How to Hire a Buyer's Agent in NYC

Hiring a buyer’s agent in NYC is crucial for navigating the city’s complex and competitive real estate market. The city offers a variety of home types to choose from, each with nuances that make the home-buying process different. 

An experienced buyer’s agent not only brings local knowledge to help you find the right property, they offer valuable insights, stellar negotiation skills on your behalf, professional connections that will be important to have throughout the purchase process, and much-needed support during what can be an exciting but stressful time. You can rest assured knowing that a buyer’s agent is committed to fulfilling your needs and will equip you with all the tools you need to buy a home in New York City. 

What is a buyer’s agent?

Whether you’re buying a starter condo in Crown Heights or your forever co-op on the Upper West Side, buying a home in NYC can be a challenging process. Fortunately, a buyer’s agent can make the process a little less overwhelming. Their job as a licensed, professional real estate agent is to work on behalf of the home buyer that they are representing (a.k.a., you!). They officially represent the buyer in all aspects of their home purchase and have a fiduciary duty only to you that includes full disclosure, confidentiality, and utmost loyalty. 

How does a buyer’s agent differ from a seller’s agent?

A buyer’s agent represents the home buyer in a transaction, while a seller’s agent, commonly referred to as a listing agent, represents the seller. Both buyer’s agents and seller’s agents are licensed professionals who have a legal obligation to represent their client’s best interests.

Can one real estate agent represent both the buyer and seller?

When the same agent represents both the buyer and the seller in the same transaction, it’s called “dual agency.” Dual agency could present a conflict of interest. It would be comparable to a lawyer representing both the plaintiff and the defendant in the same case — that lawyer couldn’t reasonably advocate for both sides fairly and to the fullest extent. 

While it is legal in NYC for one real estate agent to represent both the buyer and the seller, StreetEasy believes buyers and sellers deserve to work with an agent who is committed to their best interests and only represents them. Don’t just take it from us: the New York Department of State has issued a memo warning consumers to be wary of dual agency.

Neither a buyer nor a seller should ever find themselves in a dual-agency real estate situation without prior consent. New York state law requires the agent to get both the buyer and seller’s full written consent via a disclosure form. 

Why hire a buyer’s real estate agent?

Buyer’s agents can help you navigate the entire home-buying process, from your initial search through closing. They can also help you with the nuances of NYC’s real estate market, particularly with the different housing types. Here’s a few other reasons why you should consider hiring a buyer’s agent:

Support and advocacy: Buyer’s agents have a strong grasp on the local market and in NYC, no one keeps a pulse on the market like real estate agents do. A buyer’s agent will be your guiding light in understanding the latest market trends and data both nationally and on hyperlocal levels — down to the neighborhood and building you’re interested in — and what it means for you as a buyer. They’ll also be able to make key recommendations for potential compromises, which can be especially useful if you have a very specific list of priorities.

Skilled negotiations: Your agent will help you determine a fair market value for a home before you make an offer and give their expert input on a strategic offer based on market conditions. Then, they’ll negotiate with the seller’s agent on your behalf, helping you come to an agreement on price and terms. A buyer’s agent can negotiate beyond the purchase price and help you with other factors such as the timeline, financing, closing costs, and other components of the transaction. They’re also handy for educating you on clever ways to save money, like tax abatements and concessions.

Experience: Buying a home in NYC is unlike buying anywhere else. The city’s one-of-a-kind real estate landscape is full of nuances: co-op, condo, townhouse, mansion tax, pre-war, classic six, and more. A great buyer’s agent will have knowledge and experience in the types of homes you’re searching for, and may have local expertise in the neighborhood or building. They will be your trusted advisor who can give you honest advice that could save you money, time, and stress.

Professional recommendations: An experienced agent can recommend other professionals like lenders, real estate attorneys, and home inspectors that will be handy in the home-buying process. If your agent and these professionals have a strong working relationship, they can often work together to streamline processes and keep the transaction moving forward with ease.

Expert guidance: From submitting an offer to managing contingencies, completing closing documents, and reviewing co-op board packages (when applicable), buying a home means juggling a lot of complex forms and managing timelines. Your buyer’s agent will help gather documents, explain your rights and obligations under the contract terms, ensure nothing is missing, and walk you through everything that needs to be signed.

How much does hiring a buyer’s real estate agent cost?

