Given that the agent earns his commission only upon successful completion of a sale, that expectation is not realistic.
The interaction between the buyer and agent is colored by at least three factors:
(1) The buyer and the agent comes into the picture from opposite angles. The buyer wants the best deal for himself. The agent wants his commission. But the buyer will not buy unless he is convinced of the agent’s competence and sincerity. Thus the agent will give this assurance, must give this assurance so that it will lead to a sale.
(2) Different agents have different ethical standards. Agent A gives the buyer what he needs. Agent B gives the buyer what is best. Agent C seek to balance his commission with the buyer’s interest.
(3) The character of the agents. Agent A may be a very subjective person yet prides himself to be a good judge of other people’s character. Agent B is much more objective. The quality of advice will differ.
Thus the eternal adage: caveat emptor – let the buyer beware.
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Perhaps the continual tension between the buyer and the agent can be illustrated by these examples:
(i) The agent may say: “I have more than 14 years of banking experience”. This is intended to assure the buyer that he is trustworthy and capable. It is also factual. But you might like to ask why the emphasis is on banking experience and not on housing mortgage experience.
(ii) The agent may say “My 14 years of banking experience is far better than those bank loan officers with only 1 to 3 years of experience”. This immediately creates an impression that the 14 years are based on consumer lending. You might like to clarify this.
(iii) The agent may say “I am a CFP therefore I am qualified to advise on investments”. This is a factual statement. But it is a different statement from “I am a CFP therefore I am licensed to advise on investment”. For your own safety ask him to show you his license from the governing Monetary Authority. Without the license or an official exemption of the license, it is illegal to advise on investments.
(iv) The agent advise on land banking and wine buying. These are not regulated by the governing Monetary Authority. For your own safety, ask to see the license and why he is recommending unregulated products. Ask why some established financial advisers do not recommend such products.
(v) The agent advise you not to pay off your housing loan in full and to use those cash to buy his financial products based on his expert recommendation.
(vi) The agent may use language to stir your feelings, ridicule and make you feel small if you do not take his advice.
These illustrations are meant to show that it is always good to ask clarifying questions. It may well be there are legitimate answers. To further protect yourself, compare across different sources (agents for themselves, for the banks, for the brokerages). This will enable you to arrive at a reasonably accurate opinion.
In conclusion, when you meet a salesman, you know you are being sold something. A salesman performs this useful function in our society. But our society is based on self-interest. Thus for your own safety, ask, ask and ask clarifying questions.