We all know that real estate agents are common figures in a real estate transaction, but what’s the difference between a listing agent and a buyer’s agent?

Any real estate agent can act as either a listing agent or a buyer’s agent whenever they choose.  The terms are only used to represent the role of the agent in a specific transaction.

Listing Agent vs. Buyer’s Agent

An agent is considered a listing agent (also occasionally referred to as the seller’s agent) when they are acting on behalf of a property seller.

The main purpose of a listing agent is to list the property for sale, advertise the listing, and handle inquiries and offers.

An agent is considered a buyer’s agent when they are acting on behalf of a buyer.

(NOTE: You may occasionally see a buyer’s agent referred to as a “selling agent”.  This is not to be confused with the listing agent or “seller’s agent” who represents the seller.)

In some cases, a real estate agent can represent both the buyer and the seller in the same transaction.  This is called “dual agency”.

Dual agency is illegal in some states and can be bad news for the home seller in certain situations because of the conflict of interest.

Just to be clear, neither the listing agent nor the buyer’s agent are required when selling a house.  But if a real estate agent is involved, it’s important to understand the role they will play in the deal.

What Does a Listing Agent Do?

The job of the listing agent starts with recommending an appropriate price for the property based on comparable homes that have recently sold in the local area.

Listing photos are next on the agenda, although some listing agents will hire professional photographers to take the photos for them.

Next up is the property description.  Most agents write up a quick description that will highlight the key facts about the property for sale.  It may not be as in depth as one you would write yourself, so don’t be afraid to look it over and be sure it does your home justice.

Once the photos and description are ready to go, the listing agent will officially list the property in the local MLS (Multiple Listing Service).  The MLS system will then distribute the listing to the top online listing platforms for potential buyers to see.

Bonus Tip #1: It is NOT necessary to work with a listing agent to get your property listed in the MLS.

If you prefer to list your property For Sale By Owner (FSBO), you can pay a flat fee to have an MLS agent list your property in the MLS and avoid paying a listing agent commission.

Once a listing is live, the listing agent acts as the point of contact for inquires and offers.  They may also share their opinion with the seller on whether or not they should accept, reject, or counter an offer.

Bonus Tip #2: If you do have a real estate agent list your house, we recommend paying no more than 4% commission.

Most agents will push for 6% commission at first, but there are many agents who are willing to settle for 4% or less.  You owe it to yourself to negotiate and save the 2% of your equity!

What Does a Buyer’s Agent Do?

Buyer’s agents have their own set of responsibilities that include finding properties that their clients might like to see and contacting the listing agents for each of those properties to schedule showings.

The buyer’s agent is usually the one who shows the property to their clients and reaches out to the listing agent with any of their buyer’s questions or concerns regarding the property.

Once the buyer is ready to make an offer, the buyer’s agent can give their opinion on how much the buyers should offer on a particular property.  The buyer’s agent is ultimately responsible for presenting the offer to the listing agent or directly to the seller if the property is listed For Sale By Owner.

Bonus Tip #3: If your house is listed For Sale By Owner and you want to avoid paying a buyer’s agent commission, then make it clear in your property description that the purchase price does not include an agent commission.

If a buyer really wants your house, they will either drop their agent or pay the commission themselves.  Remember, the house will sell itself to the right buyer, not the agent.

Bonus Tip #4: If your house is listed For Sale By Owner and you are comfortable paying a buyer’s agent commission, we recommend offering no more than 2% commission.

Many buyer’s agents will ask for 3% commission, but thanks to the “Your House, Your Equity!” Movement, more homeowners are finding out that many buyer’s agents will settle for 2% commission rather than losing the sale.

YOUR House, YOUR Equity

For even more great tips to help you sell your house fast and save your equity, watch our FREE Webinar: “How to Easily Sell Your House & Keep Your Equity”

Here at www.YourHouseYourEquity.com, it’s our mission to help sellers like you to save as much money as possible when selling your house because…

It’s YOUR house, and it’s YOUR equity!