What You Should Not Tell a Traditional Real Estate Agent
“Loose Lips Sink Ships” was a famous phrase that originated from the days of World War II. It became part of a popular campaign to warn people of the dangers of giving away information which could be turned and used against them. You never really knew who was listening. The same phrase can be applied to real estate and buying a home.
Know What Kind of Real Estate Agent You are Talking With
The vast majority of Real Estate Agent are working for the Seller. If they are not directly working for the Seller, someone they know in their company is, and your personal information could become known.
The 3 Things You Don’t Want to Tell the Real Estate Agent
Jean Chatzky, Money Magazine editor and frequent contributor on the Today Show, breaks it down to 3 items in the video below:
How much money you make
How much you can afford
If your company is going to pay some of your closing costs in the case of relocating
In her interview she’s asked, “So who can you really come clean with?” In other words, what kind of an agent can I really tell my situation to and yet protect my own interests. Jean states: “If you have an agent that you know that’s working specifically for the buyer … then you can come clean.” She then continues the interview talking about Exclusive Buyer Agents and says:
“If you have a choice … this is the way you want to go.”
Guess what? You do have a choice. Choose to work with a company that only works for buyers (like us)
Please continue reading if you are a skeptic or need further convincing …
Traditional Real Estate Agent/Office Scenario Where You, the Buyer, Can Be Compromised
Let’s face it, times are tough for a lot of people … including real estate agents. When an agent starts working with a potential buyer they are understandably exited about it. In the excitement, your personal information can become not so “personal” anymore.
Possible scenario: Our traditional real estate agent Bob, comes back to the office after meeting you, the buyer. He triumphantly announces to his fellow agents … “I’ve got a new buyer I’m working with.” The other agents in the office congratulate him and ask what area his client is interested in and what their price range is.
Bob replies, “Well they are approved up to $250,00 … but they would like to end up around $225,000.”
Oops … If that word gets out via the water-cooler network, your negotiation power could be weakened.
What if, down the road, you find a home that’s selling for $220,00 and you’re trying to get it for $210,000?
What if that listing is with the same company your agent is with? Would your information be known, and would it diminish your position if the seller’s side knew what you wanted to end up with something at $225,00? You can just imagine the Seller’s side thinking, “Why is this guy (you) jacking us around when we know he can afford it?”
I’m just sayin …
If you want to remove the “What Ifs”, then work with an Exclusive Buyer Agent. We never work for the Seller, or the Seller’s real estate company, and your information is safe with us. Give us a call today at 636-532-4200 and don’t let loose lips sink your ship!
- HUD talks about using Exclusive Buyer Agents
- Media comments about Exclusive Buyer Agents
- 5 tips for a successful home purchase
- St Louis First-Time Buyer Expectations Vs Real Estate Reality (media.findinghomesforyou.com)