Real estate terminology can be quite confusing. Understanding the difference between a listing agent, selling agent, and seller’s agent is essential whether you’re in the market for a new home or trying to sell your current one. Each of these real estate professionals is licensed and can provide buyers and sellers with the expertise and resources they need. Keep reading for a summary of what these terms mean, as well as the differences between them.
A listing agent is also often referred to as a seller’s agent. This is the person who acts on behalf of home sellers in real estate dealings. They will assist you throughout the entire process of selling your home. Starting with pricing the home, a listing agent also guides sellers on staging the inside of their home and properly presenting the exterior. They will take care of everything involved with putting the home on the market and promoting it. When offers begin to come in, they will handle negotiations and ensure that transactions are managed in the seller’s best interest.
The term selling agent can be misleading. These agents are also often more commonly referred to as buyer’s agents. It’s their responsibility to represent the homebuyer during the entire process, from finding a house to closing the deal. It’s when both parties sign a contract that the term selling agent is more properly used. The reason for the change from buyer’s agent to selling agent is due to the fact that the agent not only assisted the buyer in obtaining their home, they also aided in selling a home. The selling agent finds potential properties, gives home tours, and negotiates offers all on behalf of the buyer.
Understanding the Difference
The party being represented is the determining factor in whether a listing agent or a selling agent is needed. The listing agent works on behalf of the seller, and the selling agent is looking out for the interests of the buyer. Real estate agents in Central Florida can typically serve in either role. However, there are some who specialize in one or the other.
You may wonder how these agents get paid. Both the listing agent and the selling agent receive a commission of approximately 5% of the property’s sales price. Each receives an even share, and this commission is usually paid for by the seller. It’s possible that a real estate professional can act as a dual agent when it comes to homes for sale in Central Florida. In such cases, they represent both the buyer and the seller. Such agents must disclose this fact to both parties at the beginning of any partnership. This type of relationship may not be ideal due to the fact that you won’t have someone working exclusively in your best interests.
Keep this information in mind if you plan to enter the real estate market either as a buyer or seller. Having a clear understanding of terminology will help you to better navigate the process.