You can shop for and buy a home without an agent. But you will put in extra time to do an agent’s work: search for properties, schedule appointments to see them, coordinate inspections, and negotiate. Home buyers who already have a property in mind are the best candidates for going it alone.
If you find that your real estate agent is not doing his or her best to find you the home you want or is otherwise not meeting your expectations, don’t hesitate to make a change. Avoid the mistake of staying in the relationship because you have invested time in it. Rather, get out as soon as you can. The real estate agent will cost you money, so make sure you are getting your money’s worth.
Look for positive traits
Of course, you want a competent and experienced agent whose work habits are compatible with your own. To find such an agent, interview several candidates at different agencies. Look for the following traits:
- Is the agent full-time? Make sure the agent works in the field full-time. Otherwise he or she may not be up-to-date on the fast-changing information and skills required for the job.
- Is the agent experienced? Be sure the agent has been doing the type of work you will need him or her to do for at least a few years. For example, if you are looking for a modest single family home in the suburbs, make sure the agent has not spent the last five years handling mostly rentals—or mansions.
- Does the agent listen and communicate clearly? The agent must be able to understand your priorities in purchasing a home and to tell you what you need to know about a home. For instance, if you tell the agent repeatedly that you must have wood floors and a tree-lined neighborhood, and he or she persists in showing you linoleum floors on crowded streets, you need to get a new agent.
- Is the agent willing to negotiate for you? To get the best home for your dollar you will have to negotiate with the seller on the price. The agent plays a crucial role in the process. If he or she is not willing to show you houses that are 20% over your price range or to vigorously negotiate with the seller, you need to find a new agent.
- Is the agent careful in his or her work? You need an agent who will cover all the details that go into buying a home. Someone who takes shortcuts in order to "produce"—generate as many home sales as possible—will not do you any good.
Ask the candidates for references from clients with whom they have recently worked in the area in which you are house-hunting. That will help you determine whether the agent has the traits you want.
Beware these negative traits
Here are some traits a good buyer’s real estate agent should not have. Most of them have to do with the conflicts of interest that arise with any commissioned salespeople. Basically, a commission salesperson’s goal is to see that as many deals close as possible while putting in the minimum of hours. However, many agents still provide good service.
- Haste makes waste. The agent who tries to push you into making a decision before you are comfortable doing so is to be avoided.
- Spendthrifts. Avoid agents who urge you to go over your price range.
- Favoritism. Avoid agents who push you to buy their agency’s listings over other properties, or who push you to use the attorneys or inspectors they recommend.
- Cover-ups. Dishonest agents have been known to help the seller hide a defect, or to look the other way. The only way to protect yourself from such deceit is to use an objective inspector.
Agents' Titles and What They Mean
When looking for a real estate agent, you may come across the following commonly used titles. Here is a basic definition of each:
Principal broker: This is a person who is licensed to operate a real estate office. He or she may either work alone or employ other agents. Several years of experience are required to obtain this licensure. Anyone selling realty must work under the supervision of a principal broker.
Realtor: A realtor is a member of the National Association of Realtors, along with a state realtors’ association and a local board of realtors. Realtors are bound by a code of ethics. They are able to access a local computerized database of homes for sale known as the multiple listing service.
Agent: This is the general term for any licensed professional in the real estate sales business.
Listing agent: A type of agent who signs up the home seller and lists the home with the multiple listing service.
Selling agent: An agent who finds a home for sale (through the multiple listing service) and finds a buyer for it.
On a home sale, the listing agent and the selling agent split the commission with each other and with their principal brokers.
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