. They are determined to represent their clients as best they can and to negotiate successful closings.