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"However, we will do an exclusive buyers agent agreement to go look at or show an approved buyer specific properties within a certain time frame. Placing an offer on a property is much different than doing an Exclusive Right to Sell Listing Agreement."
What is the difference between the two?
It came up in a conversation about a seller's desired sale price, length of agreement if the seller wanted out of the agent's insisted six month agreement. They said the time it takes to take pictures, list the property and a couple or three other chores justifies the 6 month agreement. Otherwise it would not be worth their time without the longer term agreement.
Thanks.
You must want to price your house higher than the agent is recommending. They are saying that since they will be paying for photos, marketing, and putting in many hours of work, they expect to have a fair opportunity to follow through, get your house sold, and earn their paycheck.
The agent will spend their own personal MONEY on a listing agreement which is why they want a longer-term agreement to sell a property. This is real financial damage to an agent.
The agent will spend their own personal TIME with a buyer which is why agents are often okay with property-specific buyer agency agreements. This is a loss of personal time to an agent.
That is why some agents often have different opinions of the two contracts.
I know CA is looking at making buyer agency agreements mandatory, like listing agreements are. Oregon will probably be soon to follow that lead. Buyers will need to start taking buyer agency seriously as in the next 5-10 years, I see a lot of states mandating these contracts so buyers will need to pick and interview their buyer agent well.
The agent will spend their own personal MONEY on a listing agreement which is why they want a longer-term agreement to sell a property. This is real financial damage to an agent.
The agent will spend their own personal TIME with a buyer which is why agents are often okay with property-specific buyer agency agreements. This is a loss of personal time to an agent.
That is why some agents often have different opinions of the two contracts.
I know CA is looking at making buyer agency agreements mandatory, like listing agreements are. Oregon will probably be soon to follow that lead. Buyers will need to start taking buyer agency seriously as in the next 5-10 years, I see a lot of states mandating these contracts so buyers will need to pick and interview their buyer agent well.
Ah - good answer and maybe you've figured out the motivation for the question I was missing.
I know CA is looking at making buyer agency agreements mandatory, like listing agreements are. Oregon will probably be soon to follow that lead. Buyers will need to start taking buyer agency seriously as in the next 5-10 years, I see a lot of states mandating these contracts so buyers will need to pick and interview their buyer agent well.
Being in NC, where Buyers Agency Agreements ARE mandatory to engage an agent as a fiduciary, I am so VERY comfortable with that requirement.
We regressed a bit in the last year in terms of the preliminary disclosure, mandated at 1st Substantial Contact, as we now have a one pager, and can refer the consumer to a website to review a brochure, rather than having a full discussion based on a brochure we provide. I think the NCREALTORS convinced the Real Estate Commission to regress. I have no idea why. Probably REALTORS complained because it was a bother, so they can mumble a bit and get a signature on one page.
Anyway.... A consumer should be led to be able to have a clear understanding of agency before throwing hundreds of thousands of dollars around without understanding the roles of the parties to the transaction.
Look at the mass of abject confusion in this thread over agency:
Being in NC, where Buyers Agency Agreements ARE mandatory to engage an agent as a fiduciary, I am so VERY comfortable with that requirement.
We regressed a bit in the last year in terms of the preliminary disclosure, mandated at 1st Substantial Contact, as we now have a one pager, and can refer the consumer to a website to review a brochure, rather than having a full discussion based on a brochure we provide. I think the NCREALTORS convinced the Real Estate Commission to regress. I have no idea why. Probably REALTORS complained because it was a bother, so they can mumble a bit and get a signature on one page.
Anyway.... A consumer should be led to be able to have a clear understanding of agency before throwing hundreds of thousands of dollars around without understanding the roles of the parties to the transaction.
Look at the mass of abject confusion in this thread over agency:
All brokerages do business differently. An exclusive right to sell is an agreement between seller and brokerage. An exclusive right to buy is between a buyer and a brokerage.
If the property is in a higher price range or a rural location 6 months may be necessary, fair to the brokerage even. If average days on market is less than a month AND it has a termination clause, there is nothing to worry about.
When I first started in real estate average days on market was 9 months.
I agree with the quote. Buyers agreements and Listing agreements are different things.
What is it you are wanting to do?
Quote:
Originally Posted by 2bindenver
If the property is in a higher price range or a rural location 6 months may be necessary, fair to the brokerage even. If average days on market is less than a month AND it has a termination clause, there is nothing to worry about
"My minimum listing period is 6 months. Once a property is listed and the marketing of the property has started, it is usually under contract during the first 30 days or even less, but it all depends on the price and location. If it is over priced it may sit for awhile."
Based on that what termination clause would benefit the seller?
We seek the agent (agency) that is the most optimistic on sale price compared to the others we might ask to run comparables so we have an idea what they are thinking.
One agent might have a few cosmetic improvements which could increase what they think a property may sell for. One agent came out and gave an estimate of sale price and the improvements they suggested (or lack of) were quite different than another agent's opinion.
I don't remember the name of the firm but they can list a property on the MLS system for a flat fee for a few months. Then there is for sale by owner.
How can an agent be involved with a seller who has their own asking price? Thanks.
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