FREQUENTLY ASKED QUESTIONS
What is an Exclusive Buyers Agency?
An exclusive buyers agent (EBA) is a U.S. real estate firm (or an agent or broker who works in such a company) that represents only buyers of real estate.
We never sell property and, therefore, never represent the seller in any real estate transaction.
Why Should I Demand An Exclusive Buyers Agent?
If you’re a buyer, an Exclusive Buyer’s Agent (EBA) will protect your interests in one of the most important purchases of your life. An EBA works for you and never for sellers. Both the agent and his/her company represent only buyers.
Why Is That Important?
In Hawaii when you sign an agreement with a real estate agent you are agreeing to be represented by the real estate company, not that individual agent. So, if you fall in love with a property that is listed by that real estate company, the company is in a position of trying to serve two clients with completely opposite interests—the property seller and the buyer (you).
According to Hawaii real estate law this situation is legal and called “Dual Agency.” In this situation the agency is not allowed to advocate for either side. In other words, neither you nor the seller will be able to ask the fundamental questions such as “What do you think we should offer for this property?” In a Dual Agency arrangement, the agent, by law, must tell you “I’m sorry. I can’t advise you on that.”
With Property Buyers Hawaii, you always have an advocate on your side.
What Sets Us Apart
We are designed to meet YOUR needs as a property buyer, and all of the other agencies are designed to list AND sell properties for property sellers.
We work with all of the listing agencies to make sure you know about all of the properties listed for sale, and we will help you with “for sale by owner” properties as well.
How This Benefits You
When you have your own knowledgeable agent to help you locate and negotiate for a property that fits you, you will do much better than you could do on your own or with a property sales person who needs to make a sale.
We are required to keep your private information private, since you are our client… not the seller. The seller’s agent is required to disclose everything they can learn about you to their seller, which can put you at a real disadvantage under some circumstances.
How Does An Exclusive Buyer’s Agent Differ From A Buyers’ Agent?
Many real estate companies hire agents who work only with buyers. But, if the company takes sellers’ listings, they are not EBAs, rather, they are agents that work with buyers most of the time. Only if a company does not accept sellers’ listings can an agent be an EBA. If an agent can ever be put in the position of representing both the seller and the buyer, the agent is not an EBA.
Will I Have To Sign A Contract If I Use An Exclusive Buyer’s Agent?
Signing a contract is up to the individual agency. In Hawaii, all real estate agents are assumed to work for the seller, unless they have a buyer’s representation agreement with the buyer. The initial agreement can be verbal but according to Hawaii law, there must be a written agreement between the agent and client before an offer can be written on the buyer’s behalf.
At Property Buyers Hawaii we initially need a verbal agreement that you want us representing you before we can start working on your behalf. We will provide up to three phone consultations and one area tour based on that initial agreement. We want you to make sure we are a good fit for you and your real estate needs before you commit to working with us. Once you feel comfortable working with Property Buyers Hawaii, you’ll sign an Exclusive Buyer’s Representation Agreement and, based on your schedule and needs, we will arrange for your first series of home tours.
I’ve Had A Bad Experience Signing Contracts With Real Estate Agents In The Past. I’m Hesitant To Make That Same Mistake Again.
Be frank with us. Talk to your agent about your concerns and experience. A contract protects you as much as it protects us. We are not here to trap you, but rather to make sure you pay as little as possible to acquire the property that best suits your needs and desires while making the entire process as smooth and trouble-free as possible.
What Happens If My Agent And I Aren’t Seeing Eye To Eye?
We recognize that not every one of our agents will be the perfect match for every client. But, it’s important the agent working with you is a perfect match. That’s why we provide as many as three phone consultations and one in-person area tour with you before asking you to make a commitment. If you’re still not sure, you are encouraged to talk with our Broker-In-Charge about the possibility of working with another Property Buyers Hawaii agent. We all want your buying experience to be a positive one.
Does It Cost More To Use An Exclusive Buyers’ Agent And How Are They Compensated?
It costs the same to use a Just For Buyers’ Realty agent as it does to work with a traditional agent. As is the case with almost all Real Estate agents, our agents’ fees are most often paid by the listing agent who agrees to share his/her compensation with the agent who brings a buyer to a transaction that closes successfully.
Given that EBAs are paid by the listing agent, the question is often asked whether or not EBAs are working for the listing agent and seller. The answer is an emphatic, “NO!” When you look closely at any transaction it is the buyer who provides the money that pays for nearly all of the costs associated with the purchase of the property. Even if that weren’t the case, it’s the contract that determines for whom an agent is working, not where the agent’s payment comes from. A Property Buyers Hawaii agent is always working for you and representing YOUR best interests.
How Can I Find Out More About Exclusive Buyers’ Agents?
Contact Stephanie at Property Buyers Hawaii via email, or by calling us at (808) 885-6061. She’ll be happy to answer any further questions you may have.
