In New York it is your right as a buyer to have representation. As a Buyer's Agency in New York City we work for you and keep your best interests at the heart of our process. From unbiased property analysis to negotiations in your favor, our only goal is to work out the best possible terms for you.
Frequently Asked Questions
Unlike a listing agent or seller's agent who represents the seller, a Buyer's Agent represents the buyer and protects their interests during a real estate transaction. A seller's agent's priority is getting the highest price for their sellers. A Buyer's Agent's priority is getting the buyer the best possible terms and make sure they are protected.
From the New York State Attorney General's office to major sources like the New York Times and Streeteasy, the answer is a resounding YES. You need someone to look out for your best interest and not for the best interest of the seller. You need someone to advocate on your behalf to negotiate the best possible terms and price.
No. It doesn't cost you anything extra to have a Buyer's Agent represent you. The commission is built into the sale price and paid by the seller. Traditionally the commission is split between the seller's agent and the Buyer's Agent. When you elect not to have representation and there is no Buyer's Agent involved, the seller's agent will keep all of the commission and you will still lose out on representation.
Absolutely. In fact, Attorney General Eric T. Schneiderman penned an open letter urging real estate professionals to do so. Take a look at this except from his letter.
“Rebating by real estate brokers can greatly reduce the costs of buying property and even facilitate new and innovative business models,” said Attorney General Schneiderman. “I urge the real estate community to embrace this opportunity to be more competitive, and improve the choices available to New York homeowners."
Unfortunately there is no guarantee. The only guarantee is that you will not have unbiased representation. The main beneficiary to a deal without a Buyer's Agent is the seller's agent who stands to keep 100% of the commission. The same seller's agent whose commission is directly correlated to how much they can sell the property for.
No, far from it. Discount brokers reduce services so they can offer discounts to their clients. Instead of reducing service, we've reduced overhead. Then we pass those savings onto you.
When you go to an Open House alone you are most likely meeting with the seller's agent. A seller's agent's priority is selling the property at the highest possible price and with terms favorable to the seller. This agent does not have your best interest at heart. If you happen to mention in passing that you really like the place and don't want to lose out, this information will be shared with the seller and you will be at a disadvantage in negotiation. It's important for you to have representation to make sure that your interests are protected.
What Other Say About Buyer's Agents
"So why should a buyer bother using an agent?
In a nutshell: to protect his or her interests in an expensive, often complex purchase that can become even more complicated by the labyrinthine co-op approval process in New York City.
A buyer who relies on the seller's agent to handle both sides of the deal may not hear about problems with the apartment or building, or have a real advocate during contract negotiations."
-The New York Times
“Rebating by real estate brokers can greatly reduce the costs of buying and selling property and even facilitate new and innovative business models,”
-Attorney General Eric T. Schneiderman
"If you're buying a home in NYC, should you hire an agent or broker to represent you? The quick answer is yes. While you may not have had a great experience with rental agents, buyer's agents are not the same as rental agents. SO, if it is tempting to go it alone, you should be very wary."
"Let’s say, for instance, you walked up to the listing agent at an open house and gushed about how you love the home and want to buy it, but you will need to move soon because you’re expecting your second child and need to decorate the nursery pronto, or the lease on your rental is up in a couple of months. A seller’s agent could then use this information against you by informing the seller that your clock is ticking, so they shouldn’t budge too much on their asking price—or at all."
"Consumers who live in states permitting the option to choose innovative brokerage options, such as rebates, can potentially save thousands of dollars on commission payments."
-United States Department of Justice