As with most significant things in your life, you wouldn’t try to handle a legal situation without an an attorney, build your house or take on the internal revenue service solo to challenge a tax matter. Well, selling or buying a house is no different. We have compiled 10 reasons why you shouldn’t buy or sell without using an agent.
Listed here are 10 reasons you should never buy or sell a home without having an agent.
1. Knowledge is not power
A little knowledge can be a dangerous thing with regards to real estate. With the click of a mouse or even a tap on your phone, you can obtain an instantaneous valuation of your home.
Is that value realistic? On which properties is it based? What did those properties have that yours does or does not? What were the dates and specifics of those sales?
That valuation could be significantly more or less compared to what your home is actually worth. Just like using the internet to self-diagnose a medical issue is not the best idea, the same applies to real estate.
2. Precisely what do you understand about the market?
To the above point, as a seller, do you know what other options buyers will probably consider when they’re considering your home? Are you aware who the typical buyer audience is, where they are originating from and the ways to find them?
Do you know what agents likely work with this group? What is the average length of time on market for homes in your neighborhood, and what percentage of the asking price are they getting? Are there particular terms of sale that happen to be a trend in your area, such as sellers paying closing costs for buyers or any other concessions?
As a buyer, what kinds of properties are most realistic for your price range and the type of financing you’re going to be doing?
A good agent educates you about “real estate reality” as far as what you can to get for your money in your desired areas and criteria that are vital that you you.
Lastly, whether a buyer or seller, do you know why properties in one particular location sell quicker than another? Are there challenges, perceived or real that might affect values?
A stellar agent can prevent you from making a costly mistake with regards to buying (such as a home near a soon-to-be-constructed highway or busy railroad tracks – no wonder it was priced so cheap). And alternatively, that same agent can help sellers position their property in the best way when taking into account external factors around it that can affect value.
3. Agents are expert problem-solvers
So what occurs when the inspection reveals termites, a roof leak, a house that needs to be replumbed – or worse yet when an inspector paints a picture of a fairly minor repair issue in a far worse light than it is? What happens when an appraisal comes in at less than contract sales price?
These are run-of-the-mill issues that agents face every single day. They don’t make our palms sweat and cause us to faint, but instead we stand tall when confronted with the myriad challenges this business presents.
As a buyer, do you actually want to be addressing repair items with a seller directly? Sellers are extremely often in “repair denial,” particularly when they’re selling their home on their own – there are never any issues as far as they are concerned.
4. Overcoming objections is what agents excel at
You are selling your home on your own. Do you have a record of who has come through and when? If they had an agent, who it was and just what the buyer thought of it? If they didn’t buy your home, what did they buy instead and why? That’s what agents working with sellers manage. Are there any themes emerging? If there are concerns that are presenting as a challenge for buyers, are you aware of how you can address them?
Are there ways to combat these objections by providing more information or speaking to needed designers, contractors, landscapers, the homeowners’ association and so on?
Superstar agents can effectively address objections which include “didn’t like layout” or “needs too much work” and know how to position a property effectively, so buyers go from “just looking” to locking an offer up.
5. Effective negotiation skills are key
As a seller, you received a low offer for the property. Do you make a counteroffer, outright reject it or perhaps not respond?
As a buyer, you want to make an offer that asks the owner for everything and the kitchen sink (well, because it’s attached, it conveys as part of the house anyway).
How do you formulate an approach? Do you know your opponent and have you gathered much intelligence about them? How much should you offer or counteroffer?
Does your response risk alienating the other side? What about multiple offers? Just how do you facilitate, manage and negotiate effectively to keep all interested buyers in play?
The negotiation landscape could possibly get complex, which explains why a third party is definitely beneficial in serving as a buffer zone to separate emotion from facts and work to reach an objective outcome.
6. Preventive medicine equals additional money in your pockets
The saying “an ounce of prevention is worth a pound of cure” certainly applies with regards to real estate because surprise is never a good thing when it comes to selling or buying. A good agent walks you through the necessary steps before you start your home search or put your property on the market.
As a buyer, there are particular things you must do before you start your property search, including getting prequalified – preferably preapproved – so you don’t waste time checking out properties that aren’t a match, and so that you don’t waste a seller’s time coming through a home that you cannot afford.
As a seller, are there things that should be addressed before putting your property on the market? Should you get a pre-listing inspection, and are there any repair things that ought to be dealt with?
What about staging or editing your furnishings and decor? What items take advantage of sense for you to address to position your house for maximum exposure?
Do you need a floor plan designed for your home? Is there any pertinent information you need to pull together that may be crucial for the sale?
In short, a top-notch agent walks you on critical steps you’ll want to take before entering into the market which will save you time, headaches and hassle when a proposal comes through.
7. Marketing expertise can be sell your house
Image is everything when it comes to real estate, and a poorly presented property is like arriving at the Oscars without using a stylist.
Do you have accessibility to the right photographers, video producers, stagers and interior designers to make your property shine?
Although you might think marketing your house on your own is easy, you will find there’s difference between playing photographer and hiring someone with an objective, critical eye for what kind of marketing will attract the appropriate buyers.
Are you able to discover the money shot? What photos are going to best present the house? Should a drone be used, and for which shots?
Are you able to create a video to effectively tell your property’s story and how to best find that story and articulate it? What kind of marketing collateral are you able to prepare that’s going to communicate the features, advantages and benefits in your home over another effectively, and how is that collateral going to be distributed?
Do you have access to vendors that could be able to offer incentives or discounts for buyers who could benefit from their professional services with the new home?
8. Social network exposure is unmatched
Can you broadcast your property across numerous websites and various other social media networks to pique buyer and agent interest – locally, nationally and perhaps internationally?
Are you able to reach hundreds, thousands or even more with the click of a mouse? Can you use predictive analytics and targeted digital marketing to place your property in front of the right prospects? A top agent is skilled in making your property go viral in only seconds.
9. Agents have mad connections
Real estate agents are plugged into just about everyone and everything. The three degrees of separation rule applies here.
Agents are constantly in the know – it’s their job to be. They leverage relationships with real estate related service providers, lenders – and, most importantly, other agents – to assist bring the sale together.
Agents exchange and share advice and ideas that will help each other, and by networking and information-sharing, they help bridge the gap between for sale and sold.
They also have access to properties which are not officially on the market and often know deals not advertised that builders could possibly be offering in terms of discounts or specials that can help save you money.
Need a handyman or a really good painter? Ask your agent about the contacts he or she has, and get hooked up with great providers.
10. Trusted advice as well as an available point person can be a seller’s best friend
Who else can you go to with a question or concern just about any time of the day or night? Yes, as much as we don’t like to admit it, there isn’t any such thing as office hours for real estate.
A good real estate agent is your trusted adviser every step of the way, and unlike your attorney or accountant, you won’t get charged for every phone call or email.
Who else can you unload your qualms, fears and worries upon regarding the buying and selling process? When your peanut gallery of friends, family and co-workers are giving you confusing advice, who can you trust for objective information to make the best possible decision?
Don’t go into the buying and selling process blind. Let a real estate professional be your guide so that you can celebrate this incredible milestone without worry, knowing that the heavy lifting and problem-solving was done for you.
Nick & Cindy Davis can assist you with all your real estate needs here in the Tampa Bay and Surrounding areas. We are always just a click here or call to 813-300-7116 away.