Thinking about buying a home?
The seller will have professional representation...Will you? You
see, sellers list their homes with real estate agents to assure professional representation throughout the home selling process. As a
buyer, you deserve the same kind of services.
Real estate agents may
represent either the buyer, the seller or the transaction. Is your agent
working for you? How do you know? How can you be sure that someone is
looking out for your best interests? Colorado law requires
agency disclosure to prospective buyers. Every real estate agent must disclose
the types of agency through which he/she can represent you. If you do not sign
a buyer agency agreement, then you are NOT being represented. Don't make this
mistake. Consider your options and outcomes. Here are some facts:
Responding to
nationwide lawsuits and settlements that are expected to go into effect in
late 2024, new business practices will MANDATE two key changes
to the way real estate agents do business in the United States:
1) the MLS will forbid listing agents to
publicly disclose any information related to compensation offerings in
their listings. In the past, every listing displayed what the % or
dollar amount a listing agent , seller or builder was offering the Buyer
Agent or Transaction Broker (aka "Cooperating Broker") who successfully
brought a Buyer to the closing table. Moving forward, buyers and their
agents will have no idea what if any compensation ("co-op") is being
offered, so it simply means, Buyer Agents need to take more time
explaining to Buyers how they will be paid at closing - especially if a
Seller or builder refuses to offer a "co-op" (kind of like some for sale
by owners - FSBO have done for decades).
2) Every MLS participant in the United
States working with buyers will be REQUIRED to enter into
a written agreement with their Buyers before the buyer
tours a home. Once again, this is not really anything new because the
Colorado real Estate Commission (CREC) and brokerage firms have
encouraged agents to use written agreements to help consumers understand
exactly what services and value they provide and the costs of those
services. Many agents (myself included) are not pushy and never felt
comfortable asking a buyer to sign a contract before we
agreed to show them properties. It seemed like an unnecessary and
aggressive way to ask for someone's business before they have even had a
chance to know if they trust you to handle what will likely be the
largest financial transaction of their life!
In any case, the way real estate is done in the US is
changing regardless of who agrees with it or not. I'm sure there will be
some agents who refuse to comply with the rules, but Buyer's will have to
decide if they want to put their trust in someone who doesn't practice in a
professional and ethical manner. At the end of the day, more transparency is
a good thing and we look forward to continuing to advise and counsel
potential buyers and creating long-standing relationships.
As your buyer's agent or transaction broker, we want
you to have confidence in our ability to represent you in your next real
estate purchase. We promise to exceed your expectations to ensure that you
are completely satisfied every step of the way or you can terminate our
buyer's agency contract. You'll have it in writing so there are no
misunderstandings. By offering a high-degree of personal accountability,
integrity, technical/marketing expertise and a sincere passion for
delivering outstanding real estate services, you'll never have to worry
about finger-pointing because the buck stops with me. We work with humility
for the good of our clients, community and fellow agents. Lastly, we're
committed to transparency and authenticity.
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UPDATED AUGUST 2024
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For those of you who think all a buyer's agent sets up a home search in the
MLS, chases down lockbox codes, drives around town opening doors, writes a
contract then sits back and collects a fat check at closing a few weeks
later, I feel bad that's the impression you have based on a previous
experience or what you've read online. As mentioned above, some agents are
really terrible at their job (lazy) or the transaction went so smoothly,
they made it seem effortless. Maybe it was a combination of both, but I hope
you stick around to learn more. Knowledge is Power!
Everything You Need to Know About Hiring a
Buyer's Agent
Buying a Home in the Denver Metro Area : Buyer Broker
Agreements; Buyer Agent Compensation & Disclosures; Real Estate Agent
Commissions
