Fair Fight in the Marketplace

This film is brought to you by the collaborative efforts of: Street Law, Inc, the American Antitrust Institute, Filmmakers Collaborative, and the Constitutional Rights Foundation.

This is a documentary about what antitrust laws are, and what they mean to everyone—consumers, small businesses, entrepreneurs, free enterprise, etc.

It is now airing on PBS—but, if it is not airing in your area, you can watch it here. Before positive changes can happen, we must all be aware of the problem—and most importantly—we must care about the problem, because antitrust affects us all in many different ways, and in many different industries; including the suppression of exclusive buyer agency in the real estate industry.

Learning resources are available by visiting www.fairfightfilm.org/learn.html




If you would like to help--spread the word about this film!

Buyer Agency and Fiduciary Duties: No Nonsense Here

In a recent blog, I read one person's argument stating that: "fiduciary duties and buyer agency cannot co-exist based on the current method of compensation."

While I can appreciate that this person is expressing his views, I have to say that I totally disagree with this idea, because--as I pointed out to this person--not all real estate agents are the same. Not all will share the same worldviews, values, and norms.

Although Washington state may not require real estate agents to provide fiduciary duties, it does not mean that they cannot, or should not, provide such duties. His blog was based on the quote of a local Realtor--found in a story by the Seattle Times called, "Agent commissions inching upward," that said:

“In a market flooded with unsold listings, she says, a 3 percent co-op split 'is always going to attract more attention than 2 percent. We call [inadequate splits] ‘getting eliminated at the office.'”

My response:

"This is only one agent’s perception–and there may be others that share this view, but this person does not speak for all agents, or brokers. She certainly does not speak for me. I am an Exclusive Buyer’s Broker, and my only concern is showing properties according to what my clients need, and what they can afford. I earnestly make it a point to maintain fiduciary duties with my buyer clients–and because of this–I don’t take listings.

It is not right, nor is it fair, to make sweeping generalizations about buyer agents, because it is a fact that not all real estate agents–let alone buyer agents–operate in the same way, nor do they all maintain the same values."

The Six Essentials of Qualifying for FHA Loans

While FHA is a very helpful program designed to help Americans achieve homeownership, there are a few helpful things to know about what it takes to qualify for this type of financing. The six main points of pre-qualifying for this type of mortgage program--as described by fha.com--include, as a rule of thumb:

1. Steady employment history, at least two years with the same employer.

2. Consistent or increasing income over the past two years.

3. Credit report should be in good standing with less than two thirty day late payments in the past two years.

4. Any bankruptcy on record must be at least two years old with good credit for the two consecutive years.

5. Any foreclosure must be at least three years old with good credit for the past three years.

6. Mortgage payment qualified for must be approximately 30 percent of your total monthly gross income.

For more information about FHA mortgages, and other helpful homebuying tips, please visit the official web site of the U.S. Department of Housing and Urban Development (HUD). FHA can help buyers whether they are first time homebuyers, or they are buyers who would like to buy and renovate a fixer. FHA also has a reverse mortgage program for seniors, as well as, programs for buyers of manufactured homes. Information about these different programs can be found by visiting HUD's loan program page.

Basic eligibility requirements for an FHA mortgage can be found through their knowledge base.

Tighter Lending Rules Keep Some Buyers Out

In response to the current situation in the mortgage market, where foreclosure rates are at an all time high, lenders across the board are tightening up their lending requirements, making it more difficult for buyers to qualify for a mortgage.

Gone are the days of 100% loan-to-value mortgages. While some may see this as a barrier to homeownership, it is actually a blessing, because nothing is more financially devastating than a foreclosure on one's credit history. According to Carolyn Said of the San Francisco Chronicle, who interviewed a number of larger lenders, explained that the new standards fall into the following areas:

"Ability to repay. Buyers are no longer being qualified at the low initial rate. They must qualify for the loan payments at rates equal to what the loan would be if it reset at a higher rate."

"Down payment. Lenders want buyers to put some money down, even as little as 5 percent or 10 percent. Loans for 100 percent of the price are very hard to get."

"Credit score. Credit scores range from the high 300s to the low 800s. Borrowers with a credit score above 680 are likely to qualify for a reasonable deal. Between 660 and 680, they may qualify, but the deal could be pricey. Potential borrowers with a score of 620 or less need to raise their scores before they can qualify."

