What's the difference between a client and a customer?

You know it's funny....there are so many "things" to consider about real estate. Lots of folks want to consider saving some money by "representing" themselves rather than paying a professional for service. I can't tell you how many people have called me on a listing of mine and said they were going to save some money and buy the house without an agent. There are a few things they don't understand:

1- my client, in this case the property owner, is benefiting from my professional services

2- all information the individual tells me can and will be used in the best interest of my client. Although I will not ask them direct questions about their situation, my silence often leads to them disclosing much more information than they should

3- the fees for selling the property have already been negotiated. Because the buyer agent fees are paid by the seller, the buyer is not really saving anything, and the advice they will get from a professional agent will more than outweigh the perceived "savings" from representing themselves. In many of my listings, there is a very small, if any, reduction in the cost to the seller if we're working with another agent who is receiving a commission or a buyer who is "representing themselves" in the transaction. Why? Well, that's a whole different post!

So here's the deal...clients (those who have entered into a written agreement for professional representation) receive great benefit. It is important to understand that a "fiduciary relationship" is only established with a representation agreement. If you don't have one, you're a customer. If you don't have one, there is nobody working in your best interest.

Check out this chart from the Real Estate Buyers Agent Council for a better understanding of a client vs. a customer:



Who do you know that needs professional representation right now? Please, put them in touch with us!