"How much does it cost for an Exclusive Buyer Agent to
help me find, negotiate for, and buy the home I want?"
"When you're buying a home, you pay no additional cost
for our services. We are normally paid through the proceeds
of the transaction. That means we are paid a portion of
the commission that the seller and the listing company (or
the builder) have agreed in advance to pay any agent who
brings a homebuyer to the transaction. At the closing, our
company receives a check from the Title Company. But unlike
traditional Realtors, we're EBA's, and we always represent
your best interests - not the seller's - from start to finish."
"Do I have to sign a contract with you?"
"We can begin with a trial agreement lasting just 1 day.
When we enter into this agreement with each other (much like
the agreement entered into by the seller with their listing
agent), you become our client, making us legally obligated
to perform specific duties. They are: Loyalty, Disclosure,
Confidentiality, Obedience, Care and Diligence, and Accounting
of Funds. We also have the duty to disclose all material information
obtained from the seller’s agent, or from the seller,
or from any other source. These duties are absolute, taking
priority over all else when you become our client. You're
not just a customer to us."
"How are you different from other agents?"
"When we look at houses together with our buyer-clients,
we look at them with a critical eye. We point out reasons
for NOT buying a house, and we also point out maintenance
issues, as well as possible safety concerns. We can do this
because it isn't our listing; we have no listings, and no
allegiance with sellers. Our allegiance is with our client,
the buyer. And most traditional agents only use the standard
contracts, but we'll also use many other clauses (in our Purchaser's
Addendum to Contract) to further protect you during your purchase."
"How do you save me more money than other agents?"
"EBA's have a legal duty to negotiate the lowest price
and the best terms for every client, no matter how much you're
spending for a home. By researching recent sales of
similar homes, we'll point out whether a home is overpriced,
underpriced, or priced fairly. Unlike other agents, a true
EBA will always negotiate ONLY for you, the buyer, never the
seller. EBA's can guarantee to always represent the buyer
exclusively, because true EBA's are never Dual agents or Split
agents. Get FULL representation, with YOUR interests protected,
and your finances kept CONFIDENTIAL ... only with a genuine
"Do you follow a Code of Ethics and a Standards of Practice?"
NAEBA (National Association of Exclusive Buyer Agents)
Code of Ethics: Preamble
members recognize that exclusive buyer agency must be founded
upon strict adherence to the legal principles of agency with
ethical standards that may surpass minimum legal standards.
An agency relationship therefore requires that we serve our
Clients by providing five (5) measurable commitments of our
ethical principles as described below. Through our commitment
to those principles, our integrity, and our professionalism
we serve our clients, our community, and our country. NAEBA
therefore sets forth the following Code of Ethics:
1: Fiduciary Responsibility
buyer's agent owes his principal a duty to act in a manner
that is trustworthy and which inspires confidence that the
agent will always act in the principal's best interest.
An exclusive buyer's agent shall represent the best interest
of the client and only the client while serving in the capacity
of agent for the client in any matter related to the purchase
of any real estate.
An exclusive buyer's agent shall not represent any client
where a conflict of interest exists.
An exclusive buyer's agent shall not knowingly direct a client
to any service which is less than what is in the best interest
of the client.
2: Duty of Accounting
exclusive buyer's agent shall provide a true account of money
and/or any other property entrusted to them, received by them,
or paid out on behalf of the principal whenever requested.
An exclusive buyer's agent shall be employed by a client as
evidenced by a written agreement which specifically states
the services to be provided, the service fee structure, the
method of payment for services, and the beginning and ending
date of the agreement.
An exclusive buyer's agent shall not accept any compensation
or gift resulting from expenditures made by or for their client
not specified in the representation agreement.
An exclusive buyer's agent shall account to his principal
by disclosing any referral income that might be received through
referring that client to a listing agent.
3: Duty of "Care" or Competence
exclusive buyer's agent shall act on behalf of a client with
diligence, professionalism, and reasonable technical knowledge.
An exclusive buyer's agent shall hold a valid real estate
license issued by the appropriate state governing agency.
