The short answer: YES!
But Why?
Here is the reality of selling and buying Real Estate in California. It IS legal to represent a buyer and a seller on the same transaction.
Personally, it is not something I strive to do as it can cause complications and sometimes one party ends up unhappy. My goal in selling RE is to have both parties feeling like they each got a good deal and that one party has not suffered more than the other. I understand, that my approach is rare. When I work with other agents, I let them know how I would like the transaction to go (i.e. in a civilized, and dare I say, even FUN manner). Most are shocked and pleasantly surprised at this approach and every agent I have worked with has thanked me for my approach and has told me that they wished every agent shared my views. But I digress,
If the seller has hired me to sell their home, that is my first and foremost duty. Sometimes we have a buyer client already working with us, but I can tell you that most times in this competitive “low inventory” environment, buyers walk into our open houses, or call us directly asking us to write offers for them. On one of my last listings, several people came in asking me to write an offer for them (i.e. represent them as a buyer’s agent, while also representing the seller). Once some more discussions were had, it was determined that NOT ONE of these buyers was willing to go up to a price that the home would ultimately sell for. One would hope that agents are doing their best for the client that originally hired them and try to get the highest sales price. Sadly, this does not always happen, due to agents putting themselves first and only thinking about the double commission.
At the end of the day, there is a way to win the home and at the same time have someone specifically represent you in the transaction. That way is price. In a tight market like this one, not everyone is willing to step up and pay the highest price for a property, and ultimately, that is who gets the home. I can’t stress enough how important it is to have your own representation. You need someone that is going to focus on you and your inspections and negotiate the deal that is best for you. It is very rare to find an agent that can represent both parties well.
As an aside, on my most recent multiple offer listing, I can tell you that we did not even read the letters that the agents and buyers wrote, until we came down to our 3 best offers. The sellers did not want to see them, and only wanted the facts. I will share with you, that I did get to meet all the buyers at my open house, so I had a good idea as to the fit (or lack thereof) of each buyer and their agent. In the end, it was the agents who asked the right questions and knew how to get to the important elements of the deal who stood a chance in a multiple offer situation. From there, we knew who we wanted to work with, and then we had to get the price up to a point that worked for the seller. So yes, price is important, but having someone that is focused on you, focused on packaging your offer and marketing it to the seller is also just as important.
If you are curious and would like to talk about this or other Real Estate matters, I’d be happy to hear from you. I sit on the professional standards committee for the Beverly Hills/Greater Los Angeles Board of Realtors and I have had to arbitrate cases that stem from issues pertaining to dual representation. They are usually pretty messy cases. In fact, I understand that the issue of dual representation has come under quite a bit of scrutiny over the past several years, as there are some agents that just see $$$ signs and the seller is the one that loses out on a lesser price, and/or the buyer loses out due to poor representation.
I look forward to hearing from you. Feel free to call/text/or email.
Regards,
Revi Mendelsohn, Realtor Rodeo Realty
310-963-7384 cell/txt
[email protected]
