What Does a Buying Agent Do?

The process of buying a home can bring about a dizzying array of contracts, home tours, and haggling. The experience can be daunting even for those who have purchased a home before. A buying agent can ease that stress by walking you through the home buying process. And their services are free -- the seller ultimately pays their commission.

When looking at properties, you might be inclined to contact (and subsequently negotiate with) the selling agent listed on the sign. But buyer beware: Selling agents have a responsibility to seek the best possible outcome for his/her client, the seller - and that means presenting the property in the most favorable light, getting the best (read: highest) price for the home, and placing terms beneficial to the seller in the final agreement.

A buying agent is your partner in the home buying process, someone with connections in the real estate world and experience with the home buying process. They act as your researcher (tracking and presenting properties that fit your criteria) and filter (steering you away from homes that aren't a great match). They are honest tour guides, disclosing all relevant details about the property (Are there any defects that may lower its appreciation down the line? What's the crime rate in the surrounding neighborhoods?) And, most importantly, they represent your interests in negotiations with the seller and their agent. They will push for the price range you want, and add contractual terms and contingencies you request.

When you first meet with an agent they must present you with a disclosure outlining their role as a buying agent. Signing the disclosure doesn't legally bind you to the agent; it's simply your acknowledgement of the agent/client relationship. They may also present you with a Buyer Broker Agreement. This certifies your partnership with the agent, and provides them the power to fully negotiate in your best interests. Not every agent uses broker agreements. And keep in mind, you don't have sign a contract to seek their counsel, but some agents may elect not to work with clients who don't sign. Either way, their services often come without charge - the selling agent pays their commission. Indeed, the best things in life are free!