An exclusive buyer's agent shall be accountable for his/her
actions and should therefore document all substantive events
which occur during the agency relationship.
An exclusive buyer's agent shall assist in negotiating price
and terms as directed by the principal.
An exclusive buyer's agent shall be responsible for researching
a targeted property and its surroundings whenever possible
to discover all material information.
An exclusive buyer's agent shall disclose to other agents
or unlicensed individuals upon first contact that he/she is
acting as the buyer's agent.
An exclusive buyer's agent shall not undertake specialized
services for which they are not qualified.
4: Duty of Loyalty
exclusive buyer's agent shall remain loyal to their principal
throughout any real estate purchase and will not reduce the
level of that loyalty through "informed consent".
An exclusive buyer's agent shall be loyal, never doing anything
which might jeopardize the client's bargaining position or
An exclusive buyer's agent shall keep all sensitive information
concerning his/her client confidential unless authorized by
client or required by law.
An exclusive buyer's agent must relate everything material
he/she knows about the seller to the client.
5: Duty of Obedience
members acknowledge and accept the agency responsibility to
obey all reasonable, lawful instructions of their principal
in regard to the manner of performing the real estate services
contracted. While agreeing to follow the principal's instructions,
it is also the member's responsibility to counsel and advise
their principal where the principal's action may be unwise
based upon the member's real estate experience and professional
An exclusive buyer's agent shall obey all lawful instructions
of the client.
An exclusive buyer's agent shall obey all State laws and regulations
in the jurisdictions in which they do business.
(National Association of Exclusive Buyer Agents) Standards
NAEBA members adhere to the highest legal and ethical
standards of practice.
learn what you can expect from a NAEBA member when he or she
represents you in your real estate transaction, please read
OF PRACTICE: PREAMBLE
The National Association of Exclusive Buyer Agents is an independent
alliance of real estate professionals who provide client-level
services and whose real estate companies do not accept seller-property
listings. We, the members of this Association, set forth the
following principles as the minimum professional standards
which will guide us in serving our Buyer-Clients. An Exclusive
Buyer Agency relationship requires that we operate according
to these fundamental commitments. The essence of Exclusive
Buyer Agency practice is undivided loyalty to our Buyer-Clients.
We recognize that it is our duty as real estate professionals
to serve our clients with fidelity to these Standards of Practice.
We also pledge to adhere to the Code of Ethics established
by this Association.
SERVICES PROVIDED IN THE INITIAL COUNSELING INTERVIEW PHASE
Standard A(1): A Buyer Agent will disclose that he/she is
a Buyer Agent and define his/her agency relationship to a
prospective Buyer-Client. A Buyer Agent will explain how different
agency relationships may affect the level and type of service
a Buyer-Client may receive from a real estate agent.
A(2): Before entering into an agreement with a Buyer-Client,
a Buyer Agent will determine if any conflict of interest may
exist on his/her own part or that of a Buyer-Client. If a
conflict should occur, a Buyer Agent should be precluded from
representing a Buyer-Client, who should have the option of
seeking representation elsewhere.
A(3): A Buyer Agent will provide a copy of these professional
Standards and answer any questions a Buyer-Client may have
A(4): A Buyer Agent will enter into a written Agency Agreement
with his/her Buyer-Client. The agreement will include beginning
and ending dates, the service fee structure and payment method,
and the responsibilities of both parties.
A(5): A Buyer Agent will make him/herself available to his/her
Buyer-Client in a timely manner.
A(6): A Buyer Agent will pledge absolute confidentiality to
a Buyer-Client when representing him/her, thereby protecting
that Buyer-Client's ability to negotiate all aspects of the
A(7): A Buyer Agent will counsel a Buyer-Client regarding
his/her financial qualifications and will assist that Buyer-Client
in seeking and working with mortgage lenders. A Buyer Agent
will not steer his/her Buyer-Client to any one lender but
instead will assist him/her in evaluating interest rates and
SERVICES PROVIDED IN THE GENERAL PROPERTY SEARCH PHASE
Standard B(1): A Buyer Agent will discuss objectives and preferences
in property styles, age, floor plans, and so forth with a
Buyer-Client, then develop from this information a target
property profile for him/her.
