What is the difference between a buyer’s agent and a listing agent? What does it mean to have dual agency?
A listing agent is hired by a seller to represent them in the sale of their property. The listing agent has a fiduciary obligation to the seller to negotiate on their behalf and to sell their home for the most money possible. The listing agent also negotiates the commission, which is later split with the buyer’s agent. The seller then needs to sign the contract and agree to those terms.
Ultimately, the listing agent has a contractual obligation to the seller to negotiate on their behalf and sell the home for the most money possible.
On the other hand, a buyer’s agent is hired by a buyer to represent them in the purchase of a property. The buyer’s agent has a fiduciary responsibility to the buyer to negotiate on their behalf and to give them the information necessary so that the buyer can make a good investment.
Buying a home is a huge investment; for some, it’s the biggest investment you’ll make in your life, so having someone to advocate for you is very important.
The best part about working with a buyer’s agent is that it’s completely free of charge.
Dual agency is when the agent represents both the buyer and the seller in the transaction. The agent has a fiduciary obligation to both the buyer and the seller to negotiate on their behalf without disclosing each party’s material information.
As you can imagine, it can be very challenging for the agent to be impartial and represent both sides fully.
Whether you are buying or selling a home, it’s important to understand who the agent represents and to have someone who represents and advocates for you.
If you have any other questions about buyer’s agents, listing agents, or dual agency, just give us a call or send us an email. We would be happy to help you!