Is it illegal to work with multiple real estate agents at the same time?
Self proclaimed real estate investing ‘gurus’ push the strategy of enlisting the assistance of numerous real estate agents. However, a lot of Realtors continue to frown on the vary notion of working with other agents and scare those contemplating the idea.
Is it illegal to enlist the services of multiple real estate agents? If so, what are the penalties you can expect?
From a business point of view, it is understandable that real estate agents would try and lock-in those buying a home while simultaneously scaring them out of talking to other agents. However, It is not only legal, but beneficial to enlist the help of multiple real estate agents.
Any local agent who is a member of the board of Realtors has access to all MLS properties in the region and can show/sell them to you. Those dedicating time and effort to their clients’ cause, only to see them go through someone else and get paid nothing, is unsettling for any agent. However, that doesn’t mean you should limit yourself by signing a restrictive buyers’ representation agreement.
Loyalty is great and making sure all of those that you work with are fairly compensated is the right thing to do, but that doesn’t mean you should sell yourself short when it comes to buying a home. Having the luxury of multiple opinions will prepare you for what to expect during the process of buying a home.
Most home buyers will find that they simply can’t afford to limit themselves to working with one real estate agent. All will have different leads pertaining to off market homes and some will work harder to make you the first priority on new listings. Having several agents working for one goal may prove beneficial.
When it comes to real estate investing you definitely can’t rely on the efforts of one agent. Building relationships and gaining loyalty will provide you with a myriad of potential options. Have local experts hunt for potential properties in each region you are investing in. Have backups in case the prior agent falls out. Insist on working with those that, not only, bring you good property deals, but follow through on getting you the terms you demand.
There may occasionally be conflicts when two agents have both sent you the same property listing. Naturally, you should be inclined to direct your business towards the agent who sent it first.
