I was just talking to a friend who lives in Long Island and is currently looking to buy a house. I recommended that he stick to one agent who would be his buyers agent and this way he could get the best representation.
He told me that he uses multiple real estate agents, because he does not want to abuse any single agent with the amount of time or gas money that they may incur. Although this seems justifyable in his own mind, what is he really doing?
Listing agents probably don't mind getting the calls and showing their own listings, right? But are any of you buyers agents getting strung along in this manor? What do you think?
AAAAGGGGHHHH!!!!! What is the last thing you want to hear when you think you are representing a Buyer? Could it be "Let me talk to my OTHER Realtor"? Interview completely, and sign a Buyer's Agreement first!
Huh? So instead of utilizing (not using :) one agent he's going to abuse many? Where is the logic in that. Tell him to step in our shoes....would he like that done to him? ONe thing is for certain...if he tells the agents up front.....then he won't have any agents :)
Buyers need to be educated on how a realtor gets paid. They just don't know sometimes. That stinks for all the agents they are asking to help them! We will show our listings to another's clients if the AGENT asks us, but are very careful when a buyer calls. My mother gets to the point with some of them (who are trying not to answer her questions) of saying, "If you are going to write an offer, do you have an agent you would use to write that offer?"
I think he's saying that he really just wants to look a lot and is not really ready to buy. It may happen out of the blue, but he is not on a mission to purchase. He is "just browsing" the same way that many of us do in a store when we don't want a salesperson to "help" us.
Haven't you ever gone into a store and a salesperson walks up and says "Can I help you find something?" You say, "no, I'm just looking." You likely DO buy something before you leave, but you still don't want help while you are looking.
That's the best analogy for what your friend is trying to tell you.
Peter-I guess people just don't get it. I always try to educate them about using ONE buyers agent. It doesn't have to be me, although I prefer it that way, but don't waste the time of several agents then act like you are doing them a favor by "saving" gas. Actually he is wasting the gas of all but one agent, the one who eventually gets the sale.
Another good case for the exclusive buyer agency agreement.
Michael - my objective is to be a buyers agent, and I won't spend any time or money with someone unless I have a signed buyers agreement first.
sally - so, sometimes people are doing something wrong without even knowing. they think what they are doing is fine or the "right thing" to do.
Chris - I agree, educate the buyer.
Ardell - you make a good point, but it's not exactly the same. he is actually using realtors for one or 2 showings then moving on. I told him to stick to one agent, but at times be prepared to spend your own time and gas browsing for homes. No need to drag the agent out every time, but let other realtors know that you are being represented.
All good comments. I think that many people do know how we get paid they just don't care. As above when you do end up buying something at that store do you look for the first sales person you talked with. We do because we care. most people don't. It's just part of our deal.
Rich - I agree completely!
If I have any indication that they will not work with me only I will ask them if they will work with me only. If they say no then I have to move on.
Just wondering did any of the agents that he has worked with ask him if he was pre-approved and working with another licensed Real Estate agent?
Weichert - I'm sure you're right with many (unfortunately there are people like that).
Mike - I'm with you.
Patty - I had the same thought. I was a little stunned when he was explaining himself to me and didn't ask him, but I will.
It happens all the time- We think of it as a lack of loyalty but I try to give them the benefit of the doubt and say they are misinformed or uninformed...
He really thinks he's doing everyone a favor. At the end he'll make everyone mad except one if he ever buys anything at all. He may be a long-time looker. Why don't you suggest he use one and do the driving himself. : )
Barbara Carter - I guess it must happen more often than I realized. Most of my business is for myself.
Barbara Duncan - I guess he does, that's a great idea about him driving. thanks.
Peter:
I think this buyer misunderstands the relationship between the agent and the buyer. Simple education should assist him. He means well but just misses the point. By the way, thanks for stopping by my blog and leaving a comment.
Sounds like a buyer with a heart. Figure out how to touch the heart and you'll have them as a client for life. The buyer claims to care about other people's time and gas money, at least up-front. Edcucating the buyers about how our business works could be the ticket to winning them as a client. I cannot tell you how many times I have talked with people, educating them, and they have NO clue about how real estate works, even if they have recently worked with an agent.
Maybe he is a buyer who is wasting everyone's time and feels guilty about it .
Peter, wow! So instead of wasting one agent's gas and time, now he's wasting everyone's gas and time even more. I make sure that I am the one and only agent for all my clients.
OH MY GOD! Its amazing how many people still don't understand this business. I was once showing my own listing just to get out and realize that he had three other agents that had listings on the same street come out to show theirs listings.
Lisa - I think you're right, but it makes me wonder how many buyers out there are thinking the same way?
Brian - he definitely is a very nice guy, he has no malicious intent, which is what really makes this worse.
Gita - it could be, but maybe just realizes that he needs more time than is maybe practical to ask of a buyers agent.
Brian - that's how I see it too.
Sonja - that what it seems that this guy is doing, only he may not have had several agents within the same block.
There seems to be no shortage in buyers taking advantage of RE agents, but apparently many others who unintentionally or unknowingly are doing the same thing. Thank you all for your comments.
Grr--My blood pressure elevates just reading this. I choose not to work with buyers like this.
Diane - I agree. But how do you avoid this? Have buyer sign exclusive buyer agency agreement?
Peter: Great in theory if we were paid by the hour, but only one lucky agent will have the opportunity to recoup the cost. Hope it comes back to bite him the ***!
Chris - ever see that movie "Police Academy"? The police officer throws an apple that unkowingly to him, sparks a city riot. Then later he says "who knows how these things start?"
A lot of times when people say "it's not fair", I think that's just payback for something they did in the past. doing something wrong (and not knowing it's wrong), does not make it right.
This should all be covered in the initial interview....I start with "Let me tell you how I work", then go on to explain the things they need to know.