If a buyer’s agent successfully helps you purchase a home, they typically receive a commission — often a percentage of the home’s final sale price — that is paid to them at closing. The commission amount, and who pays it, is negotiated between the buyer, seller, and their respective agents. Sellers may offer to pay the buyer’s agent commission, but in other cases, the buyer may be responsible for it. Whatever the arrangement, know that commissions are always negotiable.

When you decide to work with a buyer’s agent, you’ll typically sign a buyer agreement (sometimes called a buyer’s agency or buyer representation agreement), which will outline the terms of agent compensation, including how much your agent will be paid, how they’ll be paid, and what services you can expect in return. Before you sign an agreement, make sure you have an understanding of how commissions are paid, the scope of services provided, and the fees applicable to your transaction.

How to find and hire a buyer’s agent

One of the simplest ways to connect with a buyer’s agent is through our dedicated StreetEasy Concierge, who can connect you with the right agent for the job — ideally, one who represents only you and has relevant experience in the neighborhood, building, or type of home you’re looking for.

1. Connect with a local agent on StreetEasy

Start by reaching out to the StreetEasy Concierge to tell us about your home search. Our Concierge will then connect you to a StreetEasy Expert buyer’s agent whose experience matches your needs, so you can buy with confidence. Additionally, you can contact an agent directly on a listing on StreetEasy to set up an in-person home tour.

2. Check your compatibility

Talk to the agent you’re working with to make sure it’s a good fit for you to work together. Here are some important questions you can ask:

• How many buyers in this neighborhood, building, or home type have you represented in the past three years?
• How quickly do you respond to client requests? What are your working hours?
• Do you work independently or as part of a team?
• How would your past buyer clients describe your working style?
• Can you walk me through what the process might look like when working with you?

3. Sign an agreement

StreetEasy believes a buyer should be able to interview an agent before they decide to work with them long-term, which is where a touring agreement can come in. A touring agreement, or limited services agreement, may be used to specify that you and the agent will work together for a very specific purpose and brief period of time — such as a home tour. This gives you the important opportunity to get to know an agent before you commit to a longer-term agreement. 

Once a buyer decides to work with a particular agent more formally, it’s expected that one or both parties — typically, the agent — will initiate a conversation about working together long-term, and what exactly that means. They will then need to sign a buyer agreement (or buyer’s representation agreement) before moving forward in the process.

As mentioned above, a buyer agreement is a contract between a buyer and a real estate agent that formalizes the relationship and outlines the terms of the agent’s representation, including their duties, the scope of their services, and the compensation structure.

Buyer agreements are often exclusive, which means you’re agreeing not to hire another agent to represent you while you shop for a home. However, non-exclusive buyer’s representation agreements do exist and make sense for certain buyers in specific contexts. For example, if you’re searching for homes in two different cities, you may need to work with more than one agent to find the perfect home for you. In this case, you and your agents would sign non-exclusive agreements, legally allowing you to work with more than one agent.

What to look for in a buyer’s agent

Since you’ll be working with your agent for months on one of the biggest purchases of your life, it’s important that you partner with someone who matches your communication style and work ethic. In addition to a good personality match, here are some other attributes you should look for in a real estate agent:

Local expertise

With so many quirks in NYC’s home-buying process, you’ll want someone that can walk you through it all with ease and confidence. This is especially true if you’re buying a co-op, which  makes up a significant portion of NYC’s housing market and has a uniquely rigorous purchase process. 

Look for an agent who is experienced in the specific neighborhood and home type you’re interested in buying and lay out all your needs and expectations early on.

Excellent communication skills

It is pertinent that your agent is a skilled communicator both with you and with other key parties involved in a real estate transaction, so they can successfully communicate your offer and negotiate contingencies with the seller’s agent. In NYC’s fast-paced market, the last thing you need is an agent that’s slow to respond to your requests or inquiries, as this could cost you your dream home, so be sure to ask them their typical lead time for responses and their overall availability and work schedule.

Reputation

An experienced buyer’s agent will have a track record that highlights their qualifications so pay attention to their history of successful transactions, especially in the price range and type of property you’re interested in.

If you choose to go with a newer agent, ask whether they have completed closings already, and whether they’re being guided by a more experienced agent. 

Have more questions? Visit our resource hub

For more information on working with a buyer’s agent and what to expect throughout the home-buying process, visit our Working with a Buyer’s Agent: Resource Hub for Buyers.