Contact listing agent or go with buyers agent

meccos12

New member
I have been told by several people that it may be smart to contact a listing agent directly as they are more willing to work with a seller and buyer to get double commission.  I want to know what everyone thinks about this.  What are the pros and cons to directly contacting a selling agent versus getting a separate buyers agent?

 
meccos12 said:
I have been told by several people that it may be smart to contact a listing agent directly as they are more willing to work with a seller and buyer to get double commission.  I want to know what everyone thinks about this.  What are the pros and cons to directly contacting a selling agent versus getting a separate buyers agent?

From experience I would say it didn't work that well.  The listing agent is more loyal to the seller than the buyer.  In a sellers market where bidding war is the norm then working with the listing agent will help you because the listing agent might tell you how high your offer should be to get the house. 
 
Irvine Dream said:
From experience I would say it didn't work that well.  The listing agent is more loyal to the seller $$$$$ than the buyer.

corrected it for you. For the same offer amount, if the listing agent can double dip as buyer's rep, she/he will always do the double dipping.
 
I agree with IrvineDream, it would be better for you to have representation separate from the seller.

What you would save in a discount from the agent double dipping, may cost you more in things that a buyer's agent with your needs (or their commission :) ) in mind may be able to help you with.
 
If you know exactly what you want and what price it should be, going to the listing agent should make your offer more competitive.  Also you are almost negotiating directly with the seller.  The listing agent knows exactly what price their seller is willing to settle at and them representing both sides will make it a smoother and faster transaction.  Plus the incentive of double commission will make them want to close the deal.

However if you don't know what you are looking for or not especially fond of negotiating, use a buyers agent.  A buyers agent will be more valuable as they can arrange the showings and scout properties for you.  Calling individual listing agents every time you are interested in a property is time consuming.  And if negotiating isn't your thing, you can leave a lot on the table during the repair credits and other terms.
 
I wouldn't entertain the idea of using the same agent.  It's a conflict of interest, and you have no leverage or negotiating power should issues come up during escrow.  Tons of things can happen (eg appraisal issues, funding issues, inspection issues, etc.), and it's your agent's job to help you navigate you through it.
 
USCTrojanCPA said:
eyephone said:
Is this a sellers market or buyers market?
We are in a neutral market.

I see a lot of new construction (including OH) listed for rentals.  For Example 204 Rodeo, 206 Rodeo etc.  Surprised to see rentals in OH which sells at a premium to other locations.  Is the rental market getting saturated?  How many more FCBs are there to keep the real estate prices in Irvine at these prices?  Will the new Irvine be good for our grand kids to live? 

May be Yaliu can start a petition that new home builders should only sell to owner occupied buyers only.  That will be a true community advocacy without questions regarding his patriotism
 
USCTrojanCPA said:
eyephone said:
Is this a sellers market or buyers market?
We are in a neutral market.

We must be in a sellers market.  A friend of mine just informed me that on a Tustin Ranch Condo on which he offered to purchase at list price was countered at 15% above list price.
 
Irvine Dream said:
USCTrojanCPA said:
eyephone said:
Is this a sellers market or buyers market?
We are in a neutral market.

We must be in a sellers market.  A friend of mine just informed me that on a Tustin Ranch Condo on which he offered to purchase at list price was countered at 15% above list price.

List price doesn't mean much.. what do the comps suggest?  Are we talking 15% above the last few comps?
 
Irvine Dream said:
USCTrojanCPA said:
eyephone said:
Is this a sellers market or buyers market?
We are in a neutral market.

We must be in a sellers market.  A friend of mine just informed me that on a Tustin Ranch Condo on which he offered to purchase at list price was countered at 15% above list price.

I tend to think we are in a buyers market. I see price reductions on listings in general.

I read about home builders Lennar and KBH gross margin pressure. Margin pressure from rising costs and incentives. Toll Brothers expect margins to be flat in 2015.

http://seekingalpha.com/article/283...er-to-warn-about-the-housing-recovery-in-2015
http://finance.yahoo.com/news/toll-brothers-well-poised-growth-210009168.html
 
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