When they walk out of that meeting with you, they should understand what happens next, that You are their exclusive agent, to only call you, and that you are there to help them fulfill their housing needs...or wants and dreams. (and have signed the contract)
I do think it is important to tell them that you are not "too busy" to help them. I have had people tell me that they didn't want to call me during the weekend(for example) and that's why they called the other agent...they didn't want to bother me. hmmmmm Now I cover that too! LOL This industry will always bring new challenges...it keeps us on our toes!
Lloyd Ann - I think you're right. I guess we need to get creative in countering their comments.
This goes back to commitment, or lack of. People should learn to trust depending on location and expertise.
Lu - or if not trust, then sign a document.
You know, I remember when the old addage was "Buyers are liars" and "Sellers are yellers". This is typically true in a Buyer's market. In a Seller's market, everyone is happy. The Buyers can't do enough and the Sellers are happy because their house wasn't lingering, and we're happy because of both.
Buyer's don't care who they buy their home from. I've been burned too many times lately to not institute the practice of putting the Exclusive Buyer Agreement in front of them. I have vowed that I will only work with Buyers who sign. Unfortunatley, our office Buyer Agreement is still out being tweeked. Sometimes these agreements are so difficult to understand that I can't even understand it. If I can't undertand it, how can I "sell" it to the Buyer? I need an agreement that is plain and simple.
When and if I get one, I intend to use it as I would for a listing. I have wasted too much time on Buyers to find that they are putting in an offer with the listing agent because they "called him/her first". I try to educate my Buyers but some just don't listen. It is extremely frustrating! Especially with the price of gas. I have to be more firm and develop a more assertive way of presenting it but first I have to get a good one from my broker. Any suggestions on how to present?
Debra, thanks for your comments. it can get pretty frustrating. we do have some control however. the exclusive buyer agreement is import, if you don't understand it, you should learn it.
Peter, not only do I fully understand the concept of the Exclusive Buyer Representation, but I applaude those who use it faithfully. I am waiting for my Broker to update and tweek it so that EVERYONE understands it better. I find our agreement so complex that Buyers are hesitant to sign because I go line by line with them in trying to explain it. I think it just has alot of things in it that can be simplified. So much so that it intimidates me in not using it. Thanks for understanding my frustration.
PETER - I've been writing a series of posts about buyer representation on Long Island. What your friend is doing is fairly common around here, although I've never heard of it being to look out for the agents before. Buyer representation is not the norm here, but I'm doing what I can to educate people about the advantages of using this approach.
Debra, I understand. I find this whole buyer thing a little difficult too even though I feel like it's the best and right way.
Adam, thanks, the friend is actually looking in Long Island. I told him to find a buyers agent that he likes and stick with him. I actually reffered you (not sure if he ever contacted you).
I feel that the Exclusive Buyer Agreement (Contract) is not to protect the Buyer but to protect the Agent. I am in agreement with its use in protecting us as Agents. I think it's about time we use them and start to stand up for ourselves in proteting our commissions. If we all use them, then Buyers would have to repect the time, effort and knowledge we give them.
The Agency Disclosure is what protects the Buyer. Adam, that agency disclosure should be the norm for every NY agent. It's the State law. I used to be a Realtor in Brooklyn many years ago and I know how long it takes for the "city" to catch up and instill these practices. If you guys aren't using Agency Disclosure, you guys are in danger. If the State comes in and decides to do an audit, you guys are in for some big fines or worse. For your own sake, use that disclosure form.
Debra, I'm sure as time passes exclusive buyer agreements will become more standard. The intention of the contract may be to protect the buyer's agent, but results show that the biggest advantage is to the buyer.
Peter, You are right. There is a big advantage to the Buyer who does sign an Exclusive Buyer agreement. They get many more services. I also think that there is hope for the agent in getting a Buyer to sign as it shows they are committed to the agent as well. It's about time. An educated buyer is always my best Client. :)
Debra, if you haven't read this blog by Adam Waldman, go and read it. it lists a bunch of great advantages for a buyer who uses a buyer's agent.
Peter, I have heard this method used in places like California. One buyer I spoke to said he had 6 agents working for him, and whoever found the right house, would get compensated. If I remember correctly, that is an option there. As long as the agent is aware of what's going on it shouldn't be a problem. I personally would not choose to do business with that buyer.
I have had the feeling of being strung along but then I was the chump who couldn't get the agency agreement signed.
Angela, Finally someone who knows exactly what I am talking about! I, too, am the "chump" who doesn't get it signed as well. I vow to change that as soon as my broker gets me the revised Exclusive Buyer Agreement she has been promising. I can hardly wait! As for the buyer who had 6 agents working for him: the agents must be desperate and cocky to think they will be the chosen ones. Aren't they all digging through the same pile of inventory? Kudos to you from walking away from that.
Angela, thank you. I agree with you. My goal is to become exclusively a buyers agent. The buyers that I will serve will get the best representation that I can provide for them. I look at it like a relationship. If they're faithfull to me, I will be faithful to them; I am not into open relationships.
Debrah, thanks again. I'm happy to hear your supporting comments.
THAT is what true Buyer Representation is all about Peter. The faithfulness, commitment and LOYALTY that we give to the Buyer being reciprocated. Those are the Buyer relationships I am looking for as well. Kudos to you too!
Debra, thank you.
Sounds like your friend doesn't understand how we get paid as Realtors...
Mindy & Jay, thanks for commenting, I guess they don't. but it also seems to be something that may be more acceptable in certain areas.
It's a shame, Mindy and Jay, that a lot of buyers don't understand how we get paid nor do some of us realize this. If we had, I know we would invest the time in letting them know the process....the whole process. Like I've said in the past, an educated buyer is my best client. Have a great day!