| Do I need a Real Estate agent when I buy? |
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You have found the perfect house, and know that the seller is using a Real Estate agent. You want to know if you need to use a licensed Real Estate agent, or if you could save some money by acting as your own agent... If you have asked yourself this question, you probably do not have the necessary knowledge to properly represent or protect yourself. Here in the State of Florida, the seller typically pays the commission in a residential real estate transaction, not the buyer. Most of the time, the real estate commissions are already determined in the listing contract long before you ever see your new dream property. It costs you nothing extra to have your own Real Estate agent represent you when the seller is already paying for it. If you do not have your own agent, the seller's agent will either represent both you and the seller in a limited form of representation defined as a "Transaction Brokerage Relationship" or just represent the seller. This means the agent either has limited, divided loyalties or is working for the seller, not you. Even though there is only one agent to be paid, you should not expect a reduction in price. The agent still needs to perform all of his duties, and now going to be doing some of the work that your agent would normally be doing (whether you realize it or not). This is not going motivate an agent to cut the commissions. The sellers' agent also may not be able to reduce the commission being changed. You have to realize that you are interfering in what is essentially an existing agreement between the Real Estate Broker, agent's employer, and the seller - and something that has already been negotiated and agreed upon by all parties. Also, you better make sure know what you are doing, because even though the listing agent and the sellers have certain legal obligations under Florida Law, they still are not on your side. If your offer results in the reduction of their commission from what the seller has already agreed to pay, the listing agent is not going to be real happy with you. |