Michael Roberts' Blog -San Jose Homes, Real Estate and Houses for Sale

An exclusive Buyer Agreement is one where you, the buyer,  agree to work with that one agent exclusively.  Are there good reasons to sign an Exclusive Buyer Agreement?  Answer:  One and only one and… rarely necessary.

What if your agent is not what you expected?

You say,  “No!  I have the best agent!”  She is the number one agent for this, that and some other thing, she drives an expensive car, demonstrating her success, and she knows your Aunt Jinny’s second cousin Julie.

So, why did she ask you to sign an exclusive buyer agreement?  It’s a matter of trust.

In my series of articles  “Is my Agent Lying to Me?” the core lesson, was trust.  The primary reason an agent requires a buyer to sign one of these agreements is usually their lack of confidence to provide superior service.   They don’t ‘trust’ that you will be satisfied and you will wander off and use a new agent.

Usually,  a buyer will only change agents when their specific needs are not being met.  A sub par agent, your Aunt Jinny’s  second Cousin’s friend, will figure,  ‘Hey, if I get an exclusive agency contract they can’t use someone else’.

Ok.  What if you hired a Realtor who went above and beyond to provide high quality service?   Your expectations would be exceeded and the need for a buyer agent agreement would be nil.

Sounds great except…few agents actually will.

The one scenario where a buyer contract will benefit you is when you want one.   You could be tricked into signing one when you don’t need it, read carefully.

For example, if you were looking to buy the most affordable home in a very desirable area say for instance, a Los Gatos short sale, you want to be sure your Realtor is not working with another buyer interested in the same Los Gatos property.

To be sure, ask your Realtor if they are representing other buyers looking for the same kind of Los Gatos house .  If the answer is yes then you request an exclusive buyers agreement.

If  you are asked to sign an exclusive buyer agreement be sure you understand why.  Is it because this agent is a slacker?   Do they have another buyer looking for short sales in Los Gatos?

You may be asking if the author has used a buyers agreement.   There was one time when I wished I had.

A call came into my office about one of our listings and the buyer claimed they were not working with a Realtor.  They wanted to see the home right away.   We set an appointment and I gathered all the information they needed to compare the home to other similar homes to help them determine the value.   They were so thankful!

Well, they had a Realtor.   Their Realtor had told them to search for homes, choose those they liked and to call the listing agents to show them.  He told them to call him when they wanted to buy one.  They did exactly that and I had no exclusive buyers agreement.

Live and learn, right?

I can live and learn.   I will represent many buyers and sellers every year.    Will you buy and sell several houses this year?  Can you take the chance to live and learn?

No.  You have one chance to get the best home.   Find the best suited Realtor, build trust and have fun making your dream come true.

Realted article..

http://hubpages.com/hub/Hiring_a_Buyer_Agent