The thing about realtors is that there is a lot of apprehension regarding the profession itself. Most people are afraid that the real estate agent might try to sell them a house or piece of property that they don’t really want. The ones who are selling, on the other hand, are wary of the percentage which they will have to pay in commission to the agent.
Should you buy/sell with or without a realtor? To make that question easier to answer, let’s take a look at the following points.
Realtors are Professionals
As a professional, a realtor has training, knowledge, and experience on their side. Their training and job experience make them naturally more suited to buying, selling and handling real estate paperwork than the average Joe.
Local Realtors have Connections
Thanks to the internet, any of us can find a whole lot of listings on websites, but that is pretty much all that we can do while checking out potential properties. A local agent has the unique connections necessary to get access to all the background information about a certain property, which may not be mentioned in the listing. For example, if you are trying to buy property in or near Lake Minnetonka, a Lake Minnetonka realtor will likely be able to get you the best value for your money in the area.
As someone with little experience and hardly any professional connections in the field, it is unlikely that you will be able to match those prices on your own. Also, legal obligations make sure that the realtor will have to disclose all information that he/she has regarding the background of the place as well, making it an ideal situation for the buyer.
The Extra Cost
Firstly, if you are buying, you will likely not have to pay any fee to your realtor because he/she will collect it from the seller. Does it mean that you could buy something similar at a cheaper price if you contacted the seller directly? There’s definitely a possibility of that, but it’s also just as unlikely. There are two factors to be considered here and they are as follows.
- Most sellers have an unrealistic price in their minds and realtors often help them to come to terms with a price that’s reasonable.
- The chances of finding a seller with the right property, right price, and who has not hired a realtor are very rare, to say the least.
On the other hand, if you are trying to sell a property, as you can guess from the point above, most buyers will come to you with the expectation of buying it at a price that is lower than the market value. Chances are that you will likely be making a bigger profit, even after paying commission to an agent, than if you decided to sell directly to a buyer. This is not to say that it will always be the case. It’s perfectly possible that you could end up with a better deal than what the real estate agent can give you, and in such cases, we advise that you grab such a deal with both hands.
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