Real estate buyer’s agents are road warriors who know the community inside out. They know every listing on the MLS, restaurants, and amenities around town. They are prepared with market knowledge, extra water for clients, and spare umbrellas in the trunk. The mission is simple: find the perfect property for buyers and guide them through the homebuying process.
☝Is this what you want your buyer agent business to sound like? I can help with that—keep reading!
What Is a Buyer’s Agent & Their Responsibilities
Defining a buyer agent is simple: they work with home buyers to find and purchase a home. However, buyer agents have much more to their roles than just that simple definition. Their primary responsibilities include:
Differences Between Buyer & Seller Agents
While buyer and seller agents may work on the same transaction and have a lot of the same skills, their fiduciary responsibilities lie on either side of the transaction. A buyer agent is, you guessed it, representing the buyer and their best interests; the seller agent’s loyalty is with the seller. Seller agents also do a few extra items associated with listing and marketing properties to prepare them for sale:
Typically, it’s more challenging to become a seller agent, also known as a listing agent, because that requires a consistent string of sellers who want to list their properties with you. This usually involves more experience and knowledge of the market but is definitely an avenue to take if being a buyer’s agent isn’t your cup of tea.
How Much Do Buyer’s Agents Earn?
According to ZipRecruiter, the average buyer agent earns about $94,000 annually, with the high end being $151,000 and the low end being $35,500. Of course, this depends on your local market, general market conditions, and hours worked.
However, it’s important to note that for years, buyer’s agents have been paid by the sellers. This means the home buyer was not responsible for paying any agent commission separate from the transaction. In recent news, this has changed, and sellers in many areas can choose whether or not they want to cover the buyer’s agent commission.
While this is a case-by-case basis, buyer’s agents should be aware that they will have to discuss the commission structure with the seller’s agent and may also have to discuss it with their buyer clients. Buyer agents must also get a buyer-broker agreement signed to show themselves as the buyer’s representative. Learn more about this process in our buyer-broker agreement guide.
Benefits of Becoming a Buyer’s Agent
Specializing as a buyer’s agent has plenty of advantages and is a great way to build a successful and rewarding career in real estate. If you’re considering carving out a niche in your market as a buyer’s agent, let’s look at some benefits of choosing this path.
- Long-term client potential: When you help buyers with their purchases, you show them how valuable you are and become the person they turn to for all their real estate needs throughout life.
- Negotiation experience: Negotiating is a common and vital practice in real estate. Submitting offers for and negotiating on behalf of buyers is a great way to improve upon this skill.
- Client education: Being a buyer’s agent allows you to educate people on the homebuying process. It can be a rewarding experience to guide people on the path to homeownership.
- Potential for easier lead conversion: Starting as a realtor, many ask, “What is a buyers agent?” This is a common path for many real estate agents since finding potential buyers can be easier than securing a listing. It’s a great way to build your business and establish yourself in the industry.
Many real estate professionals start as buyer’s agents because it can be easier to break into. Some transition to listings, while others prefer to continue working with buyers. Any seasoned buyer’s agent knows that you are not just showing homes. You’re building deeper relationships with your clients and, at times, acting as a wise counselor (dare we say, a therapist) to guide them through a crucial life moment.
Buyer Agent Skills Needed to Succeed
Your activities as a real estate buyer’s agent are relatively straightforward. You help clients narrow down what they’re looking for, identify properties that match their criteria, write, submit, and negotiate the offer, and manage the transaction to the closing table. Some of the skills needed to excel as a real estate buyer’s agent may even overlap with those of a seller’s agent. Here are some of the more important skills you may tap into as a buyer agent.
- Networking capability
- Research and market knowledge
- Communication skills
- Basic technology understanding
- Patience
- Negotiation skills
- Problem-solving
- Time management
- Motivation
- Customer service
- Empathy
- Active listening
- Transaction management
- Confidence
- Attention to detail
- Advertising and marketing
One of the best parts of the real estate industry is the variety. Check out our article about the different types of agents for more details on the various roles you may encounter and the different skills required while working in the real estate industry.
Tips to Excel as a Real Estate Buyer’s Agent
The most successful real estate buyer’s agents are really good at working with people and truly love helping others. They also know how to immerse themselves in the community and help educate consumers on becoming homeowners. Follow these five tips, and you will be on your way to becoming the best real estate buyer’s agent in your market.
Tip 1: Hone in on Your Market Knowledge
To get your clients into their dream homes, you must be armed with information about new and available listings. When you have a pulse on the market, you have a better chance of seeing properties as they become available, allowing your clients to be first in and have less competition. Knowing the market also allows you to understand if homes are overpriced and helps strengthen your negotiating skills.
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What to do:
Use the MLS daily. Check inventory in the areas your clients are looking in and look at expired listings. Set up auto-searches for your clients and the same searches for yourself. If it’s a tough market, set the search to run in “real-time” so your clients see new listings as soon as they hit the market. And don’t forget to build relationships with the listing agents in your area. They may just have some off-market property options for your clients.
