Maybe you decided to work with a real estate broker but aren’t happy with a low-ball offer. Dual agents notoriously take this approach, so what can you do?
At Wise Property Buyers, we buy houses in Detroit and enjoy giving homeowners advice that gives them an advantage. Want to avoid the headache of the traditional home-buying process? Keep reading to discover what to do when a dual agent low-balls you.
What Is a Dual Agent?
A “dual agent” means the same real estate agent or broker has chosen to represent both the buyer and seller. Every agent has a fiduciary duty to put their client first and obtain the best possible deal. Many times, dual agency poses a conflict of interest.
Does a dual agent prioritize buyer advantage and impose a seller disadvantage? Not necessarily, as the largest benefits of dual agency include faster communication and streamlined sales. However, by some measures, only the agent truly benefits.
How You Should Address the Inadequate Offer
You’ve received a low-ball offer from a dual agent when they prioritize the buyer over you. What should you do? Stay calm and communicate clearly.
You have every right to feel frustrated with a low-ball offer, but keeping your emotions out of the process will give you the best chance of success. Remember, many real estate agents consider this part of the process. They expect you to counter that offer.
Essentially, your agent should advise you to start an offer negotiation. If they’re a good dual agent, they’ll also give you advice about how to propose a higher price. Try understanding the buyer’s motivations and offering alternatives, like paying closing costs or the agent’s commission.
It’s also important to note that a low-ball offer is not the final solution. You can still arrive at a point where every party feels happy.
Seek Other Forms of Compensation Instead or Entice a Higher Offer
While negotiating with your agent won’t affect your tax considerations, you can potentially negotiate with them to lower other expenses. Consider the following options:
- Ask the agent to reduce or eliminate the commission incentive the buyer pays (their paycheck now depends on a higher sale).
- Ask the buyer to pay the closing costs.
- Offer to leave some appliances and furniture or provide a home warranty if the buyer increases their offer.
Consider Changing Your Agent
If you can’t settle on favorable terms with your agent and buyer, consider ending your contract with them. Why not find a company that buys homes for cash and gives fair cash offers?
When you consider this option, you don’t have to find a real estate investor who doesn’t have your best interest in mind. Work with a reputable fast-cash company with a history of satisfied customers – like Wise Property Buyers.
Avoid Duplicitous Agents and Sell for Cash Instead
When you work with Wise Property Buyers, you don’t have to deal with low-ball offers that dual agents may make. We make the process of selling a house fast and hassle-free. You can close in as few as seven days.
Call (313) 513-8824 today!