What Services
Should a Realtor
Provide You?
The best way to begin my blog is to discuss the responsibilities of a Realtor. Typically, a seller and buyer utilize a Realtor to assist in them in the selling or buying of their home. The big question is, do you need a Realtor and why do you need one? Also, what services should you expect from a Realtor?
What is the difference between a real estate agent and a REALTOR®? A real estate agent is a professional who assists clients with buying and selling properties within their area of expertise after completing all necessary classes and passing a state licensing exam. On the other hand, a REALTOR® is a licensed real estate agent who belongs to the National Association of Realtors (NAR), the largest trade association in the country. REALTORS® are held to a higher ethical standard than licensed agents and must adhere to a Code of Ethics. As stated in NAR.realtor, NAR’s Code requires REALTORS® to cooperate with each other to best serve the clients.
Realtor Responsibility During Home Buying Process
As a new homebuyer, I would highly recommend utilizing a Realtor to understand the in’s and out’s of the process. If you’ve never purchased a home before, it can be quite tedious and complicated. No need to panic! That’s exactly what a Realtor should help guide you with. A great Realtor should be able to guide you through the process efficiently and effectively while providing advice that’s in your best interest.
As an experienced homebuyer, there is opportunity to purchase your own home without a Realtor. One advantage for taking this route is you can save yourself 3% of the commission fees which could be credited towards closing costs or the home purchase price. A disadvantage is that you won’t have access to the MLS, which means other buyers will see the house is listed before you. Depending on how quickly the seller wants to move, this delay might make your offer too late. Another disadvantage of not having a Realtor is that you lose the guidance a Realtor would provide in this process.
Realtor Responsibility During Home Selling Process
As a homeowner, there are several items to consider before listing your home on the MLS. The most important service a Realtor provides a seller is accurately pricing the home before putting it on the market. If the house is listed at too high of a price, it could cause the house to sit on the market for a long period of time. There’s a stigma that a house that sits on the market for a long time has something wrong with it, making it harder to sell even if you correct the price. We don’t want that!
Realtors also assist the seller in marketing the home, reviewing offers, and negotiating.
Similar to the buying process, you could sell your home without a realtor, which is considered a FSBO (for sale by owner). Again, going this route will save you the 3% commission fee, which may be worth it for an experienced seller. However, you won’t be able to utilize the MLS, which means your home will not be marketed to the local network of agents. This could cause the house to not sell as fast as you may have wanted, especially if you inaccurately price your home as well.
So What Should You Do?
There is a reason Realtors exist, but that doesn’t mean you have to use one. There are pros and cons to each scenario. If you have the time and experience to do the efforts a Realtor would provide, then maybe not having a Realtor is the right route for you. But for those who don’t have the time and experience, a Realtor can be an amazing asset to have on your side!
Check out my other blog posts!
You Can Negotiate Commissions as a Buyer
Benefits of Using the MLS (Multiple Listing Service)
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