An Exclusive Buyer’s Agent pledges to work for the Buyer:
All with the objective of making the purchase process beneficial to the Buyer.
For a Real Estate purchase to occur there has to be a buyer and a seller. A real estate agent or agents are involved in most purchases. Frequently, the agent(s) “representing” the Buyer is with the company “representing” the Seller. Obviously, the agent cannot represent the Buyer’s interests fully while also representing the seller. Even when the agents are from different companies the agent working with the buyer may have listings which cause him/her to focus on selling property.
As a potential Buyer, if you really want your interests represented, an agent who will negotiate hard on your behalf, focuses on services that benefit you, and is knowledgeable about the things that are important to a Buyer, then you need a Buyer’s Agent to work with and for you.
In South Carolina, we offer three forms of Agency: Dual Agency, Designated Agency, and Single Agency. The Real Buyer’s Agent only practices single agency so we only ever represent one side in a real estate transaction- The Buyer.
Listing Agents: Listing Agents: Listing agents represent sellers. They have a signed listing agreement with the seller to get them the highest price and best terms for their property. They regularly list properties, advertise them, and hold open houses. And although listing agents may also serve a buyer, the buyer is a customer—not a client. Therefore, buyers cannot expect a listing agent to promote their best interests or keep their information confidential. Most importantly, a listing agent’s sole objective is to sell you a house.
Dual Agents: Dual agents represent both buyers and sellers in a single transaction. This situation creates a conflict of interest, because a single agent is representing opposing sides of the transaction. Neither the buyer nor the seller can count on loyalty or confidentiality.
Disclosed Dual Agency: Disclosed dual agency, the Company’s representation duties are limited because a buyer and seller have recognized conflict of interest created by dual agency. It says that the company its associated licensees, cannot advocate one client over the other or disclose information to each other.
Designated Agency: In designated agency the broker in charge of an agency acts as the dual agent while two of his/her licensed agents act on behalf of each clients. Although each side (both buyer and seller) has their own agent, both agents work for the same company so there still may be a conflict of interest.
Buyer’s Agents: Everyone wants to call themselves a buyer’s agent. Yet most so-called buyer’s agents also list properties and spend most of their time selling homes, not representing buyers. They practice dual agency and are NOT exclusive buyer’s agents. If a buyer wants to see a home listed by their agent’s company, the buyer’s agent becomes a dual agent representing both the buyer and the seller. How can someone fully represent two opposing parties at the same time? They can’t.
An exclusive buyer’s agent does not take listings, which means that they never they never represent a seller in any transaction. In this way they are able to be 100% loyal to a buyer looking out for their sole interests.