"Income and income verification. Producing proof that a borrower has a job is key; “stated income” loans are much more difficult to get. Also lenders are unlikely to approve a loan in which the home buyer will spend more than 45 percent of his gross income paying off debt, including paying the mortgage."

Cite Source from Realtor Magazine,click here.

While these changes may delay homebuying plans for some buyers, this is actually a blessing in disguise--because these new standards will cause buyers to improve their financial situation before taking on the huge financial burden of taking of a mortgage. It will also benefit buyers in the long term, because these new standards will ensure that they stay on path to a healthy financial future. For buyers who are financially capable of maintaining mortgage payments, but who do not qualify due to credit scores, there are still alternatives available such as lease-to-own.

However, buyers need to keep in mind that a mortgage will come into the picture, at some point in the future. Therefore, buyers who choose this route should plan to financially position themselves during the lease period in order to qualify for a mortgage when the lease period is up. Buyers should also have a decent down payment--at least 10% of the purchase price--to demonstrate financial capability to sellers who would consider lease-to-own arrangements.

Bottom line...

While it is now tougher to qualify for a new mortgage, the path to homeownership is not dead in the water. It just takes more long-term planning and financial considerations on the part of buyers, which will only help to benefit them over the years. It is well worth the peace of mind that buyers will have--knowing that they have made the right moves to make sure they can stay in their homes, and stay on the right path to a secure financial future.

Why Buyers Do Not Pay Commissions on Listed Properties

A real estate company is misinforming the public by saying that buyers actually pay for real estate commissions on listed properties. According to information on their web site, "the buyer is the only person bringing a checkbook to the closing, and both commissions come out of the money the buyer provides."

While it is true that buyer's bring the money to the table, the seller's costs of sale are not the buyer's expense or responsibility. If buyers actually paid commissions, they would be paying the purchase price PLUS sales commission. However, this is not the case with listed properties.

The truth is that commissions on listed properties are actually deducted from the seller's side of the closing statement--not the buyer's side.

This means that the seller receives the purchase price first, and then his or her costs of sale are simultaneously deducted to result in net sale proceeds. The notion that buyers pay commissions on listed properties makes about as much sense as employers paying for their employee's income tax deductions. For example--an employee's paycheck--he or she must receive his or her pay first (aka. gross pay) before taxes are simultaneously deducted to result in the employee's net pay.

Likewise, buyers do not pay the seller's costs of sale on listed properties, because these costs are deducted from the seller's gross sale proceeds, which gives them their final net sale proceeds.

It needs to be said that inciting consumer bitterness with skewed information is wrong. It is better to bring about positive changes in the real estate industry without distorting the truth. Buyers can save money by negotiating buyer rebates with agents or brokers in states where it is allowed. It is not proprietary to the company mentioned in this news story.

In Response to 60 Minutes Story

The following was in response to a story done by a reporter for 60 Minutes entitled "Chipping Away at Realtor's Six Percent.". Many comments posted in response to this story were from misinformed people who made unfair sweeping generalizations against all real estate professionals.

*****Posted Comment Begins*****

In Washington State, commissions are negotiable. It is illegal to set commission rates. I am sure that this is the case in all 50 states, since this is a form of price-fixing--an antitrust violation. If sellers want to lower commission rates, then they need to speak up and negotiate it down. If listing agents "don't allow" less than 6%, then THOSE listing agents need to be reported. However, to say that all real estate agents and brokers are bad is, not only ridiculous, but it is also a sweeping generalization that is unfair to those who are honest, good, and who work very hard for the clients they serve.

As far as rebating buyers, some states don't allow this. However, in the states where it is allowed, a buyer can negotiate a rebate with ANY exclusive buyer's agent--or any real estate agent, for that matter. Exclusive buyer agents, however, only work for buyers. They are non-traditional, as discount brokers are, and their priority is to get their clients the lowest price possible on the properties they buy.
Exclusive buyer agents are truly pro-consumer. They don't take listings, and neither do the companies they work for, so there is never a chance of dual agency--which is a conflict of interest.

Dual agency is a conflict of interest, because a seller expects their agent (and their agent's company) to get the highest price possible for their property, while a buyer expects their agent (and their agent's company) to help them negotiate the lowest price possible.

When there are two agents working for the same real estate company, and they are working on opposite sides of each other in the same transaction--these commitments are conflicting. This is dual agency, or "dual representation," on the part of the company.
Dual agents are required to remain neutral to both parties, meaning, that neither buyer nor seller receive the level of service they originally expected, and signed-up for. However, with Dual Agency, the real estate company makes double commissions. It is a long-standing practice in the real estate industry called "double-dipping."

