Why a Realtor is important
With so much information and help being offered online, most people wonder if a realtor is important. Most people (and maybe yourself) think that they can buy and sell land and other real estate properties online and save some money from paying for a real estate expert. Although it is possible, there are many uncertainties associated.
3 Open House Horror Stories
From Realtor.com, these are 3 horror stories when transacting without a realtor
- "A guy came in and disappeared for so long, I finally decided to check on him. I found him in the kitchen, rummaging around the cabinets. He mumbled something incomprehensible then bolted out the door. I also saw he'd opened every bathroom drawer and cabinet. That's when I realized he had no interest in my house but was searching for prescription medications—and sure enough, a bottle of painkillers for my husband's bad back was missing. I called a real estate agent I knew, and he told me this was a classic scam" – Dina Ochs, Wilsonville, OR
- "When trying to sell my home myself, I was approached by a 'creative investor' with an offer to lease my house for five years. The buy-out price he named was well above market, and I would have a cash flow of about $500 a month above my mortgage. Who wouldn’t take that deal? But what I didn't realize by not reading the fine print was that he was able to sublet the property—which he did. I wasn't prepared for that, and I didn't like the feeling that I'd lost all control of my home for five years with all my equity tied up in it. Luckily, there was a clause in our contract stating the deal was off if his first payment to me was late, and that happened, so I was able to back out. But I've since learned that 'creative investor' can be a code word for trouble!" – Jay Seier, Fort Collins, CO
- "My husband and I tried to buy a home that was For Sale by Owner but ran into problems with the commission. Typically home sellers pay the full commission to their listing agent, who then splits it with the buyer's agent. So by not using a listing agent, these sellers were already saving money. But these sellers were also unwilling to pay our own agent a commission, and expected us to pay it instead! This was an expense we weren't expecting, so we ended up walking away from the deal. I'm not sure if they ever sold their home." – Deborah D., Madison, CT
When buying a house or any other real estate properties, you need to invest a lot of money. It is a huge investment that you are about to make and for this reason, you need someone to help you in the process. Although you can be able to represent yourself during a house hunting process, going solo is not the wisest decision to make. In this brief article, we are going to discuss several reasons why a realtor is important in the entire process of buying or selling real estate properties.
What is a realtor?
A realtor is a highly qualified real estate professional who is a member of the National Association of Realtors. Although there’s a slight difference between a realtor and a real estate agent, they both perform the same tasks in the world of real estate.
Why a realtor is important
Here are some of the reasons why you should always consider working with a realtor when you are buying or selling real estate properties.
- They know a lot about the market
It’s their career, they must be certified and educated. As they are always in the market. Realtors know much about the real estate market more than you do. What this means is that they will always tell you the factors that affect the demand for real estate properties at different points in time. They will take these factors into consideration when helping you determine the market price for your property.
Additionally, realtors can disclose some market information that can be helpful along the way. You can use the information as guidance to selling your property. The reality of the matter is that there are several factors that determine how you will proceed. Do you even have data about the average per square costs, the bid rent, average days on the market or even ratios of list-to-sold prices? No! then get a realtor to disclose all this information.
The fact is that most of the people are able to sell and buy without a real estate expert but most of them fail to attract the best price or even to bid well for a real estate property.
- Alone, negotiating can be daunting
One rule that realtors perform in the market is to mediate between the buyer and the seller. What this means is that they take the rule of negotiating the price of the property taking into considerations all the factors best known to them. After they do this, the next step is to communicate the price that is fair to both the seller and the buyer.
If you think you can do this alone, you are lost. There’s nothing that can work worse than representing yourself for negotiations when you don’t know all the factors that are needed to determine the price. Overpriced and you will end up without any offers.
There are several things that the buyer or the seller should do to avoid offending each other. The realtor better knows all these and that’s why they should always be at the middle of your deal. They are there to prevent any type of hostility or bad blood that may arise during the negotiations.
- Realtors are experienced
Besides being professionals in the field of real estate, realtors are experienced people in the same field. They have handled different tasks relating to the same issue as yours and for this reason, they know how to handle different scenarios.
The reality of the matter is that you have never bought or sold a house again. For this reason, you need someone with the right experience to help you in pricing, negotiating and following all the legal processes to facilitate the process.
Most of the homeowners struggle too much to sell their homes simply because they don’t know what to do at different levels. Realtors are professionals; they know what should happen at different levels of the selling process and how to deal with different situations along the way.
- Knowledge of the neighborhood
Realtors have more reliable information about your desired neighborhood, especially if you wish to change your environment. They can always guide you on this and many more things. The good thing about them is that they can always provide you with useful information about comparable properties in the area. They can as well propose a neighborhood for you in case you have a hard time doing this.
A realtor can always guide you in choosing the perfect neighborhood based on the factors at hand. They will inform you about the area, local crime, and demographics.
There are a lot of paperwork and legal procedures involved in the process of buying real estate properties. This means that it is a very complex process that increases the chances of loss if something messes.
Realtors have lots of knowledge and experience and they know each step and how it should be carried on. They also know which documentation you need to facilitate the whole process and which one you need after making the purchase. What this means is that they are there to make the whole process flow smoothly.
- Realtors help you get exactly what you need
Although you have seen some people represent themselves and make it through the selling process, hiring a realtor is the wisest decision that you can ever take. Finding the perfect house that suits all your taste and preferences, something that you can never regret needs professional assistance. You need someone to narrow your options and help you in getting the perfect match for your budget.
Even with the above reasons, you can still consider buying or selling without any agents. Just be well prepared and spent lots of time finding your dream home or selling your old place! Since a home costs so much, make sure to cater enough time to buffer any delays or mishaps.