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Home Economy Investing and Insurance

Why Have a Realtor, What Makes a Good One and How to Pick One

by Camey
August 16, 2020
in Investing and Insurance
Reading Time: 4 mins read
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By 2018, the number of houses sold by the owner had hit an all-time low of 7%. This is according to the 2018 Profile of Home Buyers and Sellers report done by the National Association of REALTORS®. 90% of sellers placed their homes in MLS listings such as Movoto. According to a NAR's report, 87% of buyers used real estate agents to find a home. This article will discuss why you need a real estate agent, the qualities of the right agent, and how to go about picking one.

Why you need a real estate agent

Many sellers who decide to sell their homes themselves choose to do so because they want to avoid paying the listing agent commission. However, the benefits of having a real estate agent far outweigh the costs. You need a realtor because:

  1. They understand the value of your home in your area, and they know what kind of pricing is most lucrative to buyers. They help you find the balance between getting the most value out of your home while still appealing to the most buyers,
  2. They have vast market exposure. If you want to get a lot of eyes on your listing, get an agent. They have access to listing portals and professional networks, and they have social media presence and connections to other agents.
  3. They are objective. When you sell your house yourself, you can easily be biased about your home and highlight what you feel are the best features rather than what the market wants. An agent will show your home in the best light based on the needs of the market. They will also connect you with home stagers and photographers who will work together to highlight the amenities local buyers actually want. They will also receive criticism about the home (which you may not take well) and delicately deliver it.
  4. They know the paperwork. A good agent will guide you through the selling process, letting you know about all the necessary legal documents that you need. They will make sure that the documentation is done accurately and completely.
  5. They will help you with negotiations. Houses that are FSBO's (For sale by owner) contribute to a lot of worries and are a lot of work for the owner. This is not the same case for a realtor because they are knowledgeable about the local market and the selling process. Consequently, they are better placed to negotiate well and propose reasonable counteroffers. Furthermore, they are good at spotting serious buyers eliminating the less motivated buyers.
  6. They are motivated to sell your home. Most realtors are paid on commission. They have to sell homes to get a commission. This makes an agent work hard to sell the home for you.

What makes an excellent realtor?

Not all real estate agents are cut from the same cloth. Some are closers, while others drag their feet. The following qualities make an agent great.

  1. They have a robust network of contacts. Who they know is very important. The connections a realtor has will help you sell your house faster. They can connect you to inspectors, plumbers, stagers, builders, and more who will help you improve your home before it sells. They know property developers keen to buy and flip houses. They know families that are looking for homes. Who they know is very important
  2. They have knowledge of the area. They can recommend the best prices for homes in that area. They know which features homebuyers in that area are looking for. They will quickly come up with the best strategy to sell your house in your area.
  3. They are charming and friendly. A rude realtor will not sell your home. Communication skills are essential, and you need a realtor who will charm prospective buyers into buying the home. Effective promotion of the property and the area will wake the house sell faster.
  4. They should be determined and work hard. Selling a home is no easy feat. You need a dedicated realtor who is motivated to sell your home.

How to pick a realtor.

You can ask for recommendations from friends who have sold homes in the area through agents. Alternatively, attend inspections and actions, make a list of eligible realtors then narrow them down. Factors to consider include their approach to potential buyers and how they sell. Inquire about their fees as well as how they handle the different aspects of the sales campaign. Ask about whether you will be paying separate marketing fees or if it is included in the commission fee.

Hiring a real estate agent the difference between a long drawn out and complicated stressing process and a hassle-free easy process. You will not have to deal with difficult buyers, hear scathing comments about your beloved home, or figure out the best counteroffer. The commission is just a small price to pay for the service you get.

Tags: Do you need a real estate agentHow to pick a real estate agentWhat makes a good realtor
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