A lot of MN first-time homebuyers end up working with a sub-agent otherwise known as a seller’s agent and it is important to know that these real estate agents work for the seller, not the home buyer. Seller’s agents are hired to work for the vendor and convince the buyer to the offer, however these people do work on a commission fee with specific rights as well as duties towards the buyer.
Regulations vary from state to state, but there are specific things they can’t do based on federal law. The author of ’100 Questions Every Home Buyer Should Ask’ encourages all buyers to review the agent’s forms and disclosures carefully to know what kinds of services they’ll be providing; if you do not understand anything, do not put your signature on the form. It is also essential to understand the key things that a seller’s broker can and can’t do for you:
The sub-agent can give you detailed pricing listings of similar houses in the area. These are often called ‘comps’ and are a collection of comparable houses in the neighborhood, listing information and their list prices. This information ensures that you are not providing, or being given, an irrational rate when it’s time for you to make a deal.
The seller’s agent can’t tell you which house to select if you are still choosing. Though it is the sub-agent’s task to sell the house they’re commissioned to sell, they don’t have the right to ‘push’ their home over another in question. If you want 2 homes and the real estate agent is performing with the two vendors, they can’t persuade you to buy one over the other house; the decision is definitely yours to make.
The sub-agent can’t point out flaws of the MN home. The seller’s agent can’t mention anything that would affect your final decision to purchase, or not purchase, the home. Any specific material concealed defects can be disclosed, but you will need to conduct a research to check if the house is within good shape.
The seller’s agent can’t give suggestions on the ideal deal for the house. It can be tempting to ask the vendor how much you must pay for the home, however they can not lawfully offer you this information at any time during your conversations. The sub-agent has certain obligations to the vendor, so this information may possibly hinder on their working relationship.
The seller’s agent may ask for referrals. Many seller’s agents are private entrepreneurs and always looking for new customers. They have a right to ask you to recommend them to your family members or friends, and they will do everything they can to make your homebuying experience a great one.
When you are working with a seller’s agent as a first-time buyer, it’s important to remember that they’re in this business to help make the house buying process relatively easy. This does not always indicate that they have your own interests in mind, so it’s essential to conduct your research on the property and also hire a professional realtor in addition to the sub-agent.