All About Real Estate Agents
Posted by admin | Posted in Real Estate | Posted on 12-06-2010
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Real Estate Agents…..
Who Are They…
Real estate agents are professionals instrumental in connecting the buyer with the seller.
Additionally, many real estate agents manage rentals wherein they introduce tenants to landlords and oversee the maintenance of the property on behalf of the landlords.
In most areas real estate agents are required to be highly educated, licensed and are regulated by a governing body.
Some real estate agents are also Realtors.
To use the title Realtor, a real estate agent must be a member of the National Association of Realtors which in addition to a number of other requirements, requires Realtors to adhere to a strict code of ethics and offers Realtors additional educational and designation opportunities.
Though not required by rule or law, it might be a wise decision to seek the services of a Realtor.
What Do They Do….
Real estate agents bring together two or more interested parties, perform those steps necessary to successfully conclude a transaction and charge a commission for their services.
For sales transactions, they charge commission to the seller while for rentals, commission is typically charged the landlord.
Real estate agents generally calculate their fee as a percentage of the selling price (in the case of a sale) and as part of the rent for rental units.
How Do They Do It…
People who want to sell or rent their property leave details of their property with the real estate agent.
Along with all property details the real estate agent will typically have keys to the house to facilitate showings.
The other interested party (i.e. the buyer/tenant), gets access to this information and to the property by contacting the real estate agent.
That’s how the real estate agent becomes a hub of information.
Contrary to some common misconceptions, real estate agents typically represent the seller or the buyer but rarely both.
Why Should I Use One…
First and foremost, to protect yourself. Real estate transactions are highly regulated, highly paper (document) intensive transactions.
The real estate agent possesses an in depth knowledge of the laws, rules, regulations, disclosures and documentation necessary to successfully complete the transaction to the satisfaction of the buyer, the seller and the law.
Because real estate agents are most familiar with local real estate market conditions, it is wise and makes sense to seek the advice of one to get an idea of the current trends and pricing for properties within that market.
A good real estate agent will know the prices (or price range) of various properties of different types and at various locations within the region.
Because of the real estate agent’s knowledge and expertise, property sellers often get a few thousand dollars more for their property.
Many home seekers, including seasoned real estate investors use the services of real estate agents to locate the best real estate bargains in the easiest and quickest manner.
Furthermore, the best agents analyze the wants and needs of a home buyer/tenant and provide valuable input as to the kinds of properties available to them within their budget. Therefore, a good real estate agent will not just present a list of available properties to the buyer/tenant but will actually discuss their needs and make suggestions.
The good real estate agent, working in this manner benefits in at least two ways…
First and most obviously, when the real estate agent is able to successfully complete the transaction the commission is earned and the real estate agent is paid…
and secondly, if they make the customer/client happy they earn a good reputation and often receive referrals (hence more business).
Worth Noting…
It is worth noting that there is a myth floating around that real estate agents only work on behalf of the seller, buyer beware.
This is not written in stone nor is it always the case. Real estate agents are, in most regions, highly regulated.
With few exceptions, real estate agents work either for the seller (as is the case with many listing agents) or for the buyer (as is the case for a buyer’s agent).
Additionally, some areas allow for dual agency where an agent can work for both the seller and the buyer or as a transaction broker where the agent represents the transaction itself and neither the seller nor buyer individually.
However, in the case of dual agency/transaction brokerage, note that rule, regulation (law) and ethics do not permit the agent to act in favor of either party while in detriment to the other.
If you are unsure of the relationship between you and your real estate agent, do not hesitate to ask.
Watch the video related to real estate agent
What should an agent do before listing your house? They should make multiple visits to the house and create a market analysis. Good agents will give tips on how to improve the marketability and enhance the house for sale. Real estate agents should discuss the location, condition and give other tips and recommendations. Watch this Expert Real Estate segment for more information on what real estate agents should do to prepare a house for sale.
Help answer the question about real estate agent
Does becoming a licensed real estate agent/broker before buying your home save you money?I am planning to buy a home around $700K in New York City. I'm wondering if I will save any money by becoming a licensed real estate agent/broker (I realize I have to take the test and pass) and then purchasing the home for myself. I would think that by doing this, I would save the broker commission that I would otherwise be paying another real estate agent/broker. Is this a valid assumption? Please provide any information about this. Thanks a lot.
Hate is a strong word.
But I learned that the agents were more interested in selling whatever they had on hand, rather than listening to us.
I don't mean we expected Tara for cheap.
We knew what we could afford—so we needed a house at the time that didn't cost more than 85K…(yes, a long time ago) That figure had to include the taxes etc. Further, we wanted to use our state's first time buyer program, which allowed a much lower down payment.
