Return to listings

In all of 2011 I worked exclusively as a buyer agent and didn't take any listings. In 2012 I will start taking listings again. I quit taking listings in 2011 because the market had turned and many sellers had not yet realized that prices were going lower. I believe now that home sellers are more realistic, so I will work as a listing agent representing sellers as well as a buyer agent. If a buyer likes one of my listings, I will advise the buyer to get a buyer's agent if they feel there is a conflict of interest.

I look forward to Savannah real estate market in 2012, which I believe will be a better market for sellers.

The Buyer Agent difference

As a Buyer's Agent I don't sell homes, I consult with buyers, present them with options and provide them with the needed information to make an informed decision. This is much different from a listing agent who has a contract with sellers to sell their home for the highest price possible.

I'm motivated as a Buyer's Agent to get the lowest price and best terms and conditions possible for the buyer, even if it means receiving a somewhat lower commission, because if I please the buyers they'll tell others, and if I don't please the buyers, they'll tell others. The best advertising in the world is word-of-mouth. Since I work only with buyers, I can't afford a reputation of not doing what I say I will do -- I can't rely on the next listing.

Most listing agents will be honest with you and nice to you if you go directly to them, but they are bound by contract to protect the seller's position. I'm not bound by contract to protect the seller's position -- I'm bound to protect the buyer's position. If people tell you there's no benefit to using a Buyer's Agent, don't believe them.

Buyer's Agents aren't as prevalent in Savannah real estate, but there are a couple of us who do exclusively buyer agency. Doing Buyer Agency exclusively is the only way to avoid a conflict of interest. It helps to know the difference.

Baby boomers and Savannah real estate

I'm a baby boomer, but I have it made, I can retire in a place I'd likely choose if I didn't live here -- Savannah, Ga.

When the economy improves and homes start selling more briskly, the baby boomer retirement movement will proceed at a healthy pace. I can recommend Savannah to anyone living in large, cold industrial areas -- Savannah has a lot to offer retirees -- an interesting downtown community, art, music and plays, the beach, gated communities with good golf courses and the ability to play almost year around.

Exclusive buyer agency works for retiring baby boomers -- one thing we have learned is that good information is powerful, and that's what exclusive buyer agency is about -- providing good, objective information so that a buyer can make a well-informed decision.

Moving out of state doesn't have to be an anxious experience of not knowing the ins and outs of the real estate market in which you'll be moving -- buyer agents understand this and offer services to remove the anxiety. You can do all your upfront research over the internet, and if you get the right buyer agent, you will know everything you need to know about a place like Savannah Ga before ever looking at a home.

Using a buyer agent is the smart way to buy a home. Baby boomers should find the experience a fun adventure rather than an anxious hassle. In today's market, good information is critical. Having a good buyer agent you can trust is much better than going fom listing agent to listing agent, each one attempting to sell their listings -- not that there is anything wrong with listing agents trying to sell their listings, because they represent the seller and that's what they are supposed to do -- but you are the buyer, and you need representation, too.

Savannah real estate market picking up

Lately I've noticed increased activity in the Savannah real estate market. I've even had competition on the offers I've put in lately, and I haven't seen that for a while.

I was worried that the end of the $8000 rebate would cause a slow-down, but that doesn't seem to be the case. At the end of the month, I'll run some statistics to see if my experience holds true with the Savannah market as a whole. I suspect we'll see gradual improvement in sales with a slight rise in home prices. There's quite a bit of pent-up demand, and it seems to be loosening.

I've transitioned to exclusive buyer agent representation and that is working out well so far. There are a lot of people contacting me from out of town with intentions of moving to Savannah to purchase a home and they appreciate the service I provide, as someone who will be looking after their interests. Newcomers to the area find it useful to have one agent they can trust to show them the area, explain the lay-out, give them up-dated information on the market and take care of all the showing appointments. They find that it beats going from listing agent to listing agent with each one trying to sell their listings. There's a need for both good listing agents and buyer agents, but if you are a buyer, it makes more sense to have a buyer agent.

Why would a Buyer Agent negotiate for a lower price

If a buyer agent negotiates a lower price for a home, it reduces the amount of the buyer agent's commission, so what motive does a buyer agent have to get the buyer a lower price?

Good question. Let's answer it in a round about way that better explains the mindset of an exclusive buyer agent. First, after the commission split, a difference of $10,000 or $20,000 in the price is not going to amount to that much less in commission -- maybe a couple of hundred dollars. But even if it's $300 or $400, it doesn't matter. It's worth it. I want that reputation -- an agent who wants to get the buyer a lower price on the home so I can lose commission money. Crazy, but true.

An exclusive buyer gets business by doing a good job protecting the buyers' interests and doing what he/she says he/she is going to do, including saving money -- word of mouth is the best form of advertising -- so consider that $200, or whatever amount, as advertising costs. If a satisfied buyer refers just one buyer in the future, which most of them do, I consider losing that $200 or so a good investment. The more I lose, the better satisfied is the buyer and the more likely I'll get referrals in the future. That's cheap advertising, because, I don't know about other area, but here in Savannah Ga, magazines and such stick it to agents. I feel like I've saved money and invested it well.

An exclusive buyer agent has to have a mindset that focuses on saving the buyer time, money and hassle. Listing agents get awards based on the dollar amount of their sales based on the total of the prices of the homes they sell. When I first started as an exclusive buyer agent, our company gave awards based on the total amount of dollars we saved buyers in the transaction. My last year with that company I got the highest award by saving buyers more money than anyone else in the company.

It's a different mindset -- it has to be, to be good at it.