When it comes to picking or choosing a real estate agent regarding purchase, sale, or rent of a property, the first thing that comes into our mind is commission. Many of us want to skip getting a real estate agent just to save the commission amount. Typically agents tend to take one percent commission on the total amount, but they generally try to grab a bigger chunk like two or three percent or sometimes even more.
Assuming these numbers are accurate, is it wise enough to avoid real estate agents altogether and proceed with any transaction without him? The following points will illustrate more about it.
Selling a House without an Agent
Selling a house without a real estate is quite a challenging task. You might say that it is easier to put up the property on online property portals and get leads. Though, an agent is experienced enough to take care of your listing on various portals. This is the primary source for the majority of real estate agents who are seeking properties on behalf of clients. Hence, most of the agents show you properties that are listed on these property portals because they know that there will be another real estate agent for them to negotiate with, rather than having to deal with a non-professional or unknown seller. If you are not prepared to put your property on online portals, you do not need to because many houses are still sold through classified ads and newspapers.
Selling a house on your own can be quite tricky and daunting, and it needs energy and time because you will have to perform all tasks yourself that real estate agents would do on your behalf.
Difference between Sale Prices
One fact that would be interesting but is quite difficult to measure is the difference in the final sale price for a property sold by the owner and the same property sold by a real estate agent. Even though you think that real estate agents might charge high in the form of commission, but these professionals can serve an essential purpose. Real estate agents usually have a more realistic view of what a house is worth, and best agents are proficient at getting that price.
Real estate agents can also support you to save your time by showing you the houses that mostly match your interest at convenient times. Another most significant function of an agent is to assure that the contracts and the legal matters are accurate and in perfect order.
Selecting an Agent
All real estate agents are not equal. When you consider selling your house, the first thing is to ask your family and friends for referrals. Referrals from acquaintances tend to carry loads of weight and result in preferential treatment because a real estate agent will not want to lose a significant source of referrals.
Despite the drawbacks of relying on someone else for your property sale, a great agent is worth your money unless you have the time, education, and energy to sell your own property. Finding the right agent might be difficult, but if you pick through referrals and set your own terms, you would find that the commission you paid is actually money well spent.
Contracts can be Hard to Handle
If you decide to purchase or sell a house, the offer to buy a contract is there to protect you and assure you that you can back out of the deal if specific conditions are not met. For instance, if you plan to purchase a house with a mortgage, but you fail to make financing to be one of the conditions of the sale–and you are not approved for the mortgage you can lose your deposit on the house and could even be sued in the court by the seller for failing to fulfill your end of the contract.
A quite experienced real estate agent deals with the same contracts and conditions on a daily basis and is familiar with which conditions must be used, when they can reliably be eliminated and how to utilize the contract to protect you, whether you are purchasing or selling your house.