What is an "exclusive buyer's agent"?
The Buyer's Agent of Asheville is a company of agents that have been skillfully trained to represent only homebuyers. I do not take any listings of my own which means I provide you an unbiased look at the entire market unlike traditional agents who push their own listings. My allegiance is to the needs of the buyer, to resolve issues and negotiate the lowest possible price for the buyer.

How much does it cost to work with an "exclusive buyer's agent"?
I receive a percentage of the co-brokered fee just like traditional agents. With listed homes the sales commission is factored into the purchase price of a home so no cash comes out of your pocket. I also aggressively look at "for sale by owner" properties for my clients which typically I can arrange the brokerage fee to be included with the purchase price so it will not come directly out of your pocket.

If "exclusive buyer's agents" are paid a commission based on the sales price of a home, what is your incentive to negotiate a lower price for me?
Saving you $10,000 on the price you pay for a home reduces my commission by $300. I believe that is a small price to pay for the lasting benefit of a satisfied client, and the best kind of advertising money can buy.

Will I have to sign an agreement to utilize your services?
Yes. By signing an agreement it is your permission for me to act in your best interest. It is NC state law that if you do not have an agreement with an agent then legally the agent has to represent all sellers in the market. You will dictate the length of the agreement and always retain the power to withdraw the agreement at anytime.

Can't I purchase "For Sale By Owner" properties without using a buyer's agent?
By using an "exclusive buyer's agent" you will feel more secure about making purchase decisions rather than on your own. I will provide you with market analysis on each property you are interested in and will be able to show you trends and values of property in the area. You will also be better equipped to negotiate price and repairs with an agent on your side.

How much does their service cost me?
When purchasing listed properties, there are no additional costs to you for the service of an exclusive buyer's agent. Although technically you are hiring the buyer agent, the compensation can come from the real-estate transaction. When a home is listed for sale with a real estate agent, the seller generally allows for a commission big enough for the listing agent to share 50/50 with the real estate agent that brings in the buyer.

What if I want to purchase a for sale by owner or a new construction property?
A similar process would apply. In the offer to purchase, the agent simply tells the seller that instead of having to pay a full commission to a listing real estate firm, the buyer is requesting that his/her half of the real-estate commission be paid from the proceeds of the transaction. With this method both the buyer and the seller can save on commission by dealing directly with a buyer agent. In most cases, the commission is worked in to the purchase price and can be financed through the mortgage.

If the agent usually works on a commission, what is the exclusive buyer’s agent’s incentive to save me money when negotiating on my behalf?
One simple answer, "Repeat Business". The better the job that agents do for home buyers the more the word gets out. There simply would be no growth in one's Real Estate business career if they didn't do a great job advising home buyers. In addition, it would be a violation of a written contract between the buyer and the agent if the agent knowingly did an injustice to the buyer.

How does the buyer agent find out about all the homes that might meet my needs?
As members of the Asheville Board of Realtors, we have the same access to listed properties as any other real-estate company via the Multiple Listing System. As exclusive buyer agents, we also stay on top of for sale by owner and new construction properties as well.

When working with a Real Estate agent am I a client or a customer?
A buyer who is a customer of a real estate agent is working with an agent whose loyalty lies with the seller. You must be a client of the agent in order to get any kind of representation. Be sure it is in writing from your agent. Do not assume. Many home buyers have always thought the agent working with them was working for them.

I heard that buyer agents want me to sign a contract that would tie me up to only work with them. What if I wanted to work with other agents?
The contract between you and an exclusive buyer agent is very important to be aware of. Exclusive Buyer agents offer the contract as protection for you the buyer as well as the Agent. It allows you to have recourse against a buyer agent who does not perform to your best interests. It also ensures that you will work with that agent for the duration of the contract. Contracts are written for x number of days. The decision is yours. Keep the contract short at first. After such time, you will have been able to decide whether or not the agent you are working with will live up to your standards. At that time you have the option of extending the contract or, you may decide to choose to work with another agent.

An agent will go to work for you spending many ours of research, scouring the market place continuously looking for the homes that best suits your needs, financially as well as physically. An exclusive buyer agent needs to know that you are committed to them during the time they are committed to work for you.

