Is There A Disadvantage To Using The Listing Agent To Buy A Home?

You wouldn't go to court without a lawyer, so why not have an agent on your side of a transaction?

Working in real estate in the San Diego area I get all types of phone calls with regards to the housing market and on a variety of topics. I recently received a call from a buyer on a listing we have on the market. This particular buyer wasn’t working with an agent and just wanted some basic information on the listing which I was happy to give him. I always make it a point to ask if someone is working with an agent as a professional courtesy to the agent working with this person who’s calling me.

Since this individual wasn’t working with an agent I began to ask him questions that would give me more insight into what his housing needs so as to only show him properties that fit his criteria. The thing that caught my attention was that this particular individual was calling agents who’s signs he saw on lawns of homes for sale. His reason for doing this is that he felt that he’d rather get the information from the listing agent himself since he figured the listing agent would know more about the home than anyone else. What if the agent is not from the area?

That’s not so shocking but what made me worry was that this potential buyer’s plan of action to buy a home was to submit an offer using the listing agent to represent him in the transaction. This is what we call dual agency where the agent represents both the seller and the buyer. Did you catch that? Both the seller and the buyer. Though this doesn’t happen often it can place an agent in quite the predicament. Think about it, who’s interests is he going to look after the most?

Another way of looking at this would be to pretend you’re being charged with a crime, would you have the prosecutor be your defense attorney? It’s a tough call but I would suggest to buyers to consult with an agent they might be interested in representing them before going through double agency. What do you have to lose?