FAQ about buyer agency
We at Coté Acheteur answer your most frequently asked questions about real estate in general and, more specifically, our profession of Buyer Agent !
In order to guide you, we have grouped the FAQs into four categories:
- -about buyer agency – questions 1-4
- -buyer agency fees – questions 5-8
- -the search contract – questions 9 & 10
- -buyer agent services – questions 11-14
If you cannot find the answer to your question, or if you would like more information, please don’t hesitate to contact us. We are available to you.
What is a buyer agent ? First and foremost a buyer agent is a real estate agent representing the buyer. His/her essential role is to represent the buyer in prospecting, visiting, selecting and negotiating pricing of properties. A buyer agent is a professional, expert in local real estate, who is there to support and advise future buyers during every step of the buying process right up to the closing.
What is the difference between a real estate agent and a buyer agent ?
A real estate agent represents the interests of the seller. His/her role is to sell property under the best possible conditions. Essentially, they find buyers for their listings. A buyer agent represents the interests of the buyer. His/her job is to find property that best fits the needs of each buyer.. He/she works with the buyer as a team member.
Is there an Association of Buyer agents in France ?
Yes, the FFCI. www.federation-chasseurs-immobiliers.com. This Association’s goal is to promote and defend the buyer agency as well as to represent buyer agents before federal authorities. It oversees the profession to ensure quality in searches with respect to the Hoguet law which regulates the real estate profession.
Are buyer agents regulated ? Yes. The loi 70-9 du 2 janvier 1970 (law # 70-9, 2 January 1970), called the Hoguet law, regulates the real estate profession and, as such, that of buyer agency. This law regulates licensing (called a T-card). A real estate agent must be bonded and insured, cannot act without a sales/search agreement and cannot accept payment in any form until after closing or removal of suspensive clauses.
Must I pay any upfront costs ?
No! It is absolutely forbidden, under penalty of imprisonment and heavy fine, to bill for any upfront costs including reporting fees, search fees, or any other fees, until the final closing. The buyer agent is remunerated after the final closing as are all real estate agents. Côté Acheteur agents respect this restriction and never accept any payment until the sale is final.
How much do your services cost
Cote Acheteur is only compensated after the closing of your property. If we don’t find you a property during our search, you owe nothing! Our fees are calculated based on the final sale price of the property and the origin of the sale. With the sale of a property by owner, fees are equal to or slightly lower than those of local real estate agents. With the sale of a property offered by a real estate agent, there are two possibilities: either we split the agent’s fees, in which case there is no additional cost to the COTE ACHETEUR client, or the selling agent negotiates his/her fees and COTE ACHETEUR adds its own modest service charge. The quality of COTE ACHETEUR negotiators often results in substantial savings which balance out any possible fees and the substantial savings in time and money involved in property visits more than compensates.
Are there cases where I could be charged twice ?
In our experience, 2 out of 3 sales are negotiated directly with individual owners. In these cases, only the COTE ACHETEUR fees are charged. If the property is offered by a real estate agent, there are two possibilities: either we split the agent’s fees and there is no additional charge to our client, or COTE ACHETEUR charges a modest service charge.
Is it more expensive to use a buyer agent ?
NO ! 2 out of 3 times, the fees are equal or inferior to those of a listing agent. In addition, thanks to the abilities of the COTE ACHETEUR buyer agents with both negotiation and property searches, your overall savings often compensates for any commissions we earn. Must I sign an exclusive buyer agency agreement? Yes! A written agreement is mandatory by law (the law of 2 January, 1970).
Why do you require exclusivity ?
COTE ACHETEUR searches for properties for buyers who don’t have the time or who are not in the area and can’t do a property search themselves. We prefer to reserve our services for those clients who are serious buyers. In focusing our energies on those buyers with a real need for personalized service, we can conduct a full search and avoid visiting properties that have already been visited and save time. Additionally, COTE ACHETEUR never invoices unless a property closes successfully.
Can you help negotiate the selling price ?
Yes. This is an important part of our service. Thanks to the experienced buyer agents at COTE ACHETEUR, the negotiation of the selling price allows you, the buyer, to acquire a property at a fair market price. Our role is to advise you in your best interest. The price estimate is based on our complete, up to the minute knowledge of the local market. It is, however, you who make the decisions based on your budget.
Can you help with the resale of my property ? Yes. In the spirit of full service to our buyers, we can handle the resale of the property as it is an integral part of buying property. We have, in the past, partnered with professionals from amongst our 1000 associates in Paris. We can, at your request, sell your property directly without using one of our partners. In all cases, we are always your point of contact and always take part in the negotiation of the selling price and the closing dates. We are, first and foremost, real estate agents and meeting the needs of those clients who not only don’t have time to research property, but also don’t have the time to sell it.
Will you continue to help after the sales contract is signed ?
Yes. Our mission is not only to help you with your selection, but also to assist and advise you through all of the legal formalities from the sales contract through the final closing. We can also help with choosing financing and home improvements if needed.
How much are notary fees ?
Notary fees are transfer of ownership fees. They usually run around 6.5-7% of the selling price. They may vary depending on if you take a mortgage loan or put down earnest money. The notary fees normally represent les than 1% of the total sale.
