Email Buyers Who Like One Of Mitch's Listings... Have 4 Options.
However, Mitch will NOT Act As A Dual/Limited Agent Trying To Represent Both You And The Seller At The Same Time… This Concept, That Is Illegal In Many States, Of One Agent Representing Both Sides At The Same Time On The Same Property, Happens Everyday With Most Indiana Agents!
Mitch Feels Dual/Limited Agency is Unethical. So, Mitch Will NOT Represent Both Buyers And Sellers In The Same Transaction. Instead, Mitch Created Ways In Balanced and Buyer's Markets To Help Buyers, On His Listings, Share In A Seller's Lower Sales Commissions. And, In Seller's Markets And Multiple Offer Scenarios, Mitch's Options Create Ways That Buyers Can Still Make Their Offers More Attractive Then Other Offers To the Sellers.
The first clue as to why Limited/Dual Agents are bad for you is that REALTORS refer to these transactions as "Me & Me" deals!
Dual or Limited Agency is when the same REALTOR tries to represent both Sellers and Buyers in the same transaction. Indiana is one of a few states that still allows Limited/Dual Agency. Indiana law requires Buyers & Sellers to acknowledge in writing that both parties are agreeing to Limited Agency. That document rarely explains any negatives associated with being in a limited Agency transaction.
With ToHelpUmove Realty, Buyers and Sellers will be required to sign or acknowledge receiving several documents predominately focused on Limited or Dual Agency. Additionally you will see several other places that limited or dual agency is discussed including in a “check box” on every Metropolitan Board of REALTORs Purchase Agreement all there in an effort to eliminate lawsuits. In fact one of the most common reasons for lawsuits, related to the sale or purchase of a property, is that one party feels that the Limited or Dual Agent inappropriately advocated or represented the other party’s interests.
The conflicts of Interest with Limited or Dual Agency are numerous. For sellers their goal is obtain the best price and terms while the Buyer’s goals are typically to get the lowest price. Usually the only person who “wins” in Dual/Limited agency is the REALTOR who receives the commission from both sides of the transaction. Since commission fees are most often built in to the purchase price, and while paid by the Seller at closing, this means BOTH the BUYER and the SELLER are paying comparable fees, as you typically would, but NOT getting all of the same representation you should and would usually receive. It makes much more sense, since both sides are typically saving very little, if anything at all, in a Dual Agent/Limited Agency transaction... It just makes more sense for the Sellers to have a Listing Agent represent ONLY their interests while a Buyer's Agent represents ONLY the Buyer's interests! Both sides frankly deserve to receive all of the representation that they would usually receive.
Click on the 'How You Lose' to learn why you might NOT want to have a Limited/Dual Agent & explore 'Four Options' to learn about the possible next steps & ways to proceed.
When You Spend Basically The Same Amount Buying A Property, As you Would Of If You Had Buyer's Agent Representing You, Or Worse You Spend More... And You Don't Get The Same Level Of Representation, Then You Lose!
Limited / Dual Agents Can NOT do anything that would or even could be perceived as representing the interests of ONLY you as the Buyer. A few examples of things a Buyer's Agent Can’t Legally Do When They Are Acting as a Dual/Limited Agent include:
Suggest to a You how much the Seller might accept for a property OR Advise you, regarding what comparable sales suggest a property is worth
Writing a Purchase Agreement or Inspection Response that favor’s your interests as the Buyer.
Share any information with you about the Seller that might interest you or reflect the Seller is willing to sell their place for less or share information about the Seller that might make you want to withdraw or change your offer.
Suggest how you should respond to a Seller’s counteroffer
Share with you that Inspection items, requested by you as the Buyer, that the Seller has said they are unwilling or unable to address, would otherwise be usual and customary repairs for a Seller.
Advise you which items within an Inspection Response you should ask a Seller to address.
Click on 'What Is Dual/Limited Agency' to learn why Many States Won't Allow This Type of Agency & explore 'Four Options' to learn about the possible next steps & ways to proceed.
If You Want To Submit An Offer On One Mitch's Listings….
Because Mitch will not represent both a Buyer and a Seller, in the same transaction, he is happy to let either the buyer or the seller represent themselves. Mitch's usual and customary Listing Brokerage Commission fees are 7% for houses and condos that sell for $300,000 or less and 6% for houses and condos that sell for more than $300,000. (Ask Mitch about commission fees for houses and condos that sell for more than $600,000)
When Mitch is the Listing Agent, and a you as a buyer have interest in writing an offer on the property then Mitch provides the seller, and the buyers, options that can lower the Seller’s selling commission fees. Most Sellers understand that in a balanced market the Buyers expect to share in the savings Seller’s receive from these lower fees. This usually creates a “win-win” situation where buyers can purchase the property for a lower amount than usual and the sellers still actually net more at closing than they typically would net when two agents are usually involved even after “sharing” some of these savings with you the Buyer. In Seller's Markets Even though the Buyers may not share in the savings, because of the reduced Seller's fees, the buyer's offer is more attractive than equal or perhaps even greater offers. So this still creates a Win-Win for the Buyers and The Sellers.