B(2): Based upon the target property profile, a Buyer Agent
and his/her Buyer-Client will determine the appropriate level
of property preview services to be provided.
B(3): With a Buyer-Client's target property profile in mind,
a Buyer Agent will search the real estate market, including
properties for sale by owners and builders, to locate properties
to show that Buyer-Client.
SERVICES PROVIDED IN THE PROPERTY SELECTION - CONTRACT OFFER
Standard C(1): A Buyer Agent will discuss and evaluate the
properties viewed with his/her Buyer-Client, comparing each
property shown with the target property profile.
C(2): Before preparing an offer to purchase, a Buyer Agent
will inform a Buyer-Client about any defects or problems he/she
has observed or in any way discovered regarding the target
C(3): Before preparing a contract offer on behalf of his/her
Buyer-Client, a Buyer Agent will prepare a comparative market
analysis, including explanations and documentation, to determine
the target property's market value. A Buyer Agent will not
prepare an offer to purchase a property he/she has not seen.
C(4): Before a Buyer-Client signs an offer to purchase, a
Buyer Agent will provide that Buyer-Client with an estimate
of closing costs and, whenever possible, with the truth-in-lending
estimate provided by the mortgage company.
C(5): A Buyer Agent will counsel his/her Buyer-Client and
explain the choices available in completing a real estate
contract. This real estate counseling is based upon a Buyer
Agent's experience in negotiation and real estate business
decisions and is not legal advice. Legal matters should be
identified and a Buyer-Client advised to seek legal counsel
C(6): Whenever possible, a Buyer Agent will prepare the contract
offer on a form which has been designed to protect a Buyer-Client's
interest. A Buyer Agent will provide proper disclosures regarding
agency representation and other matters as required by law.
C(7): A Buyer Agent will develop contract negotiation strategies
with his/her Buyer-Client, establishing pre-set limits on
key points of negotiation when that Buyer-Client wishes to
do so. A Buyer Agent will actively negotiate only on behalf
of his/her Buyer-Client.
C(8): Before submitting a contract offer to a Seller, a Buyer
Agent will counsel his/her Buyer-Client regarding the time
requirements specified in the contract and will encourage
that Buyer-Client to have professional inspectors inspect
the property if the contract is accepted.
SERVICES PROVIDED IN THE ESCROW - TO - CLOSING PHASE
D(1): A Buyer Agent will counsel a Buyer-Client regarding
the types of home inspectors, the suggested criteria for selecting
home inspectors, and the comparative costs of inspection services.
A Buyer-Client will select real estate inspectors. A Buyer
Agent will encourage his/her Buyer-Client to be present during
D(2): A Buyer Agent will notify a Seller or a Seller's Agent
in writing of inspectors' findings and of corrections/repairs
mandated by a Buyer-Client. A Buyer Agent will specify a Buyer-Client's
desire to proceed or cancel the purchase contract whenever
such notification is required.
D(3): A Buyer Agent will maintain contact with a Buyer-Client's
title company and mortgage company to make sure that his/her
Buyer-Client's interests are being protected.
D(4): A Buyer Agent will review a settlement statement with
his/her Buyer-Client at or before closing, if possible.
D(5): A Buyer Agent will accompany a Buyer-Client on a property
walk-through before closing.
D(6): A Buyer Agent will attend a closing with a Buyer-Client.
A Buyer Agent should be prepared to support his/her Buyer-Client's
position at closing.
D(7): A Buyer Agent will keep records of transactions for
a reasonable period of time and will provide this information
to a Buyer-Client on request.
Standards of Practice establish obligations that include all
those consistent with the "Common Law of Agency"
and are considered to be client-level, not customer-level,
services. These obligations are, in many instances, higher
than those mandated by law. If there is any case where the
law requires a greater obligation than these Standards of
Practice, then the requirements of the law must be followed.
It is the duty of each individual Exclusive Buyer Agent to
make himself or herself aware of the laws which may affect
him or her.