This might sound like a no-brainer, but you would be surprised about how many people are confused about the differences between a listing agent and a buyer’s agent. I know, surprising, right? Well, there is a difference, and being able to discern between the two can save you a headache or two when it comes time to buy a house in Beverly Hills.
If you, like most people, are confused by the real estate terms, then fear not, you are not the only one. Even experienced home buyers looking at Los Angeles or Beverly Hills houses can confuse the two from time to time. If you are interested in understanding exactly what the roles of each agent are and when to hire which, then pay close attention. To give you a better understanding, we will outline a simple guide to help you understand the difference between a listing agent and a buyer’s agent. This guide will also provide some home purchasing tips for buyers.
Know Your Basics
In a perfect scenario, a prospective seller would hire a listing agent to help them with the marketing of their home. A potential buyer, on the other hand, would employ their own realtor, which is known as a buyer’s agent. Buyer’s agents are responsible for assisting them with finding a suitable home.
When to Hire a Buyer’s Agent
If you are looking to purchase a home, hiring a buyer’s agent is a smart choice for several reasons. The first reason to hire a buyer’s agent is to enlist the help of a licensed professional who can not only guide you through the buying process but also look out for your best interests. Secondly, real estate agents have a deep understanding of the housing marking and have access to crucial data when buying a home.
Realtors have access to neighborhood safety rating information, the Multiple Listing Service, and general knowledge of the market. This can ensure you are getting the best deal when purchasing a house.
Lastly, a buyer’s agent can handle all of the paperwork and legal documents associated with purchasing a home. These are documents that the average person has no experience dealing with, so it is better to leave it in capable hands.
When to Hire a Listing Agent
On the other hand, if you are planning on putting your home on the market, you will want to hire a listing agent with experience. Hiring a listing agent can make a world of difference. According to an article by money.com, 90% of home sellers enlisted the help of a listing agent to assist in selling their home.
A listing agent brings all of the same experience that a buyer’s agent brings; however, in this case, they are knowledgeable about the strategy involved in selling a home. They also know how to stage and present your home correctly, so it is most appealing to the most significant number of buyers.
The Confusion
When you are in the process of buying or selling a house, you might hear the term “buyer’s agent” referred to as a “selling agent” interchangeably. This is where the term “selling agent” gets confusing since it sounds like it should be related to the listing agent. However, it is an entirely different agent altogether.
The best way to think about it is this: whenever a buyer and a seller are about to enter a contract, the agent that is representing the buyer’s side is referred to as a “buyer’s agent.” When the contract is settled, then the buyer’s agent can also be referred to as a “selling agent.” The selling agent is the agent that has executed the sale of the home. They brought in a buyer, and the buyer has agreed to the terms of the home purchase. In the most literal sense of the word, that agent is the “selling agent.”
In most cases, the terms “buyer’s agent” and “selling agent” can be used interchangeably. This is especially true once a deal is settled and finalized. If a third party was to enter the equation and we’re not familiar with either agent, they would expect to be introduced to the listing agent and the buyer’s agent, for the sake of clarity.
To summarize, a buyer’s agent can sometimes be referred to as the “selling agent” after the contract proceedings have begun. A listing agent is referred to as the “seller’s agent” since they are representing the seller.
Learn more about Beverly Hills post office houses for sale. Get in touch with us at 310.963.9680 or sasha(at)saravitaproperties(dotted)com to find out what your options are in California’s real estate.
