Many people consider customers and clients to be interchangeable. For some businesses that may be accurate, but for the real estate industry there are very clear differences between a customer and a client. If you are purchasing a home you want to know the difference so you do not become the person who was over promised and under delivered.
Nine Distinctions That You Must Understand
There are nine clearly distinguishable differences between a customer and client when it comes to your real estate needs. You are entitled to certain protections when you purchase a home. Make sure you maximize your protection through understanding why it is best to be a Realtor’s client; not customer.
1. Customers have no agency relationship, but clients do. Agency relationship is important to you because it makes the difference between a Realtor working for you or just working for their commission.
2. When you are a customer the loyalty lies with the seller (who will be paying the Realtor). Entering into a contract to be a client ensures you that your Realtor will be paying full attention to your needs.
3. Customers do not receive the benefits of protected confidential information. Clients receive the benefit of their information remaining confidential and not being shared with the seller; yet they can find out detailed seller information to help in their decision making process.
4. Customer focus goes towards the sellers of the property and ensuring a sale. When you are a client your Realtor will focus on choices that satisfy your needs.
5. Customers receive material facts on property transactions and clients receive those same material facts; plus professional advice from their dedicated Realtor.
6. Customers will get sales price information that supports what the seller is asking for their property. Clients will receive price counseling based on comparable sales and professional insights.
7. If you are a customer the seller is the only person protected in a transaction. As a client you are protected and receive guidance that helps you make wise choices in regards to your purchasing decisions.
8. Customers receive negotiation that is done on behalf of the seller’s best interests. Clients have the advantage of their own representation to negotiate effectively on their behalf with their best interests in mind.
9. Customers receive problem solving negotiations that are geared towards the advantage of the seller. Clients receive focused attention on problems that will optimize their outcome for a buyer favorable solution.
There is clear difference between what a person receives in service for their real estate transaction if they go into it as a customer, compared to a client. Clients are represented by a Realtor who has fiduciary responsibility to them. This is a particularly important point for buyers because they should be represented by a professional that is working exclusively for them. These professionals are called Buyer’s Agent and their entire focus is on creating a favorable experience for the buyer. Don’t settle for being a customer when you experience the best by being a client.