What about the Buyer ?

Naturally you can simply call the Listing Brokerage for a property you’ve noticed and take your chances, but if you were buying a business, would you let the seller’s lawyers and accountants handle everything ?

If the answer is NO! ……then you’ll understand the need to have a qualified expert representing your best interests.

A Buyer Broker, operating under a Buyer Agency Agreement will first assist you in making a systematic review of your specifications and then make sure you’re made aware of ALL the properties that fit your specs, not just specific properties in which he has a vested interest.

Your  Broker can pre-inspect properties which fit your key specifications, report back on the pros and cons of each and provide you with a factual analysis of real market value as opposed to the asking price. When a suitable site is selected your agent will draft on Offer to Purchase or an Offer to Lease which fully protects your interests, without including terms and conditions which make life impossible for the Seller. This will often be geared to obtaining a Conditional Agreement, perhaps subject to final approval by lawyers, but will cover all the essentials of a workable deal without starting out on an adversarial note.

Your Buyer Broker will negotiate  the terms of the Agreement, deal with surveys, waivers and amendments, co-ordinate with Lawyers for both parties and if required can assist with any zoning issues. Most Buyer Brokers can also refer you to sources for financing specific types of properties.

What does the Buyer pay for this service ?

You should pay absolutely nothing.

When the Seller placed the property on the MLS Listing service he contracted to pay the Listing Broker either a fixed fee or a percentage commission. The Listing Broker in turn contracted to share this amount with any co-operating Broker, whether a sub-agent (also representing the Seller’s interests) or a Buyer Broker representing the interests of a Buyer. This assures the Seller of maximum exposure of the property through many thousands of agents, instead of just one brokerage, while assuring that each party to the transaction can have expert professional assistance.

How do you find a Buyer Broker ?

In addition to specialized Buyer Brokers, any qualified Realtor may elect to work as your Buyer Agent, with the exception that he cannot do so for his own company’s Listings, since his entire Company is obligated to promote the Seller’s interests on those.

Each Brokerage will have its own policy regarding Buyer Agency and this must be fully disclosed to you in writing from the outset.

Make sure your Realtor is knowledgeable about the type of property you require and the issues that affect you. The type of questions that he asks or fails to ask on your first contact will quickly determine if he has the right background to add value to the process.