Reasons to Work With a Realtor
Realtors are key players in the process of buying or selling a house. They work with both buyers and sellers to guide parties through the process of a property transaction.
Realtors assist buyers in finding the right property at the right price. For sellers, realtors offer advice and market the home appropriately so the seller can get top dollar for the property. The terminology behind different real estate professionals can be confusing to many buyers and sellers. Both a real estate agent and a realtor perform similar duties. The main difference is that a realtor is a member of the National Association of Realtors. This means they have additional certification to real estate agents.
Reasons to Work With a Realtor
Many homeowners, landowners and owners of commercial property enlist the aid of a realtor to list their property for sale on the market. Sellers should plan to interview several realtors until they find one they like. It is important that they feel a realtor can be trusted.
The realtor they choose to hire will then sign a contract with them and give more in-depth advice about what should be done to the house to make it more likely to sell. For example, repainting, rearranging furniture and making both major and minor repairs are common pieces of advice. The realtor will be upfront to the sellers about any challenges that may be encountered while trying to sell the home, such as if the home is in an undesirable neighborhood or has a serious problem the seller isn't sure if they want to bother fixing. Realtors will also inform the seller how much they can expect to get for their home when taking the current market into consideration.
Realtors usually get paid a commission percentage off the final sale price of the property. The commission is usually about 6 percent and is split evenly between the buyer's and the seller's agents. Who ultimately pays that commission may depend on the contract, although it is usually the seller.
Realtors also aid buyers in finding and purchasing property, whether residential or commercial. They can even represent renters who are looking for help to find a place to live. Buyers should seek a realtor familiar with the area in which they wish to look for a home. They should also come up with a list of features they want in a home, as well as their budget. Their realtor will ask questions and help them decide on these important parameters.
Once the realtor has this information, they then research what properties are on the market, as well as use their industry connections to discover what properties might be available soon. They accompany their buyers to open houses and sit in on negotiations with the sellers. They will recommend which inspections should be performed and generally help the buyer get the best deal for the property that they can.
Like with sellers, the realtor will walk the buyers through the closing process. Buyers are usually responsible for paying closing costs and title costs, so these costs should be planned for and included in the budget.
A final, specialized reason buyers may choose to use a realtor is if they are a property investor. Investors are looking to buy properties that are below market value, have problems or belong to sellers who need to sell fast. They are not buying the home to live in but rather to rent out or resell. It is usually recommended for investors to work with a Realtor, especially investors who are just starting out. Investing is very different from buying a home traditionally and investors should establish a relationship with a realtor who specializes in investment properties as part of the network of professionals they use to make their business a success.
Summary of Reasons to Use a Realtor
- Realtors assist both buyers and sellers with the transaction of property.
- Realtors differ from real estate agents in that they are certified members of the National Association of Realtors.
- They assist the seller by offering advice on how to best stage the home as well as market the home in listings.
- They take the features a buyer is looking for in a house and use them to search for and suggest potential available properties.
- They partner with investors who buy and sell properties more frequently as well as have different needs when looking to purchase a property.