A big change just occurred in BC real estate with the banning of LDA, Limited Dual Agency. When seller’s asks, “do you have a buyer for my house?” The new answer is “no”. Or, it should start to become the proper answer.
All to often in BC and other markets, some real estate agents’ business practices revolve around the “list with me, I have a buyer for your property” mentality.
When I sold in Ontario 14 years ago, my agent gave me this line as a powerful incentive to sign a listing agreement that night. At the time, I was not a real estate agent. The urgency to sign the paperwork was miss placed yet we were powerless. We were scared, didn’t understand the system and the thought of the agent having a buyer waiting in the wings was all to tempting. Papers signed. Not wanting to “risk it” and feeling no need to question it, the listing presentation, contract paperwork, hugs and kisses all took about 2 hours.
Did my agent at the time give me a harmless little white lie?
There were more than 500 realtors in my area at the time. His team of 15 people technically had a slightly better than 15 in 500 chance of selling my home to one of their clients.
What we failed to focus on was the service and support the agent would offer us. How would he or she “stick up” for our price? What was their negotiation style? Who would be helping us with the actual sale (we never met the listing agent a second time and we got handed off to a junior, inexperienced “salesy” guy)? This poor experience motivated me to become and agent and write this blog. It’s been 14 years.
Many will decry the loss of LDA. Me, not at all. Sure, LDA can work at times. However, if you want your agent 100% in your corner, it’s best that the answer to the question be “no”, I don’t have a buyer. But, I will help you get the best price and terms from the best one that comes around…