Buyer’s agent VS listing agent. Who is better to choose? 

Table of content:

• What’s the difference between a buyer’s agent and a listing agent?
• Can an agent serve as both listing and buyer’s agent?
• What are the benefits of having a listing agent?
• What are the disadvantages of being a listing agent compared to a buyer’s agent?
• Real Estate Leads for listing agents

When it comes to choosing a real estate agent, many people don’t know the difference between buyer’s agents and listing agents. In general, listing agents sell homes based on long-term planning and are better suited for investment properties, while buyer’s agents are those professionals who are more effective in selling a specific property in a short period of time. But such a brief description is clearly not enough to decide which specialist to contact, so we decided to write a more detailed article about the difference between listing agents and buyer’s agents, focusing on listing agents as a less popular type of specialist. 

This review is also suitable for beginner real estate agents who want to learn more about their career prospects. 

What’s the difference between a buyer’s agent and a listing agent? 

While both seller’s agents and listing agents work to sell the property on behalf of the seller, there are some distinctions between their roles: 

1. Scope of Responsibility 

• A listing agent focuses primarily on the initial stages of selling the property, including pricing, marketing, and presenting the home to potential buyers. 

• A seller’s agent oversees the entire transaction from start to finish, including negotiating offers, handling contractual obligations, and ensuring a smooth closing. 

2. Marketing vs. Transaction Management 

• The listing agent’s key task is marketing the property to the right audience, ensuring it attracts buyer interest. They work on building visibility for the property through listing platforms and other marketing strategies. 

• The seller’s agent deals more with the transaction side, including negotiating offers, handling legal documentation, and ensuring that the contract terms are favorable for the seller. 

3. Involvement in Negotiations 

• Seller’s agents are heavily involved in negotiations with buyers or their agents. They advise the seller on when to accept or counter offers and aim to secure the best deal. 

• While listing agents may negotiate, their primary focus is on generating interest in the property, and they may refer offers to a broader real estate team or seller’s agent for further negotiations. 

4. Staging and Presentation Focus 

• Listing agents often assist sellers with how to best present their property. They may recommend minor repairs, home staging, or curb appeal improvements to make the home more marketable. 

• Seller’s agents may not be as directly involved in the physical presentation of the property, focusing more on managing buyer relationships and guiding the seller through legalities.

Can an agent serve as both listing and buyer’s agent?

In many cases, a single agent may serve as both the listing agent and the seller’s agent, especially in smaller real estate markets or for individual agents managing the entire sale themselves. This dual role can provide consistency and allow the agent to manage both the marketing and transactional aspects of the sale. 

For example, in a small market, an agent may take the seller through every step of the process, from staging the home, setting the price, and marketing it, to negotiating offers and finalizing the deal. In larger real estate markets, the tasks may be split between a dedicated listing agent who specializes in marketing and a seller’s agent who handles the contractual and negotiation aspects. 

What are the benefits of having a listing agent? 

While the buyer’s agent’s role is more obvious, the listing agent’s job is worth talking about in more detail so that the property owner can more clearly understand when it is best to contact a listing agent. It is also important to consider this question from the point of view of the agents themselves, who are at the beginning of their careers and are choosing in which direction it is best for them to develop. 

1. More Control Over the Transaction Process 

As a listing agent, you typically have more control over the real estate transaction process. This includes managing key aspects such as setting the price, marketing the property, and negotiating offers. By having this control, listing agents can more efficiently manage timelines and ensure that the seller’s needs are met. They can plan open houses, coordinate with other agents, and schedule showings in a way that fits into their strategy for selling the property at the highest possible price. Buyers’ agents, on the other hand, are often at the mercy of the market, inventory levels, and buyers’ often-changing preferences, which can lead to unpredictable timelines and extended work periods. 

Example: A listing agent who is handling a popular property may have multiple offers coming in, allowing them to work with the seller to negotiate the best possible deal. They control the flow of communication, marketing efforts, and counteroffers, which allows them to guide the sale to a successful closing much more smoothly than a buyer’s agent who has to adjust to a client’s evolving preferences or financing limitations.

2. Potential for Higher and Consistent Earnings 

Listing agents generally have the opportunity for higher and more consistent earnings compared to buyer’s agents. Listings are often considered the cornerstone of a successful real estate career because once the property is on the market, a listing agent’s work becomes more streamlined and scalable. A single well-marketed listing can attract multiple potential buyers, each represented by different buyer’s agents. This means listing agents can work with several buyers’ agents on one property, enhancing their exposure and increasing the chances of closing a deal sooner. 

