If you’re searching for a new home it makes sense to work with a real estate agent. It also makes plenty of sense to sign an exclusivity agreement with your agent. Here’s a quick look at what an exclusivity agreement is and why you should sign one when you’re on the hunt for a new home.
What is an Exclusivity Agreement?
An exclusivity agreement is a contract basically stating you will only work with the agent you sign the agreement with. The agreement will also outline the obligations of the agent and what the buyer can expect during the process.
If you sign an exclusivity agreement with an agent, you won’t have the option to retain another agent. However, you will also know what you can expect from them as outlined in the contract and if you are required to pay any commission. Usually sellers pay all commissions but there can be exceptions. Feel free to contact me to get more information on this.
Why Sign an Exclusivity Agreement with an Agent?
One of the major reasons to sign an exclusivity agreement is the type of work you will receive from an agent compared to buying a home without this type of agreement. When an agent signs this type of contract with you they will go to work for you without worry that you will leave for another agent. Often, this means they will give you more of their time and attention.
Your agent will likely help with:
- Introducing you to lenders and helping you get pre-approved for a mortgage
- Sharing listings fitting your specific needs and wants
- Calling listing agents when you’re interested in a property
- Setting appointments with sellers for showings
- Driving you through neighborhoods to tour homes
- Showing you homes you’re interested in
- Researching the comparable sales for the home and the area
A good buyer’s agent will do everything they can to ensure you get the best possible deal on the right home. However, if you don’t sign an exclusivity agreement with an agent, you may not get their full attention.
Another reason to sign an exclusivity agreement is so that you know what to expect. The agreement will outline the type of duties your agent will perform and helps to eliminate the guesswork.
Switching Agents if you’re Unhappy
Buyers often misunderstand the exclusivity agreement and where their obligation lies. Often, these agreements are signed with the broker, not the agent. This means, if you’re not happy with the agent you’re working with, you can often request a different agent from the same broker.
Before signing any agreement, it’s important to understand what you’re getting into. Make sure you agree with all of the terms of the exclusivity agreement and you understand what your agent will do for you. As long as you agree with the contract, signing an exclusivity agreement will help to simplify the process and ensure your agent will go to work for you.
If you ever have a real estate question or need, or know someone who does, trust that you can turn to me. 704-650-5707 | AnnaGrangerHomes@gmail.com