I spoke to three realtors—and finally gave up.
One was unable to show us a single property under 125K.
(I found eight on the MLA…they existed,..she just didn't want to share commission.)
Another turned me over to her mortgage broker, who tried to explain that I didn't want the state program, which offered lower interest than most banks at the time.
I quote" Gee, over the long term, that extra three percent interest is what…70 bucks a month? Chump change!"
When I suggested that since in the grand scheme he was suggesting that 8 percent interest was the SAME as 11 percent, he wouldn't mind paying the "chump change" out of his own pocket. That ended that chat.
I know that realtors are people—but I never forgot that they were motivated to sell me the largest possible property, even if I couldn't afford it…it upped their pay day.
And THAT has been the way for the last 20 years.
Some agents are really good at working listings and letting the seller know what needs to be done to get the home on the market properly. Others agents are not that skilled at letting the Owner know the facts. However, it is up to the seller to do most of the real work of getting the home ready to list.
To sell your home, you need to have it priced right period! If it's in dire need of repair, the price tag will need to be consistent with the condition of the property (obviously a good discount of what a repaired property would fetch). If that is the problem, some agents just don't know how to handle a property with cosmetic or structural flaws. They may just be looking for the peachy listings. I know that you didn't mention your home needing tons of work, but I just wanted to point out that fixers sell too if priced right.
If you have an unrealistic price that you are expecting for a home, it is a big turn off for a Realtor. They are looking to find a buyer who is willing to pay a reasonable amount for the home (near market value). Pricing the home too high out of the gate will limit the traffic to your home. Some sellers are just way off base on what they expect to receive on the sale. Realtors are not miracle workers, and just because it was worth $300K last year doesn't mean that a buyer is willing to pay that today!
The last thing that needs to be mentioned is that your attitude in dealing with the agent has everything to do with whether they are interested in working with you. I would try again and ask the agents that you interview to be perfectly candid with you about what needs to be done to sell the house.
I am a firm believer in this system: de-clutter it, fix it, stage it, time it, properly price it, market and show it and SELL it. Get all of these completed properly and it will sell, even in this market…And remember, even if you sell for less than you want, you should be able to buy for less too. If your attitude fits within these lines of thought, you should have Realtors knocking down your door to do business with you.
Different builders have different policies. Check with each one and don't assume they are all the same. You may also be able to work out a deal that is different from their normal policy. Check also into their restrictions on doing your own advertising to drive customers to you instead of your coworkers if there is a commission or bonus structure. I'd be interested in hearing what you learn and where your learn it.
Good luck!
If you signed an agreement that said she represents you or that you agree to not have representation throughout this process than you probably can't hire anyone. Take a copy of your agreement to a reputable real estate office like Long and Foster and read over it with some one. They will explain the representation options, or lack of options to you.
For future reference… the sellers agent is hired to do everything for the benefit of the seller. In fact helping you would put her in breach of her fiduciary responsibilities to her client. You got a bad deal in that area. Take your agreement and have it looked at as soon as possible….
Next time hire your own agent (a buyers agent) who's job it will be to protect you from exactly this kind of situation.
Good Luck
PS– missmis is right look for the part of your agreement that talks about agency disclosure. You may have agreed to dual agency– and call her broker…yes!
being into real estate myself, I really thought this was funny, great job
Lol
Ok. go to Realtor.com and hit find a realtor, then search by city and state . This would give you the information of all the Realtors withing that search criteria. Hope that help!
what's the lowest price they'll take?
First off, are you licensed to "Stop foreclosures?" If so, how.
Realtors are worried about getting sued every day, and if someone is preying on people whose homes are going into foreclosure, the Realtor will usually get sued at some point, and that's what we're all afraid of.
How can you guarantee that there's that much equity in these properties? Are you buying them from these people who are getting foreclosed? If so, how come they didn't list it first to try to sell it? If they did, and it didn't sell, maybe there is no equity there.
These are questions that not only do Realtors ask, but so does the general public.
not Donaldson, but Ronaldson. I like my name too :p
Will you tell me what it is? I like the name.
afraid not fungirl
If there is a First Horizon home Loans office in your area callthem. They ffer a high LTV rehab loan.
what is your email and I will tell you my name.
The concept is good and their is certainly a need for this type of thing however the supra keys have to be administerd by the local Realtor Association. I also agree that a good live chat room would be great for us Realtors to Network. The best thing I think you can provide for Realtors is something that is useful that does not cost, we have so many out of pocket expenses and not very many useful tools that really work. Best of luck!
Jacksonville, Florida
Realtor
@fungirl1950 O RLLY?
Love you too. ♥