What can I expect from an exclusive buyer agent?
NO PRESSURE: Buyer brokers are paid professional consultants. They never pressure their client to make a decision to purchase a particular property. Nonetheless, when appropriate, and still without exerting undue pressure, the broker must advise the buyer-client of the ramifications of such acts as delaying decisions and making inappropriate offers.

REASONABLE CARE AND DILIGENCE: A buyer broker is responsible for researching any property of you choice and its surroundings to discover all material information prior to a buyer-client making an offer to purchase.

NEGOTIATOR: The buyer broker has assumed the responsibility to make sure their buyer-clients never unknowingly over pay for the home being purchased. It is the buyer broker’s job to do a market analysis on every home the buyer-client intends to make an offer on. If the buyer broker knows of any information regarding the seller’s willingness to accept less than the listed price, it is their fiduciary responsibility to inform the buyer-client of such facts.

LOYALTY: A buyer broker must always think of the buyer-client before him or herself, even when it may not be in the buyer broker’s best interest. A buyer broker must always be loyal, to the buyer, never doing anything that would intentionally jeopardize the buyer-client's best interests.

OBEDIENCE: A buyer broker owes absolute obedience to the buyer client provided that the buyer broker is not asked to violate any Provincial or Federal statutes or regulations. The buyer broker has the job to search out the entire area to the best of his/her ability including for sale by owner and new construction for the homes that best meet their clients needs and not to waste time showing their clients home that does not meet their criteria. Doing otherwise would be a breach of contract between the buyer broker and the client.

DISCLOSURE: A buyer broker must disclose any information he/she knows about the seller to the buyer-client. A buyer broker must disclose any pertinent facts about the property and the immediate area known to him/her or, which should be reasonably expected to be known as the representative of the buyer-client.

CONFIDENTIALITY: A buyer broker must keep all sensitive information concerning his/her client confidential, unless the client has given the buyer broker permission to disclose such information.

THE CONTRACT: The buyer broker is bound by contract to perform on behalf of the buyer. A buyer should always insist on having a contractual relationship with the buyer broker. Their contract fully obligates and defines the legal responsibilities of the buyer broker. The buyer client now can have recourse against his/her real estate agent if in fact the agent has not done his/her job thoroughly.
In dealings with the seller, a buyer's agent should exercise reasonable skill and care in performance of the agent's duties, deal honestly, fairly and in good faith and disclose all facts known to the agent materially affecting the buyer's ability and/or willingness to perform a contract to acquire seller's property that are not consistent with the agent's fiduciary duties to the buyer. Beware of the real estate agent that takes listings and calls him/herself a buyer’s agent without properly advising you of the fact.


What is the difference between "pre-qualified" and "pre-approved"?
If you are "pre-qualified" you have determined, with a loan officer, what price you can afford based on the down payment, your debts and the amount the mortgage company will approve for your mortgage. Being "pre-qualified" is only a determination of your probable credit. If you are "pre-approved", your credit, employment and funds have been approved by the lender.

What are closing costs?
Closing costs are an accumulation of charges paid to different entities associated with the buying and selling of real estate. For buyers, they are usually about 4-6% of the total sales price of a property. Some of the closing costs you might encounter are: application fees, appraisal fee, county taxes, credit report, discount points, documentation fee, escrow fees, homeowners' association fees, loan fees, mortgage insurance, origination fees, tax registration and title insurance premium.

What is a point?
One point is equal to 1% of the new loan amount. Whenever government regulation, state usury laws and/or competitive practices prohibit the lender from charging a rate of interest that would make the real estate loan competitive with other fields of investments, the lender must seek some method of increasing the yield for the investors. By charging "points", the lender can bring the real estate loan up to those other investments.

What is earnest money?
When you make an offer, you will need to put up an earnest money deposit as a sign of good faith that you are seriously interested in buying a home. That deposit becomes a part of the purchase price and is held in a trust account until there is full acceptance of the offer. Typically, an earnest money is 3-5% of the offer amount.

What is title insurance?
Title insurance protects the named insured against loss because of defects, liens, encumbrances, adverse claims or other matters not shown or disclosed to the new owner that attach before date of policy.

Is VA or FHA financing unfair to sellers?
FHA and VA loans provide purchasers the opportunity to buy homes with minimal cash investment and at lower interest rates. The result is a larger market for sellers, who also benefit by receiving all cash for their equity.