A listing agent and a buyer’s agent work on the same transaction from opposite directions. Knowing which of them represents you, and what each one is responsible for, will help you decide who to call first and what to put in writing before you commit.
What a Listing Agent Does
A listing agent is hired by the seller under a listing agreement. Their work is to prepare the home for the market, recommend a list price based on recent sales of comparable properties, arrange photography and showings, and bring offers to the seller. They also negotiate on the seller’s behalf after an offer arrives.
If you are selling, ask the listing agent how the home will be marketed and how it will be placed on the Multiple Listing Service. The article about how the MLS works explains how a listing moves from the agent’s system to the public search sites buyers use. Confirm the exact marketing commitments in the listing agreement itself rather than relying on a verbal description.
What a Buyer’s Agent Does
A buyer’s agent is hired by the buyer. Their work is to learn what you need in a home, search for properties, arrange showings, explain what you see in each property, help you prepare an offer, and negotiate for you. A buyer’s agent also coordinates the timeline with your lender and with the inspection, so that the offer you make is one you can actually carry through.
A buyer’s agent is generally engaged to represent the buyer even when another agent lists the home; confirm this in your agreement. Ask in advance whether the agent will show you homes listed by any brokerage, and whether that agent has a relationship with the listing brokerage that you should know about.
When One Brokerage Handles Both Sides
Sometimes the buyer and the seller are both represented by agents from the same brokerage. This situation raises questions about who the brokerage and its agents are working for in that transaction. How agency relationships are described to you, and what rules apply when one brokerage represents both sides, are governed by New York law. This article does not explain those rules.
Ask the agent to explain in writing how the relationship in your transaction will be described and what it means for the negotiation. If you want to know your rights and obligations under the law, ask a qualified real estate attorney or check the official guidance from the New York Department of State.
Questions to Ask Before You Sign an Agreement
Before you sign any buyer or listing agreement, ask these questions and keep the answers in writing:
- Whose interests does this agent represent in this transaction, and how is that described in the agreement?
- How is compensation for the agent set out, and who is responsible for paying it?
- Which services are included, and how long does the agreement last?
- What steps does the agreement require if you want to end it early?
- If the same brokerage represents the other side, how will information about your negotiation be handled?
Compare the answers from more than one agent before you choose. A good way to organize that comparison is to use the questions in the guide on choosing a real estate agent by asking the right questions.
Choose the Agent Who Represents Your Interests
Decide whether you are buying, selling or both, and ask the agent who represents you before you share your budget or financial details. Get the agency explanation, the compensation terms and the length of the agreement in writing, and have a qualified attorney review anything you do not understand. SAP Real Estate is a Syracuse brokerage serving Central New York, and you can reach our team through the message form for buying or selling.
