Buying a property can be an overwhelming task because of the many transactions and legal requirements involved. One of the most significant aspects of real estate transactions is usually choosing real estate agents. There are many types of real estate firms and agents ready to help you through the process. However, finding the perfect one may not be easy. Both you and your seller may choose to work with your own real estate agents, under a single agency agreement. However, in some cases, a dual agent may work for both of you. If you are buying a house, here are a few reasons you may want to consider dual agency in your transactions.
Dual Agents Can Be Cheaper
Working with one agent can be relatively cheaper compared to both you and the seller having your own agents. First, by paying the commission to just one agent, you, the seller, and the agent can agree on a favourable amount. While the dual agent may not necessarily cut their commission to half just because they're representing both of you, they will provide you with some room for negotiating the commission.
In addition, one of the major contributors to high agent costs is lengthy transactions. If you are paying your agent per hour, you will want to keep the transaction process as short as possible. Dual agency in real estate transactions allows for faster progress. That is, with one agent working for both you and your seller, the transaction becomes more streamlined. First, negotiations and communication between you and your seller will be quicker because you don't have to communicate through each other's agents. In addition, reducing the number of intermediaries means preparation and exchange of documents can be done considerably faster.
Dual Agents Can Be More Informative
In most cases, dual agents are initially the listing or seller's agents. This means they have more information about the property you intend to buy. By becoming a dual agent, the agent can share the information with you. When using your own agent, getting full information can be challenging. That is, real estate agents often work in the best interests of their clients so the seller's agent may not be willing to disclose every information about the property to your agent. With dual agency, the agent works in the best interest of both you and the seller.
If you are considering dual agency, both you and the seller should understand perfectly what it means for you in terms of the benefits and legal obligations.Share