The Contractual Relationship Between You and a Realtor

Once you feel convinced the agent can do a good job of representing you, you need to decide what kind of contractual relationship you will have. It used to be that agents always "represented" the seller of the home. Nowadays, things are much different and you can choose what kind of relationship you will have with your real estate agent.

• Buyer's Agent: This is clearly the best choice if you are buying a house. The buyer's agent works only for the buyer and is bound to represent you above all other interests.
• Seller's Agent: The seller's agent works only for the seller of the home. This means that they essentially look out for the seller's interest and not yours.
• Disclosed Dual Agent: In this type of arrangement, the agent works for both the buyer AND the seller. This often happens when an agent sells a property they have also listed for sale. The problem here is obvious. The agent is serving two masters and can not put the interest of one above the interests of another. As a home buyer, you're better off working with an agent who is bound to look out for only you.