they look solely at FSBO houses. They might expect money to be saved and make an offer accordingly. Unless the buyer and seller agree to split the savings, they can’t both save the commission.
WHO IS A REAL ESTATE AGENT/REALTOR®?
It’s extremely important to know the ins and outs of real estate agents before you hire one to help in your search for a home, so you know what to expect and what will be expected of you. Simply put, a real estate agent is someone licensed to list and sell real estate, including homes, multi-family properties, commercial, and industrial buildings. A REALTOR®, however, is somewhat different. A REALTOR® is a member of the National Association of REALTORS® and is required to abide by the Code of Ethics. While a REALTOR® is always a real estate agent, a real estate agent isn’t always a REALTOR®.
Buyer’s Agent
As mentioned previously, real estate agents who work on behalf of the best interest of the buyer are commonly called buyer’s agents. Real estate agents who don’t have buyer-agency agreements with prospective buyers, even though they may show homes to those buyers, are construed as working on behalf of the seller and must obtain the best price they can for the seller. The law requires agents to explain whether they’ll be working for the buyer or the seller whenever they have substantive contact with a prospective client. If the agent doesn’t offer you a buyer’s agency agreement, that agent is representing the seller, not you. Agree to sign a buyer’s agency agreement after you have met with an agent. Some people sign an agency agreement after
6
Powered by FlippingBook