Buyer Agency

Regardless of hopes, expectations, and myths, buyer agency places the licensee and the buyer on the same side with a shared perspective. Buyer agency is a privileged relationship where the most effective assets a Realtor legally has at her disposal are available for the buyer. Without buyer agency the licensee is unquestionably working as a sub agent for the listing broker with clear obligations to the interests of the seller. There is no gray area in Wisconsin real estate agency law.

In my opinion, there is one reason for working as a buyer agent and this is it: I intend to legally provide all of the services, share all of my insight, and work with the buyer to create appropriately safe terms. And this is important: Some of those terms may be to the advantage of the seller. I believe an informed person, given logical choices, is  comfortable taking on risk commensurate with the reward.

The assumption that buyers are best served by tipping the scales of every point in their favor is dangerous in the real estate market. Price is always important and to some extent it may be second to risk. Given a competitive price, prudent sellers weigh the risks of the contingencies before committing. An attractive number with high risk and low probability of closing might appeal to the gambler, but for the typical home seller who has other plans and commitments to meet, shifting risk to the buyer in exchange for a reasonable price is a more acceptable strategy.  The wise buyer agent knows the areas of a boiler plate contract ideal for softening.   We will find some of those easy to improve areas of offers in the coming weeks of Skill Share Thursday’s at Restaino & Associates. 9:30 to 11:00. Let me know if you want to attend.

Author: Tom Meyer Real Estate Broker, Madison, WI

I believe the difference between an accepted or rejected real estate offer to purchase is the drafter's ability to customize the Offer to reflect the Buyer's commitment. Ready, willing, capable, committed, sincere people can out negotiate higher priced offers by moving away from standardized forms. Ask me how.

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