As a Buyer, Mitch gives you several options if the Seller also agrees. The four most common scenarios are listed below:
If Sellers Are Willing To Represent Themselves
In this scenario, because Mitch will NOT be representing the Seller, and will be working without the benefit of another agent on the other side of the transaction, means that Mitch will be doing things that a Seller's own agent typically would handle to help insure that we get the sale closed.
For example Mitch will help facilitate the Sellers preparing counter offers, inspection responses and similar documents that reflect the desires as the Seller. Mitch does NOT advise sellers as to what their counter offers or responses should include. But, Mitch will only prepare the documents based on the Seller’s direction for them to review, accept and sign before submitting these documents to you as the Buyer(s) for you to review and respond.
After acceptance of the purchase agreement Mitch will also follow-up with the Seller to insure lender pay off information is provided to the title company along with any Homeowner Association documents that must be provided to you as the buyer etc. Once you as a Buyers submit any inspection responses then Mitch will also prepare an inspection response for the Sellers based again ONLY on the Sellers direction. Like before Mitch will not advise or represent the the seller beyond typing up the paperwork.
Because Mitch will be doing more work than he would otherwise be doing, when there is an experienced REALTOR representing the other side of the transaction, the reduction in fees are not quite half of what they would typically be. In this option if the home is selling for less than $300,000 the seller’s total commission will be only 5.65% versus the usual and customary 7%. If the Sellers home is selling for more than $300,000 than the Seller’s total commission will be only 4.75% versus the usual and customary 6%. Regardless of the Home’s sales price this option can reduce the sales commissions by thousands of dollars.
You and the Sellers will also sign a No Agency Doc when Mitch Represents Buyer Only that confirms that the Sellers understand that I will ONLY be representing you as the Buyer in this transaction and that the Seller(s), have declined to have their own representation.
Buyers Represent Themselves
With this option, because Mitch will be representing the Seller, but not you as the Buyers, that means there won’t be another agent on the other side of the transaction. So, Mitch will be facilitating things that your buyer’s agent typically would handle to help insure that we get the sale closed.
For example Mitch will prepare the your offers, counter offers, inspection responses and similar documents that reflect your desires as the Buyer. Mitch does NOT advise you as the Buyers in this role as to what the offers, counter offers or responses should include. But, Mitch will only prepare the documents based on the your direction for you to review, accept and sign before submitting these documents to the Sellers(s) to review and respond to.
After acceptance of the purchase agreement Mitch will also follow up with you as the Buyer’s and your lender to insure loan application and insurance confirmation have occurred. Once the inspection has occurred Mitch will prepare a response based on the your direction as the Buyer.
Because Mitch will be doing more work than he would otherwise be doing, when there is an experienced REALTOR representing the other side of the transaction, the reduction in fees are again not half of what they would typically be. In this option if the home is selling for less than $300,000 the Seller’s total commission will be 5.65% versus the usual and customary 7%. If the home is selling for more than $300,000 than the Seller’s total commission will be only 4.75% versus the usual and customary 6%. Regardless of the Home’s sales price this option can reduce the sales commissions by thousands of dollars.
You and the Sellers will also sign a No Agency Doc when Mitch Represents Seller Only that confirms that you as the Buyer, and the Seller, understand that I will ONLY be representing the seller in this transaction and that you as the Buyer have declined to have your own representation.
Refer The Buyer To Fellow REALTOR & Fees Are Less than the typical amounts
In this option if the home is selling for less than $300,000 the Seller’s total commission will be 6.0% versus the usual and customary 7%. If the home is selling for more than $300,000 than the Seller’s total commission will be only 5.00% versus the usual and customary 6%. Regardless of the Home’s sales price this option can reduce the sales commissions by thousands of dollars
You as Buyer, On Your Own Select a REALTOR to Represent You Without Fee Savings
However most Buyers understand that there are no savings associated with selecting your own Agent and also know that if they are not successful in getting this property under contract, and they did not work with a REALTOR that Mitch referred them to, that it would be unlikely Mitch would be able to continue to help them find another place. While it’s always the Buyer’s decision… this is actually the least selected option of those listed above.
Click on 'What Is Dual/Limited Agency' to learn why Many States Won't Allow This Type of Agency and explore 'How You Lose' to learn why you might NOT want to have a Limited/Dual Agent.
Or Select Another Greater Indianapolis Area To See How The Real Estate Market Is For Houses, Townhouses & Condominiums
Regardless Of The Direction... Mitch Can help U Make The Right Move!
USE THESE RESOURCES & TOOLS TO HELP YOU MAKE THE RIGHT MOVE IN THE GREATER INDIANAPOLIS AREA
USE THESE RESOURCES & TOOLS TO HELP YOU MAKE THE RIGHT MOVE IN THE GREATER INDY AREA
Buyers
Thinking of buying a greater Indianapolis home, condominium or townhouse... While it's easy to see the asking price, let Mitch show you what the property should sell for based on other comparable places in your favorite greater neighborhood or development.
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Thinking of listing your greater Indy home, condominium or townhouse... Are you curious to know what your place should sell for along with the selling prices, days on market, and list price to sales price ratios of other places in your neighborhood, development or area?
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