Buyer Broker - Please tell me the pros and cons!!

Can you please let me know the pros and cons of working with a buyer's broker? Also, is it normally an 'exclusive', as in you have to make the purchase through them? And does it scare some sellers off, if either their Real estate agent doesn't want to split the commission and/or they're FSBO?

Thanks!!!!!

Re: Buyer Broker - Please tell me the pros and cons!!

I do NOT believe in a Buyer Broker.. and NO OFFENSE to anyone. It is a waste of money imo.

Re: Buyer Broker - Please tell me the pros and cons!!

Re: Buyer Broker - Please tell me the pros and cons!!

I loved it. We walked thru about 6 houses where my agent told me I didnt want to buy it for whatever reason; and one house we wanted to put in offer in for and they told us no that we shouldnt do it.

My feeling is, if I went with a sellers agent they would have let me buy the house no matter what - even if they knew it was falling down or was a bad fit. My agent didnt care WHICH house I bought - they just cared that I bought A house.

I didn't see any issues with the sellers agent not wanting to split commission, etc - but it would not surprise me if some agents would have that as a problem.

In regards to your contract question - we signed a 3 month contract I think - so if we didnt find anything in 3 months with the buyers agent we could either renew the contract, or go someplace else. The way I look at the contract is that it is only fair; I mean they need some type of protection. They could do all the legwork for you, and then you go buy it thru another agent, and then they get no compensation. I didnt have much of an issue with signing the contract.

Good Luck!

Re: Buyer Broker - Please tell me the pros and cons!!

Posted by Leeners

Posted by BrunetteMom

I do NOT believe in a Buyer Broker.. and NO OFFENSE to anyone. It is a waste of money imo.

Wait, you pay them as a buyer? That may be all I need to know

Re: Buyer Broker - Please tell me the pros and cons!!

we used a buyer's broker, but it did not really help us with the price. She did help us find the type of properties in the location we were looking for.

Buyer's broker is supposed to represent you and your interests only. He/she gets part of the % of the commission. Usually 2-3% but that can be negotiated between the listing and buyer's agent.

Dual disclosed agents are when the buyer's agent and the listing agent work for the same company or are the same person and the sales commission is different.

Seller's agent is working for the seller.


What I found was that I needed to shop arround and find the best agent for my husband and myself. Some agents want to be your best friend so you find it difficult to leave them, but they are not showing you what you want to see.
I will also say, when looking never give your RE your max high price when you are bidding or some how you will get there.

I would say we want to look at properties from and to a certain range but when negotiating, start lower than you would generally expect to pay (if in a buyer's market).

I am not sure how commissions are paid for a buyer's agent in a FSBO.

Re: Buyer Broker - Please tell me the pros and cons!!

We did not have to sign any contract with our buyer's agent and yes the commission comes from the sale of the house, but the 6% or what ever the seller had negotiated with the listing agent is where it comes from. it is not an additional percentage taken out of the sale of the house. the seller should account for 6% in their asking price. the buyer's agent and the seller's agent split the 6% in a negotiated method.

Re: Buyer Broker - Please tell me the pros and cons!!

I do not know too much about them but I do no know if they are that necessary, but I hear they make a lot of commissions