Big Reasons To Use A Buyers Broker
Many buyers think they will get a better deal on a home if they work directly with the listing agent. They believe a listing agent will reduce the commission if he or she doesn’t have to share it with a buyer’s agent, thus lowering the price. It sounds promising, but this is not the case in New Mexico. The listing agent has a signed contract with the seller that includes the brokers commission. When the home is listed for sale on the MLS, the commission is set in stone, so to speak.
First of all, the listing agent, the one who brings the home to market, works for the sellers. That agent is the homeowners’ biggest advocate and contractually obligated to get the sellers the most money for their property. Working with the listing agent (who represents the seller) could easily cost you money. A buyer’s agent is a realtor dedicated to the interests of you, the buyer.
Listing agents are responsible to the sellers...so when it comes to negotiations, you are loosing money, because you are working with the seller's broker, when you could have an experienced negotiator in your corner. The goal in any of our negotiations is to get the seller to give us their bottom dollar price and let our buyer clients decide whether they are willing to accept it. Therefore, we have no problem submitting a low offer and encouraging the listing agent to provide a counter.
If you are relying solely on the listing agent, you will be at a disadvantage during the home inspection. A buyer’s broker would make sure you received the most compensation for any issues of concern, such as water in the basement or evidence of insect damage. A buyer’s broker would negotiate aggressively on your behalf.
A buyer broker will lead you through a confusing process that may take a number of unexpected twists and turns along the way. If you rely on the listing agent in one of the most important and complicated transactions of your life, in actuality, you have no one representing you... they are a neutral party that just shuffles paper.