The company being interviewed in this news story has contradicted itself by claiming that they do not allow dual representation (as stated on their web site), yet they take listings--so if a buyer wants to make an offer through them, on a home listed with their company--this is dual representation (aka. dual agency) on the part of the company. A dual agent will make money from both sides of the same transaction, while remaining neutral to both sides. Who is really benefitting here?

Buyers can completely avoid dual agency by hiring an Exclusive Buyer's Agent or broker, because they do not take listings--and neither do the companies they work for. They will also work very hard to save their clients money, because a satisfied client means the possibility of a long-term business relationship.

A True Greater Good in the Real Estate Industry

There was a recent blog from a Realtor discussing the "Skyhook Theory" in real estate. He basically explained that this theory encompasses the principle of finding a greater good in the things we do--and that aspiring to do this makes us better people. While I earnestly believe and agree that finding the greater good in all things is the ideal way to be, the reality of the situation in the real estate industry, is that the greater good is generally neglected when it comes to consumers.

The greater good in the sense of the real estate industry is not just about touting superior service, because a higher level of service should go without saying. I believe that the greater good goes much deeper than that. It should be about ensuring equal footing for buyers and sellers alike. It should be about real estate professionals doing everything they can within their power to prevent either side from being exposed to dual agency--which is a conflict of interest.

It should mean that traditional real estate companies demonstrate a willingness to relinquish the age-old tradition of double dipping--which happens when one real estate company collects commissions from both sides of the same transaction. It should mean that the real estate industry, as a whole, be completely honest with real estate consumers about all available agency options--including Exclusive Buyer Agency.

Not so long ago, real estate was ruled by seller representation. This is no longer the case. The real estate industry is, and has been, transforming to a level playing field between buyers and sellers. As more consumers become aware of dual agency, they are realizing that it is not in their best interests to consent to it, because dual agency is a conflict of interest. The way buyers can be assured that an agent is truly working for them, is by hiring an Exclusive Buyer Agent, or an Exclusive Buyer Broker.

Until the real estate industry owns up to what is truly in the best interests of consumers, we cannot really begin to speak about a greater good in the real estate industry.

A Word to Relocation Companies About Exclusive Buyer Agency

As an Exclusive Buyer Agent, I feel it is my duty to educate the public about the purest form of buyer representation. Here is what I recently sent to Promissor, a relocation company, which claims to value the avoidance of conflicts of interests. They were not clear about whether or not they had Exclusive Buyer Agents among their service providers. However, it needs to be said that in order to ensure that their clients' employees are truly free of conflicts of interest, relocation companies should make certain that their clients' employees are not exposed to the risk of dual agency, which is a conflict of interest.

In essence, relocation companies should stand by the things they claim to value, like avoiding conflicts of interest--or else their claims become only empty promises.

**********Letter Start***********

Hello Mr. Gimpel,

Your web site states the following:

"Consider the advantages of independence - yours and ours. Promisor Relocation is independently owned, meaning we're free from any obligations to affiliated companies and flexible to do what's best for our clients. No conflicts of interest, no hidden agendas. Quality is our only criteria."

However, you should know that if your established resources do not include Exclusive Buyer Agents that you place your clients' employees at risk of dual agency, which is a conflict of interest. I can appreciate that you value the best interests of your clients, and that is why I thought it best to inform you about the transitioning state of the real estate industry. Just to let you know, dual agency happens in one of two ways: (a) when an agent or broker represents buyer and seller, or (b) when two different agents, representing buyer and seller respectively, work for the same real estate company. The real estate company becomes the dual agent.

I am giving you this information, because you will not get the truth from traditional real estate companies. However, since your company web site states that you have a concern for preventing conflicts of interest, I thought you should know this very important information. Good luck!

Three Things to Consider Before Relocating to a New Area

If you have been researching information about the relocation process online, in almost every article, you will read about how very stressful it can be. It is reasonable to say that one will most likely experience some degree of culture shock, because lifestyles can vary dramatically between states, including the cost of living. Here are three things to consider for eliminating the anxiety of relocation:

1. Take some time to visit the area you are considering.

A little familiarity will go a long way, when it comes to knowing whether or not the area will suit your taste and lifestyle. Planning a vacation to the new area is the ideal way to experience the area and what it has to offer. Brochures and pamphlets can only do so much. If your move is job related, you will likely have a few home-hunting trips paid for. However, don’t use this time to get familiar, as you will likely be under some kind of pressure to find a place. Instead, it would be better visit the new area outside of this paid house-hunting time, so you can relax while you see the sights, and all that the area has to offer. By doing this, you will establish a degree of familiarity that will ease any potential “culture shock” when relocating to a new state, and your planning will also benefit from the insight you gain from your visit.

