Where you call home is important for your well-being and sanity. It’s the place where you wake every morning to pursue your dreams. However, finding your next home can be a daunting endeavor if done on your own. It’s a rigorous, tedious, and sometimes an emotionally draining process. And while avoiding commission costs might seem like a cost-saving measure, in the end it will most likely cost you more money and more importantly: your time. Buying a new home is a huge life decision under any metric. That’s why having a real estate agent on your side benefits you almost universally in every single way. They take the weight off of your shoulders from your day-to-day work and allow you the freedom of security and protection while they work for your best interests.
1. Networking and Access
Your agent spends all of their time doing the research you might not have time for. They know the neighborhood and the people involved. They network. They know the market and what is listed. They know the local restaurants and the better schools. A good agent has formed relationships with the people in all industries within the neighborhood and can consistently scope the best properties based on your needs and wants. That’s what they spend their time doing. They understand your criteria and work specifically towards that goal. Trying to sell or buy a property yourself can amount to hundreds of hours of work without the guarantee of a payoff. It promises taking many, sometimes frivolous, hours from work making phone calls and appointments where neither is potentially honored. Imagine telling your boss you need to take off early, only to rush home to show your apartment and not have the prospective buyer not show up.
2. The Negotiation
Common sense leads one to believe that a buyer and seller should deal directly with each other. Why not? It’s easier and more transparent. The problem is that common sense only works if two people are completely sensible on each other’s terms in a transaction, which rarely happens. Like a good attorney, a good real estate agent mitigates the concerns of negotiation. This also helps to alleviate any emotion that can quickly derail a deal. It depersonalizes the transaction. If you don’t like something, let the agent handle it. Why should you be stressed out? Your agent is your representative and messenger. They convey your wants and needs. They smooth things over and therefore can negotiate a better price on your behalf.
3. Paperwork
Buying or selling a home is defined legally by a contract. A good agent understands these terms since they deal with this process on a regular basis. They have negotiated from your corner and are looking to make sure that the terms and conditions you have agreed to are met. The agent also understands what is realistic and unrealistic and will make sure to protect you during the process.
4. Ethics
Like in any profession, there are dishonest people. However, a licensed real estate agent is beholden to the law. There are legal repercussions to any ethical violations between the agent and the client. If a buyer or seller decides to do deal by themselves, there is little legal recourse afforded to them if they feel the deal wasn’t honored in some way. Additionally, hiring attorneys to litigate any perceived damages is costly and more than likely will be more than the commission spent on a real estate agent. If you feel that your agent has somehow duped you, there are many easier avenues of recourse through state associations in real estate (REBNY) that you would not have access to if you had attempted the transaction yourself.
5. Money
You have better odds in saving money without an agent as you do with winning the lottery. It might work, but it most likely won’t. The cost analysis you would use to price your apartment or find a home on the market unfortunately contains an assumed commission regardless. Furthermore, you still have to deal with other agents and their commission. Why take on this burden yourself? You’ll have to further negotiate the savings with the buyer or seller. Another headache.
Conclusion:
Like in every profession, not all real estate agents are the same. It’s important to select one that best represents you with your interests in mind. But, while you might be lucky in being competent in negotiating and handling the transaction, there is a reason to have a professional on your side.
Joseph Parks - Licensed Real Estate Salesperson
