Buying A Home?? Realtor or No Realtor is the question!

[Jerseyt719]

Originally Posted by AndrewMensch

I am using assumed names instead of the major NJ brands to avoid advertising of my office or any comments, negative or positive about other companies in this example.

Sometimes you can not avoid Dual Agency. If you are looking with a Realtor who works for ABC Realty, are you going to tell them to show all houses but those listed by his office and then go to XYZ Realty, tell them the same and make sure they show you ABC's listings?

A few notes:
1. The listing belongs to the OFFICE, not the individual agent - If you are working with ABC Realty in Morristown and they also have an office in Dover, all of those listings belong to ABC, and an offer on any of them will induce dual-agency.

2. The way we work is if a dual agency situation comes up, the manager gets involved to protect the interest of one of the parties and to keep things fair for all.

I think this should be made known more commonly. I had no idea, and I'm sure there are others out there that didn't either.

[lorit_nj]

Originally Posted by Jerseyt719

I think this should be made known more commonly. I had no idea, and I'm sure there are others out there that didn't either.

I agree with this fully. No one specifically told me about the manager getting involved, only that everyone was playing fair (and I'd not found this site yet); in hindsight, I should have pursued it more aggressively, but I was also afraid the buyer would take a hike....or offer me even less if I made a stink. I felt like a hostage, but at the same time, I had to move on and this was my one chance. History now, with a lesson learned.

So how about this scenario...say I finally find a realtor I am comfortable with employed by Agency XYZ, a member of a much bigger national agency. I find a home for sale I like that's listed with another agency in the next county, but that one is also a subset of the same national company. To me, there still would be some chance of dual agency issues, and obviously I'm a bit sensitive about that these days. Could it be?

[Niceguynj]

This is not an attempt to throw listing or buyers agents under the bus but to foster an ongoing truthful conversation

FACTS

"In some states dual agency is illegal"

"Dual Agency is very much LEGAL in N.J"

"The sellers agent has a legal,moral and fudiciary responsibility to the SELLER"

"Buyers agents have a legal, moral and fudiciary responsiblity to the BUYER"

"The seller/listing agent has a moral and legal obligation to tell the buyer that he DOES represent the seller and the sellers interest"

Opinions

"Lets be honest dual agency is a conflict of interest"

"You cant represent two parties at the same time with equal loyalty"

"You should probably get your own seperate and objective representation when dealing with any important transaction or legal matter"

" Sellers agent job should be get the most amount for thier home in the shortest period of time"

"buyers agent job should be get the most HOME for the LEAST amount of thier hard earned money."

how the two above can done at the same time is a little tricky.. ;-)

[AndrewMensch]

Originally Posted by Niceguynj

This is not an attempt to throw listing or buyers agents under the bus but to foster an ongoing truthful conversation

" Sellers agent job should be get the most amount for thier home in the shortest period of time"

"buyers agent job should be get the most HOME for the LEAST amount of thier hard earned money."

how the two above can done at the same time is a little tricky.. ;-)

No doubt it is tricky... but at the end of the day, the seller wants to sell... the buyer wants to buy... We can only suggest, backed by data and the knowledge of the circumstances of the buyers and sellers that one or both sides move toward a solution.

[JamesBoyer]

Originally Posted by Niceguynj

This is not an attempt to throw listing or buyers agents under the bus but to foster an ongoing truthful conversation

FACTS

"In some states dual agency is illegal"

"Dual Agency is very much LEGAL in N.J"

"The sellers agent has a legal,moral and fudiciary responsibility to the SELLER"

"Buyers agents have a legal, moral and fudiciary responsiblity to the BUYER"

"The seller/listing agent has a moral and legal obligation to tell the buyer that he DOES represent the seller and the sellers interest"

Opinions

"Lets be honest dual agency is a conflict of interest"

"You cant represent two parties at the same time with equal loyalty"

"You should probably get your own seperate and objective representation when dealing with any important transaction or legal matter"

" Sellers agent job should be get the most amount for thier home in the shortest period of time"

"buyers agent job should be get the most HOME for the LEAST amount of thier hard earned money."

how the two above can done at the same time is a little tricky.. ;-)

This is why it is so funny to come accross a buyer or two here and there who is going from listing agent to listing agent for one off showing after one off showing. When you try to get them to accept working with you for other listings as your listing is not to their liking, they give you some strange story about being able to get a better deal only working with the listing agent of the home they decide to purchase.

I am not sure who put it into their head that somehow the listing agent is ether going to cut his/her commission in half, and ether give it to the seller who will give it to the buyer, or somehow give it to the buyer. The second of which is illegal in New Jersey, and the first of which is not going to happen as why should the seller give it to the buyer.

In the second example, what really happens is that the Realtor is forced to step back and not be able to give any advice to anyone. Likely the seller has been fully advised before the buyer came along so the seller is in a better possition to negotiate, and as such gets a better deal at the buyers expense.

[AndrewMensch]

Originally Posted by JamesBoyer

T
Likely the seller has been fully advised before the buyer came along so the seller is in a better possition to negotiate, and as such gets a better deal at the buyers expense.

First, buyers who have been out with brokers and do research on the web know the market...

Second, do you really think a seller gets a better deal in ANY situation during a descending market?

[JamesBoyer]

Originally Posted by AndrewMensch

First, buyers who have been out with brokers and do research on the web know the market...

Second, do you really think a seller gets a better deal in ANY situation during a descending market?

I still think it is possible relatively speaking. You could say in that situation the seller got a less bad deal if you want. Basically I am saying the buyer who only shops the listing agents does not get as good a deal as they otherwise would have. This especially applies if the buyer is dealing with a new construction situation or a spec home.

[rr_22_11]

Are all the people posting on this site Agents by any chance and do not want to lose their 3% commision. Why not use that 3% to pay towards closing cost and downpayment ? You should be able to get a good inspector on your own.

[Kevin1975]

You aren't paying 3% as a buyer, the seller is paying the realtors's commission. Don't understand why a buyer wouldn't use a (good) realtor to help guide them through the process and negotiate a deal.

[Bill Keegan]

Originally Posted by rr_22_11

Are all the people posting on this site Agents by any chance and do not want to lose their 3% commision. Why not use that 3% to pay towards closing cost and downpayment ? You should be able to get a good inspector on your own.

When you say use that 3% for anything else, you allude to the buyer NOT using an agent. Correct me if I am wrong in that assumption.
If you choose to not use an agent, you lose the benefit of that agents experience, knowledge, time, effort, and resources. All of those things are supposed to help you in the process, so that you have the best chance of buying the best home under the best conditions. If you feel you can do everything that a buyers agent would do for you, then by all means go ahead and do it without one, seeing if you can "save" that x%. And that's not said in any snide or condescending manner. If you really can, good for you. Some people can. Most cannot, for any of a variety of reasons.
Many people THINK they understand the process, and the job of the buyers agent. Many of those think that the buyers agent doesn't do anything but send them a list of properties and unlock doors. If that's all your buyer agent did, then you didn't get the benefit of a good buyers agent, and that service was not worth x%. I recommend you call an agent in your area, and ask them to sit down & EXPLAIN everything they will be doing for you, as a buyers agent, to EARN that x%.