2. Research and plan your move well in advance.

If you can help it, put time on your side. The more time you have to plan your move, the better your plans will be, and the better your move will turn out. There are many resources on the Internet that will help make your plans as solid as possible. For example, MyDreamLocale.com has area reports that tell you about an area’s cost of living, schools, crime reports, etc. It will also let you do area comparisons, which is always good when deciding where to move. Another resource you can find on the Internet is a move planner. Moving.com has a free move planner that you can use, along with other resources on their site, to help you plan a painless relocation.

3. Find an Exclusive Buyer’s Broker or Agent in the new area.

When you have done your research, visited the new area, and you have invested enough time into your planning—you are now ready to find an Exclusive Buyer’s Broker or Agent, if you did not find one already during your initial visit to the new area.

An exclusive buyer’s broker or agent is one who works for a real estate company that does not take listings. Exclusive Buyer Agency is the purest form of buyer representation. It helps buyers completely avoid Dual Agency—which is a conflict of interest. More and more buyers are realizing that they can get caught in a dual agency situation in one of two ways: (a) When the same broker or agent represents both buyer and seller in the same transaction, or (b) when two different agents, one representing seller and the other representing the buyer, works in the same transaction for the same real estate company—their company becomes the Dual Agent.

The best thing for consumers is for them to have their own real estate representatives, separate and apart from the other side in order to completely avoid dual agency, and not giving consent when asked to give it. As a consumer, you should stand firm when it comes to protecting your interests, and being clear about who is working for you is one of the best ways you can ensure that they are protected.

Lastly, if your relocation is job-related, you should be clear on whether or not you will be able to choose your own real estate agent. If not, you should make an effort to negotiate with your employer to, at least, help you avoid dual agency by asking your employer to instruct their relocation company to assign an Exclusive Buyer's Agent to represent you in the purchase of your home in the new area.

Exclusive Buyer Agent: New Home Builder Review

On Tuesday, I viewed some very nice homes about a mile south of Hwy 16 in Port Orchard by Quadrant Homes. Nestled within the community of McCormick Woods, the area is an even mix of both new and existing homes. While the development is fairly new, their neighborhood map shows that most of its Division I lots are sold. However, there are still lots available within Division II.

Some highlights of the model homes I viewed were the lofts that were at the top of

their respective staircases. Although there is an option to make these lofts into an additional bedroom, having a loft at the top of the staircase adds a private living area to the upstairs; which I think is very nice, and it is right in line with Quadrant’s claim that their homes “are designed to use all available space as efficiently as possible.” (Quadrant Homes booklet p. 3).

Another notable feature is this builder’s eco-friendly building practices. According to their brochure, they are a founding member of the Master Builder Association’s Built Green Program. Buyers who purchase their homes will also have an opportunity to become “members of a local land conservation organization and contribute to the preservation of natural resources” (Quadrant Homes booklet p. 5).

While all of these points are very good, what I found most impressive about the work ethics of is this builder is that they work with buyer agents, and they respect their client-broker relationships. This means a lot, because it means that buyers can avoid dual agency. After all, the builder is the seller.

This builder has a proprietary homebuying process that includes Community Sales Managers, Home Mortgage Consultants, Superintendents, and Personal Service Representatives. Although they have their own mortgage consultants, the builder states that buyers are free to choose their own lender. I should add, for buyers who are interested in shopping around for the best mortgage rate, that they should go with a lender that is well-versed in new construction lending. If you are considering buying a new home, this would be the first important question to ask any lender outside of the builder's in-house mortgage consultants. With that being said...

Here are some photos from my tour:

First Home Viewed (2011C):

Second Home Viewed (2323A)

Third Home Viewed (2733B):

Fourth Home Viewed (2431A):

Buyer Beware: Read Mortgage Documents Before Signing Them!

Closing day can be a very hectic and stressful time. However, I cannot stress the importance of taking the time to read the fine print of your loan documents before signing them. It could be your last chance to spot items that need correction before they are recorded, and before the loan funds.