On the other hand, buyer’s agents often spend extensive time searching for properties that meet their client’s specific needs, which can be time-consuming and yield unpredictable results. A buyer may back out last minute, leading to wasted efforts, whereas listing agents secure the client upfront (the seller), and the process is more linear and predictable. 

Example: A listing agent handling three properties simultaneously can manage their time efficiently by focusing on marketing campaigns, client communication, and negotiations. This structure often leads to faster closings and more consistent income, as opposed to a buyer’s agent who may spend months searching for the perfect property only to see a deal fall through due to financing issues. 

3. Less Time Spent Showing Properties 

Listing agents typically spend less time physically showing properties than buyer’s agents. Once a listing agent secures a property for sale and prepares it for the market, their primary responsibilities revolve around marketing, hosting open houses, and communicating with potential buyers. The listing agent doesn’t need to spend time driving buyers around to multiple properties, often with little control over the eventual outcome. Buyer’s agents, on the other hand, frequently spend hours or even days showing homes, many of which might not lead to a sale if the buyer changes their mind or doesn’t secure financing. 

Example: A listing agent can host an open house or arrange multiple showings on the same day, efficiently managing their time. Meanwhile, a buyer’s agent might spend several days scheduling and attending multiple property viewings with a buyer who is indecisive or not ready to commit.

4. Greater Control Over Marketing Strategy 

Listing agents have the power to develop and execute a comprehensive marketing strategy for the property they are selling. They can decide how to showcase the home, which platforms to use for advertising, and which tactics will best attract qualified buyers. By controlling the narrative around the property, listing agents can target a specific audience and highlight the home’s unique selling points, ultimately positioning the property to achieve the best possible sale price. 

Buyer’s agents, however, have less control over the marketing side of things. They must rely on what is available on the market and what the listing agent is showcasing. Their ability to influence the sale is more limited, as they are working with a buyer’s budget and specific needs, and they don’t have the same creative control over how a property is marketed or presented. 

Example: A listing agent may choose to hire a professional photographer, create virtual tours, and launch a social media marketing campaign tailored to a luxury property, increasing its exposure and appeal. In contrast, a buyer’s agent is reliant on the available listings and their respective marketing efforts, with no control over how properties are presented to their client.

5. Increased Visibility and Client Acquisition

A successful listing agent often enjoys greater visibility in the marketplace, which can lead to more client acquisition opportunities. When a property is listed, the listing agent’s name and brand are associated with the property across multiple platforms, including MLS databases, real estate websites, and physical “For Sale” signs. This constant exposure helps listing agents attract potential sellers who want to work with an agent that has a proven track record of selling homes. Each listing acts as an advertisement for the agent’s services, expanding their reach and generating future business. 

Buyer’s agents, in contrast, often rely heavily on referrals, word-of-mouth, or lead generation services to find new clients, as they do not receive the same consistent visibility that a listing agent does from their properties being marketed across various channels. 

Example: A listing agent who successfully sells a high-profile home in Brisbane may attract other sellers in the neighborhood who are impressed with their marketing and negotiation skills. The visibility from one successful sale can generate several new listings, creating a snowball effect in their business. 

6. Higher Degree of Specialisation 

Listing agents often develop a higher degree of specialisation within a specific market segment, such as luxury properties, commercial real estate, or a particular neighborhood. This allows them to become experts in that area, offering sellers deeper insights into pricing strategies, market conditions, and how to attract the right buyers. By focusing on listings, agents can develop a niche and build a reputation as a go-to expert in that field, further increasing their ability to attract clients. 

Buyer’s agents, while knowledgeable, often have to be more flexible in their approach, dealing with a wide variety of properties and buyer requirements. This can make it harder to develop the same level of expertise in a specific segment of the market. 

Example: A listing agent who focuses exclusively on high-end beachfront properties in Queensland will have a deep understanding of what luxury buyers are looking for and how to market those homes effectively. This specialisation allows them to consistently deliver results for their sellers, reinforcing their reputation as an expert in that niche market.

7. Predictable Workload 

Listing agents often experience a more predictable workload compared to buyer’s agents. Once a listing is secured, the agent knows their tasks: marketing the property, hosting open houses, responding to buyer inquiries, and negotiating offers. These tasks are relatively structured and can be scheduled and managed efficiently. In contrast, buyer’s agents face a less predictable workload, as they need to react to new listings, schedule showings, and accommodate their clients’ changing needs, which can be time-consuming and erratic. 

