Differences between a buyer’s agent and a seller’s agent in real estate
Buying or selling a home or real estate is not a simple matter. Whenever there is a property deal involving sale and purchase of say a home, you will, most likely, find that some St. Louis real estate agent, listing agent, seller’s agent or buyer’s agent is involved in getting the deal finalized and closed to the satisfaction of the seller and buyer both, while complying with the statutory requirements as well. All these agents have specific roles to play in the whole deal or transaction and they are accordingly compensated by way of their commission for the time and efforts put in and the expertise provided by them to the parties concerned. Let us look at the various aspects, in general, and at the differences between a buyer’s agent and a seller’s agent in real estate, in particular.
Types of agents involved and differences between a buyer’s agent and a seller’s agent
The main types of agents involved in St. Louis real estate deals are as under:
- Listing Agent – Listing Agent is a STL real estate agent who helps homeowners sell their property. He lists client homes on the Multiple Listing Service (MLS) and negotiates on behalf of the seller to get him the best possible price and terms. Towards this end, he acts as the seller’s agent and he has a fiduciary duty to the seller.
- Buyer’s Agent or Property Search Agent – Buyer’s Agent assists the buyer throughout the purchasing process and protects his rights and entitlements, right from sourcing the most suitable property after assessing the client’s needs till the culmination of the deal, including negotiating the best possible price and terms and completing all the legal formalities etc. Buyer’s Agent has a fiduciary duty to the Buyer.
It would be evident from the above that while the Listing Agent or Seller’s Agent has to protect and further the interests of the seller, the Buyer’s Agent has a fiduciary duty to safeguard and further the interests of the Buyer of the property. Both the Agents have to ensure compliance to the statutory or legal requirements as applicable, whether the same are known to and insisted upon by the Buyer and/or Seller or not. Both Seller’s and Buyer’s Agents are also required to arrange for the services of other professionals required to carry the deal through. They may include lawyers, surveyors, architects and other professionals.
It is pertinent to mention here that Buyers’ Agents also often work in the offices of Listing Agents, though the latter act as Sellers’ Agents. Commission for both Seller’s Agent as well as Buyer’s Agent is paid by the Seller, though he may adjust the same while quoting the price.