For example, if you told your lender that you preferred a fixed rate, and after taking the time to read the fine print, you discover that the loan documents show the mortgage will actually be adjustable, you can have this corrected before you go through with closing. It will be too late if you wait until after closing.

Make sure you read everything, or if you have an attorney, have them review these loan docs for you. Don't let anyone pressure you into signing without reviewing your mortgage documents, and make sure that you clearly understand what you are agreeing to. All questions should be addressed prior to signing your loan documents, and all corrections should be made prior to signing your closing documents.

It will be well worth the peace of mind you will have when all is said and done.

The Truth About Exclusive Buyer Agency Services

Exclusive Buyer Agency - A Value to Buyers:

Many traditional agents and brokers have nothing good to say about exclusive buyer agency, for the obvious reasons. The truth of the matter is that exclusive buyer agency offers something that traditional agencies do not; loyalty and commitment to the buyer only--without any possibility of dual agency conflicts.

An exclusive buyer agency agreement spells out in writing the expectations between client and broker. It is a negotiable instrument that protects both broker and client. It demonstrates that a buyer is serious, which allows room for other types of negotiations--such as buyer rebates. It will contain a cancellation clause that will allow a buyer or agent the option to cancel the agreement, should either party decide that the association is not working for them. It establishes mutual respect, loyalty, confidence, honest communication, and trust--five elements that create a fantastic working environment and team synergy.

If a client does not agree with certain elements of the proposed agreement, then they should raise their concerns and negotiate for better terms. The best agreements are those that are win/win, meaning that both client and broker feel good about the terms negotiated, as well as, feel good about working together. It is very important to establish honest communication, mutual respect, trust, and loyalty between broker and client upfront--and this is the primary purpose of the agreement.

An exclusive buyer agency agreement assures a buyer that the agent or broker working with them is only working for them. It means that they will have maximum choice of available properties, listed and unlisted, as well as, properties that are both on and off the market. It also means opening up the possibility of negotiating special terms, as already mentioned above.

Favorable feedback from traditional real estate brokers and agents about exclusive buyer agency is highly unlikely:

Buyers need to understand that getting honest feedback about exclusive buyer agency from traditional agents or brokers is highly unlikely, because their priority is to get your business, and if their company takes listings, they will not be able to sign an exclusive buyer agency agreement with you even if they hold an ABR designation.

Their first priority is to keep your business with them, and not necessarily talk to you about the purest form of buyer representation; which is always the best option for buyers. As a matter of fact, there is plenty of mixed information on the Internet regarding whether or not a buyer should sign a buyer agency agreement, let alone an exclusive buyer agency agreement. The negative information found happens for reasons already described above.

Working with clients:

As a policy, my company only works through exclusive buyer agency agreements, also known as, Service Engagement Letters. While there are some buyers out there who prefer not to work this way, we prefer not working with such buyers, because clients receive the highest levels of loyalty, integrity, advocacy, and commitment. Therefore, it is only fair to expect the same in return. Ideal clients understand that it is a good thing to give and receive mutual consideration and commitment in writing--as all real estate agreements are supposed to be.

A Word About Fees:

Fees are negotiable and depend on the type of property purchased, for example, if the property is listed or unlisted. For properties listed on the MLS, fees are covered by the “Selling Office Commission” through the listing company. This means that clients receive the purest form of buyer representation at no cost to them. While there are real estate companies out there that would like the public to believe that buyers actually pay for real estate commissions on listed properties, the truth, is that commissions on listed properties are deducted from the seller's side of the closing statement, not the buyer's.

This means that the seller is paid the purchase price first, and then his or her costs of sale are simultaneously deducted to result in net proceeds. The notion that buyers pay commissions on listed properties makes about as much sense as employers paying their employees income tax deductions. An employee must be paid by his or her employer first (aka. Gross Pay) before taxes are simultaneously deducted to result in an employee's Net Pay. Hence, an employee pays his or her own income taxes through automatic deductions. The employer does not pay the employees income tax deductions--just like in real estate--buyers do not pay the sellers costs of sale on listed properties. The seller's costs of sale are deducted from "Gross Sale Proceeds" to result in "Net Sale Proceeds."

Buyers can owe commissions or flat rate fees, however, if they desire to include unlisted or off-market properties in their search--unless a seller agrees to cover the cost. This would require negotiating with the seller to pay some, if not all, of the fee. Since our fee is generally less than what a seller would pay to a traditional real estate company, a motivated seller should not have a problem with this. However, the portion that is not covered by the seller would be owed by clients at closing.

