3b. Listing brokers and buyer agents
3c. Different buyer agency relationships
3d. How to find a quality agent
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Since some states allow dual agency, which means that those with a real estate license may work with the buyer and the seller, a Local Listing Broker can work with the buyer who wants to bid on one of the available HUD homes in the area. While buyers may have the option to call and work with the Local Listing Broker, is it really a good choice?
Before deciding whether to use the Local Listing Broker on government foreclosures or to use an exclusive buyer’s agent, it is important to consider personal factors, as well as the pros and cons.
- YES! – For buyers that want to ensure that the agent they use is well informed on the HUD homes market, using the Local Listing Broker may be a good idea.
- YES! – Is time a premium? If so, once again buyers can benefit from using the Local Listing Broker.
- YES! – If buyers can help to negotiate a decrease in the commission on the home, it may help them increase the chance that their bid will be accepted. A lower commission will ensure that HUD enjoys high net proceeds from the home, increasing the chance that the bid will win. In this case, it may be beneficial for buyers to consider using the Local Listing Broker.
- NO! – Buyers that already have an excellent relationship with a quality real estate agent should continue to work with their exclusive buyer’s agent instead of calling the Local Listing Broker. This is also true for buyers that already have a buyer broker contract with an exclusive buyer’s agent.
- NO! – For buyers that prefer to have sole representation, finding an exclusive buyer’s agent that is an expert in HUD homes is a better choice than using the Local Listing Broker.