The Barry and Larry Vestera Real Estate Program Radio show 8:00-9:00 AM | February 19,…
A lot of people wonder what a real estate agent does for the commission they receive at closing. Are they really helpful? Do they sit around all day waiting for a phone call? Do they really do anything special for their buyer and seller clients?
Picking the right agent to work with whom you know is working hard to represent you really depends on whether you are buying or selling. A buyer’s agent needs to be able to find and negotiate properties that meet their client’s preferences, and a seller’s agent needs to have expert skills at marketing properties. Negotiating skills are important for both.
Another consideration is whether you are going to be buying a home and selling one at the same time. These are two different but related processes. The best buyer’s and seller’s agents care about their client’s interests!
Let’s take a closer look at what real estate agents do for buyers and for sellers to understand why it is worth hiring the right agent.
For BUYERS: The best buyer’s agents are able to offer agent-level, fiduciary services.
Real estate is regulated by each state. Therefore it makes sense to look up (your state) and Real Estate commission. Exclusive buyer agent offices are always fiduciaries because the entire company is dedicated to only the buying side.
Teams with 100% buyers agents (within a company with listings) also have certain guidelines they must follow in order to help ensure loyalty to their clients. Some companies choose to have only transaction brokers in their offices — those who facilitate the transaction but are not in a fiduciary loyalty capacity to either side.
1. Help you get pre-approved for a mortgage.
An outstanding real estate agent will have a huge network of inspectors, lenders, and other professionals in the real estate industry that they can connect you with. Buyers need to understand there is a huge difference between being pre-approved vs. pre-qualified.
What is the difference between pre-approval and pre-qualification? — Pre-qualifying is just the first step. It gives you an idea of how large a loan you’ll likely qualify for. Pre-approval is the second step, a conditional commitment to actually grant you the mortgage.
2. A Buyer’s Agent will help you find the right home for your needs. Seller’s agents help you get the Highest and Best offers for your property.
An outstanding buyers agent can assist you to save time and energy by asking you targeted questions to help you define precisely what you want. They need to keep listening as that can change over time! They can help you focus on the right place, neighborhood, home type, and more. It will still take time and energy to look for the right property, but the actual showing of a home is only one of the tasks of a real estate agent.
Here’s a 1-minute video on the 5 most critical decisions to make as you start off your journey to buying a home.
3. Negotiate an offer.
When you’ve already found a home that you want, one that you really like, it is time to make an offer. Making an offer too low isn’t smart because it will surely be ignored and possibly be completely ignored by the seller. On the other hand, you don’t want to offer too much, though, because no one wants to spend more than they have to. Both sides of the negotiation will have expert Comparative Market Analyses done for their clients, so they have a good idea of the market value.
4. Help you select a home inspector.
Your agent will know the best home inspectors in your area and can connect you with them. You need to have the home inspected before you purchase it to avoid a money pit.
5. Attend a home inspection.
Excellent agents who are truly interested in representing their clients to the fullest will often attend the home inspection to make sure everything goes well. In the least, they will help you go through the report. They will be there to help you understand the results of the inspection and the next steps in the negotiation process.
6. Negotiate any home inspection repair requests.
Issues that you find through the home inspection may be ones that you need your agent to discuss with the seller’s agent. Your real estate agent can tell you which problems need to be brought up for negotiations and can handle the negotiation process for you.
7. Communicate with the seller’s agent and your attorney throughout the process.
Things continuously change during the real estate transaction process. Your real estate agent will keep up the lines of communication between all the parties to keep the transaction moving along. Excellent communication skills are one of the hallmark traits of an exceptional agent, whether they are buyers or seller’s agents
8. Monitor your loan commitment.
An excellent real estate agent knows how easy it is for a buyer to miss deadlines on loan approval. No one wants this to happen, especially your buyer’s agent, so they are going to keep track of your mortgage along with you.
9. Submit offers.
When you find a home you love, your buyer’s agent will help you submit an offer. Members of the National Buyers Agent Association are skilled negotiators that have developed expertise on how to get you the best price and value possible.
10. Finalize all loose ends for the closing.
Part of the final steps for getting to the closing will be doing a final walkthrough to ensure the condition of the home is the same as when you wrote the offer. If something does cause trouble, your agent will be there to advise you on how to move forward.
For SELLERS: The best seller’s agents have a primary goal – To do what is best for their clients.
1. Price your property correctly.
The main job of a seller’s agent is pricing the property correctly. In today’s seller’s market, a common practice is to have an “auction” style sales process, where the property is priced at or slightly below the value justified in a CMA, with the expectation that multiple buyers will bid up the price.
Having the assistance of a great agent to price your property correctly may end up getting you a higher price than you expected to get at closing.
2. Market your property to gain the most attention from buyers.
Marketing properties is probably the most important skill a real estate agents offer sellers. You need to prepare the property, but the agent will help with getting professional photos taken, write a compelling listing description, and spread the word through multiple channels such as the MLS, real estate sites, the Realtor’s website, and social media.
The best selling REALTORS have a tried and true system to market properties, one that you should feel is better than other agents you have interviewed.
3. Updating you about what is going on.
An excellent agent will keep you up to date about what is happening concerning your sale. Feedback will be a regular part of the process of selling your home. They will not bother you with unimportant details that can be handled directly by the agent.
4. Make sure the buyer is eligible.
Anybody can say they want to buy a house, but not everyone is capable of buying your property. Your real estate agent will make sure that pre-approved buyers are the ones that you interact with so you don’t waste your time with people that cannot buy your property.
5. Negotiate the best terms.
Your real estate agent wants to get you the best terms for your sale, such as when you wish to close, what items are included, etc. When you have to go to the negotiating table, you want a skilled negotiator there on your behalf. In that way, they will ensure that you get the best possible terms for your sale.
6. Get the best price for your property.
A Realtor who knows the value of your property is the best-qualified person to negotiate on your behalf. There are no guarantees about how things will turn out, but you can stack the odds in your favor by using a professional to fight for the best possible price.
You now have a better understanding of some of the services a real estate agent provides! If you need the help of a buyer’s or seller’s agents, our services are free and you can contact us anytime.
The National Buyers Agent Association has a network of top-rate fiduciary buyers agents and brokers. They also have a great network of top-rated listing agents. A top agent will mostly have well-established connections to other business professionals who can help make your move less stressful, such as movers, landscapers, renovation experts and used furniture dealers. Simply communicate your needs by filling out the online form where you can get immediate results for fast access to top buyer agents, or call 800-383-7188, Mondays through Sundays.
Check out the A+ rating the service has with the Better Business Bureau here: https://www.bbb.org/us/co/evergreen/profile/association-management/skyfor-inc-1296-90275771