Buyer’s Agency In The Mt Pleasant SC Real Estate Market
If you are looking to buy a home in the Mt Pleasant SC real estate market, it is important that you understand Agency Relationships. It doesn’t matter if you are buying your first house, or are buying your most recent house, all buyers in the Mt Pleasant SC real estate market should understand what roles the Realtors play.
You have probably heard the terms “Buyer’s Agent” or “Exclusive Buyer’s Agent”, and even “Listing Agent”, but what exactly do the terms mean, and why are they important?
When somebody wants to sell their home, they contact a Mt Pleasant SC Realtor to list their house. The seller and Realtor enter into a Listing Agreement. This is a legally binding contract in which the Realtor legally represents the seller. The Realtor, or List Agent, will place the home on the Mt Pleasant SC MLS and will advertise the home in an effort to get the home sold.
Eventually a buyer comes along and is interested in buying the property. They contact the List Agent to discuss an offer. Here is where an unsuspecting buyer can find trouble. Keep in mind that the List Agent is legally bound, by the Listing Agreement, to represent the seller. How can they represent both the seller and buyer?
One of two things can happen at this point: If the Realtor isn’t highly scrupulous, they will negotiate a deal that is advantageous to their client, the seller. Now, it may not be a total lopsided deal, but it probably won’t be the best deal the buyer could have received.
The second way is what is known as “Dual Agency”, which is perfectly legal, and can be fair. In this instance, the List Agent takes on the role of Facilitator, which means they can no longer represent either side. They are basically in charge of handling the paperwork, but have no true allegiance to either party. All three parties–the Mt Pleasant SC Realtor, the seller, and the buyer must all sign an agreement acknowledging Dual Agency.
While this circumstance isn’t rare, it is likely that most buyers and sellers that have entered Dual Agency agreements were not fully aware that neither side had true representation. A realtor that enters a Dual Agency Agreement must walk a fine line, so as not to create a conflict of interest—they must be very careful not to disclose too much information to either party.
For instance, say the seller is selling because of a divorce. This would make them very motivated to sell the house. Let’s also say that the buyer has enough money saved up to pay their own closing costs, but would like to try and have the seller pay their closing costs.
Either piece of information could heavily influence the negotiations, yet the realtor must be very careful not to disclose such information to the other party. Also keep in mind that prior to this buyer coming along, that Realtor represented the seller.
See how easily a conflict of interest could happen? Now, I don’t want to imply that Charleston SC Realtors are unscrupulous, underhanded, or in any way unethical. While there are some that might fall towards the “bad side”, the majority are hard working, honest, and ethical. However, they are human, and mistakes can happen.
More realistically, buyers in the Mt Pleasant SC real estate market need to beware because even in the best case scenario, Dual Agency leaves both the buyer and seller without true representation.
A Buyers Agent is just that—a representative, an advocate, for the buyer. The buyer and Realtor sign an agreement in which the Realtor is legally bound to represent the best interests of the buyer. This ensures that buyers in the Mt Pleasant SC real estate market have someone looking out for them, especially when it comes time to negotiate a contract to buy a home in Mt Pleasant SC.
You should not attempt to buy a home without utilizing the services of a Mt Pleasant SC Realtor. You could very well end up in a situation that leaves you vulnerable and unprotected, and at worse, in a situation that you get taken advantage of.
And the biggest reason you should be sure to have a Mt Pleasant SC Realtor working for you is because having a Mt Pleasant SC Realtor working for you IS FREE!! That’s right, you can have your very own Mt Pleasant SC Buyer’s Agent Realtor working to protect you, and it DOESN’T COST YOU A PENNY! That’s because when you buy a home in Mt Pleasant SC, the seller of the home pays BOTH REALTORS (The List Agent and YOUR Buyer’s Agent) from the proceeds of the transaction!
You wouldn’t go to court without an attorney would you? Especially if you had an attorney for FREE, right? Buying a home in the Mt Pleasant SC real estate market will probably be the largest transaction you have made in your life. Isn’t that too important not to have someone on your side?
Remember, the seller has a realtor representing their best interests, SHOULDN’T YOU?
Contact me and I will be happy to represent you as your Buyers Agent! Check out some of the many FREE services I offer those looking to buy a home in the Mt Pleasant SC real estate market.