Top Mistakes Home Buyers Make

On the unprotected public front, I'm currently gathering more information and insight into the BUBBA behavior. For those that don't know, a BUBBA is a Buyer Unrepresented By a Buyer's Agent. These folks have the goal of getting a good deal on a home by trying to only work the deal through the listing agent, and they typically aim to avoid being represented by an agent themselves.

The logic goes like this:
1) If I cut a deal to the seller by
2) offering to save them 1/2 of the agent commissions, then I will get a cheaper price on the seller's home.

The logic is flawed because:
1) Most savvy listing agents have already offered to lower their commission rate in the event that they can represent both sides of a transaction.
2) This offer is part of what the seller and listing agent negotiate as part of an incentive to list with that agent.
3) There is most always a contract outlining the commission negotiation before the buyer ever arrives on the scene.

The conclusion is that a buyer's offer to "help the sale" by saving someone commission only ends up helping the listing agent and the seller. The buyer just shot themselves in the foot, and ends up being the 3rd priority of any "good deal" that might come around.

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