Sellers beware

diningrmI know I just wrote about multiple offers a week ago see: Multiple can mean more money . . but this week I saw three homes come on the market and they all got offers and went to the “pending” status the first day they were on the market.  In each case the broker representing the buyer and the seller were the same broker. We call that dual agency. In one case it was the same agent representing both the buyer and the seller, and in the other two the agents were from the same office.

If an offer comes the first day a home is on the market and there are other parties interested in seeing the home I always hold that first offer for a couple of days and give a deadline for all interested parties to submit their highest and best offer because I want my sellers to get multiple offers if at all possible.

Sellers should examine all offers and if the name of the brokerage is the same for the listing agent and the selling agent that is dual agency. Ask your agent to get some more offers. Homes should be exposed to the widest possible market not just “pre-marketed” in a single brokerage. Dual agency is very good for a brokerage.  If they can market and sell their listings internally they don’t have to compete with other agents and real estate companies. When we compete sellers and even buyers come out ahead.

Even though I am with a small brokerage I can compete with the huge brokerages because we all use the same internet and when I list a home there is almost no danger of getting into a dual agency situation and if I do represent a buyer and write an offer on one of my own listings I certainly make sure that no other agents have interested buyers because in a dual agency situation I can not represent the buyer or the seller but must become a facilitator and as such I have to make sure each party gets a fair shake and fair isn’t taking the first offer it is about getting the best offer.

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