Real Estate Myth: I'll save money if I don't use a buyer's agent

Real Estate Myth: I'll save money if I don't use a buyer's agent.

Wrong - Many buyers think they can strike a deal with the seller by coming in without representation. This is an unwise assumption. The seller has already negotiated a fee with the listing agent and his/her brokerage. If the listing agent is going to have to handle both sides of the transaction, he/she is going to end up having to please two parties with opposing views on every aspect of the transaction. In North and South Carolina, this is called Dual Agency. Dual Agency is certainly possible and the agent ensures the success of the transaction by acting honestly and ethically on behalf of both sides. The reality is that the listing agent is going to end up working more than twice as hard. Would you take on twice the responsibility for reduction in pay?

When purchasing New Construction, the same principle applies. You are often dealing with a corporate entity (the builder). If you go to new construction without representation, the on site sales person represents the builder. The buyer's agent fee is already worked into the equation. If you come without a buyer's agent, the price of the home won't change. The only difference is that the buyer won't have anyone looking out for their interests in the transaction. The best bet is to Get Representation by a REALTOR!

Steve Schwartz is a licensed REALTOR in NC and SC specializing in Fort Mill, Tega Cay, Lake Wylie, and Charlotte and the host of www.thepurpledog.com. Real Estate Law varies from state to state. The comments made herein pertain to a typical real estate transaction in NC and SC and may not be relevant in your state. Make sure to enlist the help of a licensed REALTOR in your state.