Why Search for a Realtor, Anyway?

Should You Call the Listing Agent?

First, very few people actually buy the house they call about.

For argument's sake, suppose that you call the Realtor who is listing the property you "might" be interested in.  It turns out that the house is absolutely perfect and affordable and you want to make an offer. Do you want the same agent who represents the seller to also represent you?

When you make an offer to buy a house, you are entering a negotiation. The seller wants as high a price as possible and the buyer wants the lowest price possible. Plus, there is more to buying a house than just settling on a price.  If a Realtor represents both sides, there is a potential conflict of interest, although an ethical Realtor can often equally represent both sides. In such a case, however, the agent becomes more of a transaction facilitator than an agent working actively on behalf of either the buyer or seller.

You must keep in mind that there are times when it might not work out, too.  The listing agent may choose to represent only the seller and that would leave you without your own advocate.

The Crux of the Matter

Most real estate transactions go fine, but almost every one has a challenge or two.  These challenges are often routine, but sometimes not.  Because the agent has divided loyalties, one side or another may doubt where those loyalties truly lie.  Mistrust develops.  This can take a small problem and blow it way out of proportion.  At that point it becomes a crisis.

Having an agent on your side as your advocate removes the mistrust and helps keep things on an even keel.  If a challenge develops, you know where your agent stands.

Plus, the seller pays for it -- you don't.

copyright 2006 by Terry Light and RealEstate ABC, revised 2002