While I always encourage comments, in this instance I’m fervently begging for members of the public to chime in down below on this question.
Recently it has become fairly commonplace for buyers to call me (or another agent), ask to see some homes and then buy a home without using the agent. Maybe it’s one of the ones they viewed, maybe it’s a different home. It doesn’t really matter. From what I’m hearing, it’s happening even more than what I’ve personally witnessed.
Many agents use a Buyer Broker Agreement, an employment contact for a set period of time which says the buyer will use this agent to aid them in their home search. It’s fairly straight-forward stuff.
I’ve rarely used this agreement because I always felt a handshake should mean something. When it comes to real estate, though, that doesn’t seem to be the case. When I do use it now it’s usually after showing a handful of homes, enough time for the buyer to get a good sense of who I am, what I know, what I bring to the table.
I’ve been urged in the past not to work with any buyer who refuses to sign a Buyer Broker agreement. Most exclusive buyers’ agents work this way (mooting the misinformed suggestion from the Wall Street Journal’s Real Estate Online that said buyers should hire an EBA but not use their services if a retainer’s requested or an agreement’s involved.)
One could argue that a buyer truly interested in an agent’s expertise would have no issue with signing such an agreement. One also could argue that some ready, willing and able buyers will walk away rather than tie themselves to an agent, even one who’s pledged to work diligently and in the buyers’ best interest as they search for a home.
And so I ask you, those members of the general population who read this blog regularly … Why would you sign such an agreement? Why wouldn’t you sign such an agreement?
Leave only a first name if you choose to remain anonymous. I want to hear from you. Real estate pros are also welcome to comment, but you’re not today’s intended audience. Sorry.
[tags]Phoenix real estate, buyers agency, buyer brokerage[/tags]