Are Real Estate Agents Necessary? (The Real Story)
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Buying or selling a house is arguably the most critical financial transaction a person will ever make. One that you want to be sure is in safe hands! You may be wondering if hiring a real estate agent is necessary. In principle, buying a house may seem like an easy task. You set a price, negotiate, close the transaction, and that’s it, right? But in reality, it’s is not that simple.
Every home is different, and the sale of each house is different from any other. The contracts, financing options, inspections, community expenses, and installations are specific to each property. Relying on DIY cookie-cutter templates can get you in big trouble.
And that’s where real estate agents come in. Some people are wary of estate agents, seeing them as “salesmen” who are only interested in earning their commission.
You’ll find that these professionals are there to offer their knowledge at your disposal. Yes, there are costs associated, but those expenses will save you in the long term.
Not convinced? In this article we break down the process and answer the question: are real estate agents necessary?
Why are Real Estate Agents Important?
Agents play a critical role in the real estate market and in the lives of the people who deal in it. The main reason for the importance of an agent lies in the very nature of the market they operate.
Everywhere in the world, whenever we talk about the real estate market, we are talking about one of the largest and most important sectors of the economy. However, specific fundamental characteristics of the real estate market make it a particular and challenging market to navigate.
A real estate agent’s job is to connect people interested in buying or selling a home. Thanks to their extensive knowledge of the market, they will be able to advise you on the best opportunities available.
On the other hand, professional agencies offer legal services and resolve any doubts you may have in the process. Bear in mind that buying a house is a significant decision that requires a large amount of money.
You may have to take out a mortgage for awhile, so having a trusted agent is crucial to prevent legal problems in the future.
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The Agent’s Role in Real Estate Transactions
The main reason agents exist lies in the very nature of the real estate market. There are four factors that make real estate transactions uniquely positioned to be guided by an agent.
First, real estate transactions are very infrequent. It seems obvious, but people don’t buy, sell or rent real estate every day. For this reason, most people are unaware of and tend to underestimate all that a real estate transaction entails.
Secondly, they are also very complex. Real estate transactions require mastery and expertise in many legal aspects to deal with them successfully.
Third, in addition to being infrequent and complex, they are costly. Real estate transactions involve a lot of money. Therefore, they can mean a high financial risk for any parties involved and almost always lead to negotiation.
But last and most importantly, because of all of the above, real estate transactions can also be very emotional. There is so much money at stake, and so much can go wrong at the last minute.
Because of these factors, there is a need for a middle man to assist the parties involved. This middle man is the real estate agent. Their role is essential to facilitate the optimal functioning of the market.
What Requirements are Demanded from an Agent?
To help their clients close a real estate deal successfully, the agent needs to understand the specific market in which the property is located. As well as a wide range of legal, tax, financial, architectural, and sanitation issues.
Likewise, just as no two properties are alike, no two transactions are alike. As a result, an excellent real estate agent must have knowledge and experience with many types of transactions to know what to do in the most challenging situations they may encounter.
There is also an essential human component to consider. The agent acts as a go-between for persons selling the most valuable in their family’s wealth and people making one of the most significant purchases of their lives.
The Simple Truth: Are Real Estate Agents Necessary?
The fact is, it is possible to sell your house without a real estate agent. But it will be a struggle that will cost you time, energy, and (almost always) money in terms of not getting the best deal. Going it alone could lead to you cutting corners unknowingly which cost you more down the line.
A real estate professional will be in charge of locating the best houses that fit the characteristics you are looking for. They will carefully comb the area you have chosen and point out all the advantages and disadvantages of the home.
In addition, the agent will accompany you during the visits and take care of all the negotiations that you may not have the time or experience to do.
For example, if you are interested in a property that seems too expensive, these professionals will negotiate the price for you. They will also lend you a hand when looking for financing, check that all the documents are in order, and resolve any pending issues.
How Can A Real Estate Agent Help Me?
Saving Money
If you hire a real estate agent, you can save money and time. In addition to the paperwork, you are relying on the services of a professional who is familiar with the sector’s strategies, is skilled at negotiating, and always knows what price to put on the property based on its location.
Administrative Procedures
Administrative procedures include exchanging contracts, negotiating mortgage conditions, prices and knowing the area to establish an offer for the property.
Knowing all the Facts
Being such a complex subject, a real estate agent can help you with details you are unaware of. Real estate agents promote homes, provide advice on preparing a home for sale, advertise it, and show it. In addition, they are with you and assist you during the negotiation.
Faster Sale Time
A house that is marketed through a real estate agent is sold faster. This is possible because they scout the market for potential purchasers, display the property to various buyers, and conduct market research.
Is It Worth Hiring A Real Estate Agent?
It is essential that you place your trust in an agent that is well established in the sector, and has many years of experience. The main advantage is that you will save money since these professionals almost always guarantee more profitable negotiations than if you did it independently.
They will also save you a lot of time since you will not have to worry about all the paperwork. And last but not least, the sale and purchase will be much faster, around 40%. Something that will allow you to have cash or access to offers that for other users go unnoticed.
Real estate agents are necessary and play a crucial role in the real estate market and in the lives of the people who transact in it. It is critical to be professionally trained, certified, and work as part of a team with other agents to be a real estate agent.
Get Connected with a Trusted Agent Near You
At FastExpert, we are convinced of agents’ vital role in the real estate market and their clients’ experience. That’s why we have the best professionals in the industry. And we know that by continually elevating their expertise, we improve the experience of their clients and the entire real estate market. Get connected with a trustworthy real estate agent today!
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