The home buyer needs to understand the roles and responsibilities of the real estate seller, especially the one they represent in a real estate transaction.
A real estate seller acts as an agent for one or more parties in a real estate transaction.
An agent is an individual who works on behalf of another individual. Under agency law, which governs the relationship between a client and an agent, a person acting as someone’s agent must work to protect their client’s best interests. They say you have a fiduciary responsibility to your client.
The real estate agent and the seller enter into a listing agreement in which the real estate agent agrees to act as the seller’s agent of the house to help him sell his house. In the listing agreement, the seller agrees to pay the listing agent for his services, usually as a percentage of the house’s selling price. Because the listing agent is often not the person who sells the home, the home seller will often agree to pay the agent who sells your home for their services, usually a percentage of the home’s sale price.
Many buyers mistakenly believe that they are being represented by a real estate agent showing them houses when this person usually works for the seller of the house. The home buyer needs to understand that, unless otherwise noted, the listing agent is acting as an agent for the home seller. It means that both the listing and the sales agent are working and looking after the best interests of the house seller.
Many home buyers are unhappy with the typical deal in which real estate agents represent the seller and are forced to represent themselves. Many home buyers prefer to be represented in real estate transactions by a professional and experienced real estate professional. It is why many home buyers choose to hire Melbourne buyers advocates. A buyer’s agent is a person a home buyer employs to represent him in a real estate transaction. Like the home seller, the buyer usually contracts with the buyer’s agent.
Buyer agency contracts have terms and provisions for either party (buyer or real estate agent) to terminate the agreement. The contract should state what services the buyer’s agent will provide and what compensation the home buyer will give the buyer’s agent if they successfully help you purchase the home. The buyer’s agent’s compensation is usually a percentage of the home’s selling price.
Buyers’ agents serve a beneficial purpose in helping to protect the interests of property buyers in real estate transactions. People looking to buy a home who don’t have a lot of real estate experience should seriously consider hiring a buyer’s agent to represent them and help them through the real estate process, negotiations, and deals.