Buyers usually have myths regarding Real Estate Agents about their work the process of their work and the connections with the agencies so without getting far it is very useful to figure out that there are most likely two agents in any one real estate transaction; on for the seller and one for the buyer.
Here I will tell you about the 5 myths about Real Estate Agents.
It is totally not accurate that many of the people assume that their agent is pocketing the entire commission because the truth is something else. First of all, you should know that the commission is split by the seller in four ways that is between two agents and between the two brokerages .
But finally the sellers can sometimes negotiate the commission and the brokerage commission is set in stone.
You sign a contract with the real estate agent and brokerage if you are a seller and that contract includes typically a six month to a year contract and you could be stuck with their agent through the term once you sign the agreement but still, that’s not always the case.
Here is truth is that if the things are really not working out then the brokerage and the agent manager would probably release you from the agreement early because buyers are rarely under a contract and undoubtedly the buyer’s agent work for free until their clients find a House. It can either take a month or up to a year or more and even and even sometimes the buyer never purchases a home and the agent doesn’t get paid. So just start it slow and do let them know early if you don’t feel comfortable because you face more hurdles to break up with your agent if too much time passes.
Today’s buyers get most things on demand but when it comes to real estate they assume to purchase a home through their smartphone only since most property listings live online.
But the reality is that first-time buyers new to an area do not really know seller’s interests so they need an advocate and the listing agent represents the seller’s interests and has fiduciary responsibility to negotiate the top prices and terms for the seller.
They know all the red flags because they have already facilitated many transactions and can tell you when to run away from a house.
Most of the people think that all agents that are dealing are same. But the truth is that local agent can make an incredible difference and the right can save you money and time and protects you so just try considering an agent who has lived and worked in the same town for almost 10 years because they know the streets and have deep connections with the other local agents plus have an insight track on upcoming deals and past transactions that can’t be explained.
Some agents might be more interested in making sake and won’t be forthright so consider an agent to one who are visiting an area for the first time.
Sellers who would not deal with any agents tried to sell their house directly to a buyer to save the commission in a previous generation.
The truth is something else. Smart sellers understand that most buyers have separate representation and real estate is complicated, many FSBO sellers will offer payment to a buyer’s agent to bring their customers to the home. So don’t be afraid to ask your agent to step in if you see an FSBO home on the market because most of the time the seller will compensate them and you can benefit from their experience .