A real estate agent assists sellers and buyers in a real estate transaction from start to end. Real estate agents conduct due diligence, negotiate offers, handle paperwork, and provide closing assistance.
Home sellers can avail services of an agent at 3% of the home sale price. If home sellers want to save such a hefty fee, they should consider selling their house FSBO.
What is a Real Estate Agent?
Real estate agents help clients in buying and selling a home. They act as a middle-man between buyers and sellers and help them navigate the real estate process.
The agents may choose to work with an independent agency or with a real estate company. They may specialize in residential, commercial, and rental properties. They may also opt for a specific niche, such as luxury homes or investment properties.
What Do Real Estate Agents Do?
Real estate agents provide a wide range of services depending on whether you’re a home buyer or a homeowner.
For Home Buyers
- Property Search: Real estate agents help to find properties that meet the needs and budget of a buyer.
- Property Showings: Agents give you a tour and highlight key features of the property. They also answer any questions clients may have.
- Due Diligence: Real estate agents review seller disclosures, title reports, and other documents.
- Negotiate Offers: The agents aim to achieve the best outcome in terms of price and repairs.
- Collaboration: They coordinate with home inspectors, mortgage lenders, and real estate attorneys.
- Post-Closing Support: The agents address issues related to undisclosed property defects, title defects, etc.
For Home Sellers
- Property Valuation: The agents use the CMA tool to determine a competitive asking price for the property.
- Home-Sale Strategies: They provide advice on home staging to improve the appeal of the home.
- Market the Property: They list the house, conduct professional photography, and advertise your property.
- List on the MLS: Real estate agents alone can access the MLS. They help you list your property on the MLS.
- Arrange Showings: The agents schedule property showings and open houses to show the house to potential buyers.
- Negotiate Offers: They understand the seller’s terms and negotiate offers to secure the best possible terms in the sale.
- Closing Assistance: The agents ensure a smooth transition of ownership at closing. They may also recommend title companies, escrow companies, etc.
- Post-Closing Support: The agents may assist with concerns such as fund disbursement that may arise.
✅Advantages of Hiring a Real Estate Agent
Hiring a real estate agent can offer numerous benefits to buyers and sellers.
- Market Knowledge: Top real estate agents possess in-depth market knowledge. They provide valuable insights on market trends, pricing strategies, and more.
- Wide Network: They have access to mortgage lenders, escrow officers, real estate attorneys, and more.
- Expertise in Negotiations: Real estate agents help their clients get the best deal.
- Paperwork Assistance: They can save the clients time and assist them with paperwork.
- Legal Compliance: Real estate agents guide clients through complex legal and financial matters.
❌ Disadvantages of Hiring a Real Estate Agent
Traditional real estate agents charge a steep 6% in commissions which can reduce your overall profit margins.
While the buyer agent’s commission remains the same, you can cut down on the listing agent’s commission by using a high-tech FSBO platform like Houzeo.
With Houzeo, you can list your home on the MLS at a flat fee. With a flat fee structure, sellers can save on significant commission fees.
Skills and Qualifications of a Real Estate Agent
Real estate agents need to have a diverse set of skills and qualifications to excel in their roles.
- Valid License: A real estate agent requires a valid license to practice in most states. The agents need to clear examinations to get a license.
- Code of Conduct: Real estate agents should adhere to the Realtor Code of Ethics. This includes principles such as loyalty, confidentiality, and honesty.
- Communication Skills: Excellent communication skills help agents to negotiate their clients’ interests effectively.
- Negotiation Skills: Real estate agents must have strong negotiation skills to promote their clients’ needs.
- Tech-Savvy: Tech-savvy agents can manage MLS data and analytical tools to conduct in-depth market research.
- ✍️ Tip For FSBO Sellers: Sellers who want to sell their home by themselves without a real estate agent, can benefit from Houzeo.
Final Word
Real estate agents represent home buyers and home sellers. They offer their expertise and personalized service to help clients achieve their goals.
There are advantages to hiring an agent but their services come at a steep 6% of the home sale price.
FSBO websites such as Houzeo are a more cost-effective option. You can be your own real estate agent and have control over the entire transaction. All while having access to the necessary tools and resources.
Learn how Houzeo works to maximize your savings💲
» Houzeo.com Reviews: Find out why customers have rated Houzeo a stellar 4.8 stars out of 5 stars!
Find Your New Home With Houzeo
With thousands of property listings, Houzeo.com is one of the biggest property listing sites in the US. Find condos, townhouses, co-ops, and other types of homes for sale on Houzeo.
» Need More Clarity? Read these exclusive Houzeo reviews and learn why the platform is the best in America’s competitive housing market.
Frequently Asked Questions
What does a real estate agent do?
A real estate agent assists home buyers and home sellers in navigating through complex real estate processes.
» Top Real Estate Agent: Check out America’s Top 10 Real Estate Agents!
What are the skills required for a real estate agent?
A real estate agent should possess qualities such as excellent communication and negotiation, market knowledge, networking, and problem-solving skills.
What are the disadvantages of hiring a real estate agent?
If you hire a real estate agent then you will have to shell out 6% in commissions. FSBO websites such as Houzeo offers a flat fee structure. With Houzeo, you can save on commissions while still getting the expertise needed to sell your house effectively.
