Do you know the difference between a selling licensee, a buyer's licensee and a listing licensee?
When a seller wants to sell their real estate, home or property they enlist the help of a listing licensee to help sell their home. A seller can sell it themselves which is called a FSBO (for sale by owner) but this is not the best way to go in this market. In a seller's market, where there are a lot of buyers and very little inventory, selling a home yourself can be a great idea. But in tough markets where the buyer is in charge and there is an over abundance of homes on the market, you can't afford to not have an specialist working hard on your side to sell your home.
The broker that lists a home for sale is called the listing licensee. This specialist works solely for the seller and their best interest. They can also sell the home to a buyer that is not working with another brokerage. When a listing specialist also becomes an licensee for the buyer that person is called a neutral licensee. This is not always the best route to go as the licensee can feel conflicted about whose best interest to really take to heart. Many times it is who found the expert first in which case, the licensee feels more connection to the seller than the buyer and merely facilitates the transaction for them.
This is why it is so important to enlist the help of a buyer's specialist when looking for a home. The licensee that works solely for the buyer is called a buyer's representative and will take that buyer's needs and interest as their own while in contract buying real estate with that buyer. The licensee gets paid half the commission from the seller of whatever house the buyer chooses so it is completely free of charge to the buyer.
The seller pays a commission from the sale of the home to the licensee listing the house and that fee is usually split between the buyer's rep and the listing licensee. So you can see if the listing facilitator also finds the buyer, the entire commission can go to one licensee.
When you are ready to go shopping for a home be sure to contact me for your real estate needs. Even though I can list homes I also sell homes to buyer and I would love to be your buyer's rep on your new real estate or property.