Clients have the choice of limiting their property search to only MLS listed properties, or including unlisted and off-market properties. It is entirely up to them, how they would like to go about it.

The bottom line:

Clients have the opportunity of customizing their own exclusive buyer agency experience to fit their individual needs, while completely avoiding dual agency, designated agency (just another name for dual agency), and the limitations of single agency. It only takes communication, honesty, and a willingness to reciprocate mutual respect.

How to Hire the Right Exclusive Buyers Agent in 5 Easy Steps.

Unfortunately, buyers often make the mistake of working with the first agent they come into contact with. The following information offers a practical and easy system for searching out potential candidates and selecting the right exclusive buyers agent for the job at hand.

Buyers need to know what options they have available to them, and not let others make these decisions for them. Isn't there enough of that going on these days?

With knowledge comes the power to make the best practical decisions possible, real estate decisions included.

Step 1: The Search - According to the National Association of Exclusive Buyer Agents (NAEBA), only ½ % of all real estate licensees are truly buyer’s agents. The best way to begin looking for an exclusive buyer’s agent is to do a search online using the term “exclusive buyer’s agent” and including the desired property location. A prospective buyer should visit at least 3 to 4 web sites and pay attention to details like professional impression and the overall message communicated in the web site. Buyers should ignore hype that comes from biased sources. For example, a biased source will choose one particular agency to handle all of their real estate inquiries to the exclusion of all others, instead of having a directory of several buyer agencies. This takes away from a buyer’s right and freedom to choose the best representation for them. In truth, one size does not fit all; therefore, relying on biased sources is quite questionable.

Step 2: The Interview - After finding the best two or three candidates, the next step is to set up an interview. At the interview, a buyer should pay attention to detail and ask plenty of questions. Buyers should ask candidates to address any concerns, and be prepared to discuss real estate goals in general. The goal here is to uncover enough information about a particular agent in order to get a feel for each personality interviewed in order to make the best choice. When concluding the interview, buyers should inform all candidates of when they expect to make a final decision and then notifying each candidate by phone or e-mail, regardless of whether or not the candidate was successful in landing the job.

Step 3: The Selection - After concluding the interview process, which can occur online, via e-mail, in person, or over the phone, the selection process begins. The main goal of this step is to determine the best candidate for the job by considering the comfort level of buyer during the candidate’s interview, assessing the candidate’s level of knowledge and expertise, as well as, seeing whether personalities between buyer and candidate click or clash. Buyers should be aware of how an agent handles their questions and concerns. Does the agent seem honest, workable, and flexible? Does it seem like the agent is trying to push their own agendas, trying to use money as incentive or bait, or discouraging buyers from interviewing with other exclusive buyers agents? These are all important considerations. As small as they may seem, these traits reveal the quality of an agent’s character and the nature of their motivations. This is good for a buyer to know upfront.

Step 4: The Exclusive Buyer Agency Agreement - After buyer determines the best exclusive buyer’s agent to work with, the next step is making the working relationship official through an Exclusive Buyer Agency Agreement. There are currently many misconceptions about this type of agreement. Some buyers are reluctant to sign one because they do not understand what it is for and why it is important for them to have one with the right agent. An Exclusive Buyer Agency agreement establishes the boundaries and ground rules of a working relationship between a buyer and their chosen agent. Without this agreement addressed upfront, important issues become a matter of chance and fate. Buyers and their agents should negotiate the terms until they both feel good about the agreement. Expectations are set and mutually understood. A proper Exclusive Buyer Agency agreement avoids misunderstanding and unwelcome surprises, as well as, prevents wasted time and effort. Buyers and their agents should spell out the details of how they should work together in writing, before actually starting to work together.

Step 5: Getting Started - Once an agreement is in place, buyers should meet with their agent to review goals and options based on the information discussed at the interview. In this step, the agent prepares the buyer for what is ahead. The agent will help buyer determine affordability, shop for the best financing, find the best properties that fit buyer’s criteria and qualifications, help negotiate for lowest price and best terms in favor of buyer, and manage buyer’s side of the transaction to closing while watching for, and handling, problems that may arise. The bottom line is that an exclusive buyer’s agent is a buyer’s best friend in real estate, and buyer’s should make sure that they choose the right one for themselves.

Suzette West, RECS, EBA
Exclusive Buyers Agent Seattle