Example: A listing agent may know that their week consists of running a marketing campaign and hosting a scheduled open house, while a buyer’s agent might have to arrange property viewings on short notice, depending on when suitable homes come on the market and their buyer’s availability. 

8. Opportunities for Repeat Business

Listing agents often have more opportunities for repeat business because they build long-term relationships with sellers, who may sell additional properties in the future or refer the agent to friends and family. Sellers who are satisfied with a listing agent’s performance are more likely to work with them again when they sell another home or investment property. Moreover, the visibility gained from listing and selling properties often leads to more inquiries from potential sellers looking to list their homes. 

Buyer’s agents may have fewer repeat business opportunities, as buyers typically only need their services once unless they’re real estate investors. Furthermore, buyers may become sellers in the future, but it’s not guaranteed that they will use the same agent. 

Example: A listing agent who successfully sells multiple homes for a real estate investor can create a lasting relationship, ensuring repeat business every time the investor wants to sell a new property. Additionally, satisfied sellers often refer their agent to others in their network, expanding the listing agent’s client base further.

What are the disadvantages of being a listing agent compared to a buyer’s agent? 

Despite all the advantages of a listing agent over a buyer’s agent, it is important to emphasize that depending on the situation, some of the advantages can also turn out to be disadvantages. So, we have also collected these disadvantages of being a listing agent in a small list below to show an alternative picture. 

1. Higher Upfront Costs 

• Marketing Expenses: One of the primary responsibilities of a listing agent is marketing the property, which can involve significant upfront costs. Professional photography, staging, digital marketing, advertising, and open houses all require an investment from the agent, sometimes before any commission is guaranteed. 

• Risk of No Return: If the property doesn’t sell, the listing agent may end up bearing the full cost of these marketing efforts, with no commission to compensate for the investment. 

2. Longer Waiting Period for Commission 

• Extended Sale Timeline: Selling a property, particularly in a slow market, can take months or even longer. Listing agents must wait for the property to sell, which can delay the receipt of their commission. In contrast, a buyer’s agent can close deals more quickly, especially in fast-moving markets, and receive their payment sooner. 

• Uncertainty of Sale: There is always a chance that the property won’t sell or that the seller might withdraw from the agreement, leaving the listing agent without any compensation for the time and effort invested.

3. Seller Expectations and Pressure 

• High Seller Demands: Sellers often have high expectations regarding the price, marketing strategy, and timeline for selling their property. Listing agents frequently have to manage these expectations, which can lead to stress if the property doesn’t sell as quickly or at the price the seller desires. 

• Pricing Disagreements: There can be disagreements between the listing agent and the seller about the listing price. If the property is priced too high, it may sit on the market for an extended period, reflecting poorly on the agent. Conversely, if it’s priced too low, the seller may feel they’re losing money, potentially blaming the agent. 

4. Market Fluctuations 

• Vulnerability to Market Conditions: Listing agents are heavily reliant on market conditions. If the housing market slows down or enters a downturn, properties take longer to sell, and listing agents may struggle to secure deals. This dependency on external market forces can be more challenging for listing agents than for sales agents, who can move quickly with motivated buyers, regardless of market conditions. 

• Price Reductions: When properties remain unsold, listing agents often have to convince sellers to reduce the asking price, which can be a difficult conversation and may lead to frustration or dissatisfaction from the seller.

5. Time-Intensive Work 

• Ongoing Efforts: Listing agents must constantly update their marketing strategies, run open houses, respond to buyer inquiries, and maintain the property’s online listings. These activities require continuous effort, and even then, there’s no guarantee that the property will sell. 

• Multiple Listings to Manage: Listing agents often juggle multiple properties at once, which can become overwhelming, especially when each seller demands attention and expects the best results. 

6. Limited Control Over the Outcome 

• Dependency on Buyers: Ultimately, the success of a listing agent hinges on finding the right buyer. Even with excellent marketing and pricing, the agent cannot force a sale. The decision to buy is entirely out of the agent’s control, and they must wait for the right offer to come along. 

• Negotiation Challenges: Listing agents have to balance the needs of the seller with market realities. They may face pressure to push through lower offers, which could cause friction between the agent and the seller.

Real Estate Leads for listing agents 

While working with the property market, listing agents may need real estate lists & phone listings and we specialize in such services. You can test our Real Estate Listing Service right now and download a free report to decide how effective our sales assistance can be for your needs.