Tip 2: Think of Yourself as a Coach
Whether your client is a first-timer or a seasoned investor, you’re the real estate pro who brings the knowledge and experience to the table. When you signed on, you committed to providing trustworthy guidance to your clients, which includes the idea of “reasonable care.” Your clients rely on you to have their best interests at heart and steer them in the right direction.
A coaching mindset is vital for working with newbies. You can really shine as a specialist when working with first-time buyers who may be nervous, confused, and overwhelmed. Think of yourself as that coach, and you’ll get them to the closing finish line. Create a checklist for first-time buyers (or use ours by clicking here!)
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What to do:
Host homebuyer seminars or workshops to provide information about how to become a homeowner. In addition, always be sure to meet with your buyers before getting started to review their needs and set up their search properly. Don’t forget to regularly check in throughout the process to answer any questions that may arise.
Tip 3: Immerse Yourself in the Community
Know your community backward and forward to help your clients find that perfect home. If you have a pulse on the various neighborhoods and development plans, you might be able to help a client score a great house in an up-and-coming area. Knowing the local restaurants, festivals, coffee shops, traffic patterns, and school districts makes you an excellent resource for your clients.
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What to do:
Immerse yourself in the area where you work. Join organizations, volunteer at events, and get to know local businesses. This not only helps solidify you as an area expert but also helps you network with other community members, possibly landing you more leads!
💡 Pro Tip: Knowing your community and local market also helps when your clients negotiate prices. You know the comps, and you might even know the negotiation style of the listing agent. Your expertise and confidence can help your client get their dream home at the right price. All of this serves your real estate buyer clients and helps you become the real estate agent in town everyone looks to when buying a home.
Tip 4: Communicate Well & Often
Consider your communication methods carefully. Your buyer client will have questions throughout the process, so it’s important to determine if they prefer email, text, or good old phone calls. Explain how you work regarding communication and clearly lay out your business hours. And don’t forget to keep in touch even after the deal is done. You’ll want to be there to help with any future real estate needs.
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What to do:
You need a good customer relationship manager (CRM) to manage client communication effectively. LionDesk is an excellent option that organizes contacts, helps you strategize communication, sets up automated emails, and even allows you to send texts and voicemail messages through the platform.
Tip 5: Continue to Be a Resource
One of the greatest ways to support your clients is by offering valuable information before, during, and after their transaction. Even after they’ve purchased their home, maintaining the relationship will help them feel at ease seeking your real estate advice.
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What to do:
Put your clients in your regular outreach rotation. Send handwritten notes, give a pop-by gift, or just call to check in regularly. It’s also a good idea to keep your clients up-to-date about the value of their home. Sharing area comps and information about their community will help you become a trusted resource for years to come.
Best Practices for Working as a Buyer’s Agent
By incorporating these buyer’s agent best practices into your approach, you’ll have the opportunity to show off your ability to support buyers on what could be the biggest purchase of their life. Take these best practices and create your own systems for your business as a great way to distinguish yourself from other agents.
- Follow-up with leads promptly
- Use a CRM to organize your leads
- Set up auto searches on the MLS
- Use a homebuyer checklist
- Personalize your communication
- Set up drip campaigns
- Educate your clients throughout the process
- Practice patience
- Use active listening to connect with clients
- Tap into your customer service skills
- Practice time management
- Use past testimonials to build trust
- Have confidence in your skills
- Stay involved in your community
FAQs
Is a buyer's agent the same as a realtor?
There are different meanings for the term realtor, but in short, there is only a tiny difference between a buyers agent vs realtor. The public widely adopted the term “Realtor” as a universal title for real estate agents, even though that’s not how it was initially intended. Realtors are National Association of Realtors (NAR) members, and the title was once reserved for members only. That aside, real estate agents and Realtors mostly share the same job responsibilities. You can learn more by reading our article, Realtor vs Real Estate Agent: What’s the Difference?
What is a local buyers agent?
A local buyer agent works in the area where a buyer is looking to purchase a home. This provides a slight advantage as local agents typically know the area, market, and amenities better than those that are not local. However, a real estate agent does not need to be a “local buyers agent” to help people in a specific area and can still provide value.
Do I have to pay a buyer’s agent?
As of August 2024, buyers may be responsible for paying their agent directly. However, this may be specific to each individual deal. To learn more, read about NAR’s practice changes in 2024.
Bringing It All Together
This guide should help you better answer the question, “What is a buyer’s agent?” and know that it’s not just for those starting out in real estate. It’s a rewarding niche that allows you to build your business, serve clients, and make a real difference in people’s lives. With these tips, you’ll stand out as your community’s go-to buyer’s agent.
Do you have experience as a real estate buyer’s agent? What about advice for those wanting to specialize? Leave us a comment or question below!
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