When buying residential or commercial real estate the temptation can sometimes exist to ‘go it alone’ or, in other words, without a real estate broker!
There can be a variety of reasons for thinking about going this route including having the ability to work with sellers who are also going it alone by listing their homes as a FSBO, or For Sale By Owner.
The thinking here is that as a buyer you will have better negotiating leverage because the seller will not be paying a commission to a broker.
The reality, however, is that both buyer (as we will see in this article) and seller (as we will see in a later article) are likely being penny wise and dollar foolish because of the vast array of benefits that a broker brings to the process on both sides of a transaction.
21 Reasons A Buyer Should Use a Realtor!
- Realtors keep track and monitor existing and new listings in the marketplace a buyer has an interest in. This information, among other things, can be very useful when determining what to bid,
- Realtors will cull through the inventory and eliminate properties of no interest to a buyer,
- Realtors will provide comparisons between neighborhoods and houses within those neighborhoods,
- Realtors have the knowledge a potential buyer likely will not have concerning everything an area has to offer and those things that may be lacking,
- Realtors will be on call to show a buyer properties from a perspective and lack of emotion that the buyer may not be able to bring to the process,
- From the personal experience of spending weekends with kids in the car driving from home to home, the Realtor will streamline the proces so that the buyer wastes as little time as possible,
- As important as the purchase is, the Realtor will look down the road and discuss any issues that MAY affect resale value. This could include something such as rumblings of a mall being constructed nearby that a distant buyer wouldn’t know about,
- Your Realtor will be the one tasked with dealing with any other Realtor (i.e. listing broker) involved with a house,
- Likely being local, the Realtor will be aware of any potential negatives concerning a home or area that a buyer could not possibly know about,
- The Realtor will monitor the ‘action’ on a home in terms of offers and the general level of interest. This can be invaluable when formulating a bid,
- As most people will be emotional about what may be the largest financial transaction they will enter into, the Realtor will again serve as the go-between with the seller or sellers broker,
- The Realtor will present your offer to a seller in the best possible light possibly knowing areas to stress that may differentiate your offer from another,
- Because emotions run high on both sides, the Realtor will negotiate price without the potential of ‘insulting’ the owner,
- Realtors will try to help buyers maintain an even keel when the going gets tough,
- The Realtor will offer advice of the do’s and don’ts in the purchasing process such as things to avoid that might affect the buyers ability to obtain financing,
- The Realtor will be ‘on call’ for things such as getting your inspector access to the house. For NYC buyers looking out on Long Island this can be critically important,
- The Realtor will be the point-person gathering information for the real estate attorney,
- In effect the Realtor will be a buyers general contractor in the purchasing process coordinating among all of the parties in the transaction,
- The Realtor will meet with the appraiser and offer area comps,
- If a buyer enters into negotiations on their own, they will typically be negotiating against the sellers Realtor as 90% of sellers are working with one,
- Referring back to #18, the Realtor will often be the glue that holds a deal together.
The content in this article was provided by Anna Beigelman of Exit Realty Premier, Long Island, New York. Anna has been a Realtor and top producer for 14 years and can be reached at (516) 641-0754 or abeigelman@exitpremiersells.com
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Michael Haltman, President of Hallmark Abstract Service, New York.
HAS is a provider of title insurance in New York State for residential and commercial real estate transactions.
And, for anyone either buying a property or refinancing, remember that although your attorney will likely recommend a title insurance provider you always have the right to choose your own (click here to learn more)!
If you have any questions you can reach Michael by email at mhaltman@hallmarkabstractllc.com.
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