Types of Real Estate Agents -- Definitions

There are many kinds of real estate professionals. Here are the two main types you need to know about when looking for a home: Seller's Agents and Buyer's Agents.

SELLER'S AGENT (SA):

Most agents are seller's agents. The name on the sign in front of a house? That's a seller's agent. The broker showing you the house? Unless otherwise disclosed or you have a signed buyer's agency agreement with them, that's a seller's agent.

The seller's agent's client is--surprise!--the seller. The seller's agent is legally obligated to represent the seller's interests, negotiate the highest price and most favorable terms for the seller, and maintain the seller's confidentiality and disclose to the seller all information about the buyer they can ascertain.

(So why you would you call that seller agent on the sign--when you could have a buyer’s agent working for you?)

BUYER'S AGENT: (BA)

A buyer's agent represents the buyer in all phases of a real estate search and transaction. The buyer agent (1) gets to know the buyer in order to (2) select and show appropriate properties to the buyer. The buyer's agent then (3) researches and informs the buyer of any concerns or other hidden facts about prospective properties. Once the right home is found, the buyer's agent (4) negotiates on the buyer's behalf for best price and terms, (5) maintains the buyer's confidentiality and (6) discloses to the buyer all information about the property and the seller that they can ascertain. Additionally, the buyer agent (7) troubleshoots on behalf of the buyer all the problems that come up in the transaction.

These services become legal and fiduciary duties once an agency disclosure and a buyer representation agreement is signed.

Caution:

Unless otherwise disclosed by an agent or you have signed a buyer agency agreement, the agent showing you that property is most likely not working for you -- and you should assume that agent is a seller’s agent.

The buyer's agent -- who does work for you --  most often gets paid the professional fee they charge from fee offer out by the seller for bringing a buyer. Another way of  saying it is, the transaction funds the your buyers agent's fee in most cases. So since in most cases it doesn't cost you extra -- and it might save you a lot -- why wouldn't you engage a skilled buyer broker?