Real estate agents are usually the first choice when someone first decides to sell their homes or property. Using services offered by a real estate broker has its own advantages as well as disadvantages. This article here discusses all of these, and also sheds some light on how beneficial it is for you to sell your home directly.
Advantages of hiring a real estate broker
The first and probably the most important reason to use a real estate broker or agent is that they can sell your house much more faster than you may, unless you already know who you want to sell the house to. Brokers are known to have large contacts and in most cases, they make selling of the house easier. Another advantage is that when you hire a broker, you also get his house selling skills, and these can make your house more desirable to potential customers. Also, if you know the agent, they may be able to give you an estimated price which your house might be capable to fetch.
Disadvantages of hiring a real estate broker
With the advantages, selling your house through a broker also has its own disadvantages. The primary disadvantage is that since the agent has a lot many houses to sell, he may not be able to give your house the time that you think should be dedicated to it. Another disadvantage is the brokerage that they charge. Now, the commission will have to be paid by either the seller or the buyer, but someone has to pay it. The other disadvantage is the price for which your house is sold. Usually, most of the real estate agents talk the owners into lowering the sale price of the house, so that they may be able to sell it faster. This could result in significant monetary losses to you.
Selling the house directly
After having discussed the advantages and disadvantages of using real estate agents, we can now compare them with the profits of buying a house directly, that is, without the aid of brokers. The first reason that people usually prefer to purchase a house directly is because there is commission charged. Paying brokerage can be an expensive affair, especially if you are on a limited budget. When you talk directly to the owner about buying his or her property, you cut out any chances for the middle channel commission. This can probably help you save a lot of money. The second advantage is that you’ll be free to make your own decisions, without being nagged or bothered by the agents. Agents are only concerned about their commission charges, and will probably talk you into buying a property which offers them more commission. If you decide to buy directly, you will be free to decide for yourself.
Another advantage of buying a property without an agent is that you have numerous choices to choose from. When with a broker, you can only see the houses that he or she is in contact with. If you are looking freely, you can choose from all the houses that are in direct sale from the owners. Also, when you speak to the owners directly, you have the option to bargain and if you get lucky, you may be able strike a golden deal.