After the arrival of internet many of the long-established assumptions are now challenged as regards to selling or buying a home.
Those transactions which were once considered to be extremely difficult without taking help from a third party like setting up certain travel plans, or reshaping your investment portfolio have now become far easier to do on your own.
Therefore, when you are either buying or selling home, it will be one of the most difficult financial transactions of your life. It is worth pondering whether taking it up alone really makes sense.
It is certainly possible either to sell or buy a house without taking help of real estate agent like The Munir Group and you can also get certain advantages too. Don’t think it is just for saving money by avoiding any professional, which may or may not happen.
Following are few pros and cons which can help you to take your decision.
Pros of hiring real estate agent
- Agents are usually more informed and have the expertise
Though you can access from number of websites which can provide information regarding listings, however real estate agents may have access to certain exclusive database, which may provide much detailed price and also past history.
In other words, the agents can tell you how the price of properties have undergone changes over time. Certain paperwork and procedures that are hard to navigate where agents have training, experience and familiarity.
- Agents can help you to gain more
Though cost of hiring agent can be quite high but they have the experience of handling negotiation of many such property.
They can certainly offer you much more gain on the sale price or buying price that can be much more than their commission that you may pay to them.
Cons of hiring real estate agent
- The fee is quite high
Selling agents will charge you typically around 6 percent just for providing their services that can even be few thousands of dollars which you could have saved by doing it on your own.
- An interest of agent may not necessarily be same as yours
While buying a home, always there will be an economic tension between your agent and you. You will be rewarded differently due to different outcomes. When you are buying a home then you will try for lowest possible price, to save money.
On the other hand, your agent’s commission actually reduces as you try to push for a better deal.
Let us take a hypothetical situation that demonstrates possible problem if you are working with certain agent to sell your home. Suppose your house was in the market for last 3 weeks and you get offer for $250,000.
As per your own research, the offer was much lower than your expectation. Your agent would have got $7,500 from this deal.
If you decided against the advice of the agent and did not sell and after couple of weeks got an offer for $275,000. Due to your decision you gained extra $25,000 which is a significant profit for you.
However, your agent’s profit will go up by merely $750. Despite being your agent, getting you the best deal may not be in his interest but fortunately you gained by taking your own decision.