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Should
I Work With A Buyer's Agent?
A Seller's Agent? A Dual Agent?
You should
understand from the beginning of your relationship with your
real estate agent what type of relationship exists. In most
states, real estate agents (both brokers and sales associates
alike) are required by law to let consumers know whether they
represent the buyer or the seller.
In the past,
real estate agents represented the seller exclusively, whether
the agent helped a seller to market and sell the home or helped
a buyer find and purchase the home. In other words, agents
were at one time legally bound to represent the seller in
a residential real estate transaction. In that same scenario,
the seller paid both the listing agent and the agent who brought
the buyer.
However,
in today's real estate market, you may find that you can choose
between a wide variety of options for representation. If you
want to sell a home, you can work with a "seller's agent".
If you are purchasing a home, you can work with a subagent
of the seller's agent and, in many areas, you can engage an
exclusive "buyer's agent".
An additional
situation in some states is dual agency. This type of agency
exists when the buyer decides to have the seller's agent prepare
the offer on the buyer's behalf. A buyer who elects this situation,
and all additional parties to a transaction, should receive
full disclosure of representation. In some states, dual agency
also affects the real estate professional's fiduciary responsibilities
to the seller.
Keep in
mind that real estate laws differ from state to state and
even from locale to locale. And within this framework of variety,
laws can change. For more in-depth answers for your specific
situation, talk with a knowledgeable real estate professional
and ask about local practices. Be sure that you understand
and are comfortable with the options involved when you engage
the services of a real estate agent.
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