Regarding an article written in Money Magazine
"Is your realtor on your side?
Make sure your agent gets you the best house at the best price.
By Stephen Gandel, Money Magazine senior writer"
My opinion of this article is as follows:
If you have read this article, it may have made you worry that your REALTOR(r) is not working towards your best interests. At best this article is irresponsible, at worst it's the home buyer's worst nightmare.
He doesn't seem to realize that the REALTOR(r) is there to help make the buying process easier and to support the buyer with his or her knowledge base. Does he really think that a buyer should go it alone without someone to watch out for them?.
Typically the seller pays all commission costs, unless other arrangements are made.
Sometimes the seller or the seller's Broker will offer the selling Broker a bonus, but I don't care if there is a bonus. I am here to help you, the buyer find a home in your price range that fits your needs and to watch out for you, my client. I am here to help you negotiate the best price.
We do have a code of ethics to live by and If a REALTOR(r) is failing in the ethics department, he or she should be reported. Licensees get fined, suspended, licenses revoked, and/or can face jail time or other civil penalties, soon this person is no longer doing business.
There are bad apples in this industry, just as there are in any other industry or group of people, but to suggest that one search and purchase a home on their own without someone to care for them and be diligent, is purely wrong. We work extremely hard for our money and must be diligent and trustworthy for and to our client.
Often we put in 60-80 hours per week and most transactions take 6 weeks or more to close. Although we don't spend all of the days, every day working on your transaction, we are behind the scenes making sure that everything goes well and catching potential problems so that they can be nipped in the bud..
We are held accountable for our actions. We must take classes to earn and keep our licenses. Running our own business is expensive. Everywhere we turn someone is nickeling and diming us. Running ads for one home on the market costs a minimum of $100.00 each month. We also have to pay to work for our company by either desk fees or commission splits. Does he think we work for free? Do you get paid? Does he?
It's bad advice on his part to suggest that the home buyer go it alone. Did you see the episode of "Home Inspectors" Sunday morning on the 11th? It was so sad, in my opinion it's likely that this new home buyer couple bought the home from a For Sale By Owner, at a good price. Or was it a good price?
They really paid the price for lack of a home inspection, as they bought the home without any contingencies, including an inspection, hoping that the seller would find their offer to be the best. It turns out that it was the best offer, but this costly mistake of not having someone watching out for them ended up costing them, with the mold and the slide issue, up to about $16,000.00. They were lucky is wasn't more.
If they used an REALTOR(r), this transaction should be investigated. If their REALTOR(r) thoroughly explained to them the benefits of due diligence and they ignored that REALTORS(r) advice, then it is their own fault. Personally, I would rather walk away from this type of transaction, than allow them to continue without a home inspection, unless the inspection is a moot point, ie. removing an old mobile home from the property in order to build a new home on the site: inspection not necessary in this case. Diligence still necessary. Ethics sitill necessary.
If they would have had someone reliable watching over them, it would have cost only about $400.00 for a home inspection. Their REALTOR(r) would have negotiated repairs with and for them.
$16,000.00 vs. $400.00 - Hmm?
This type of thing occurs often when someone who doesn't know what they are doing listens to people like this reporter, who seems to have gotten burned by a bad apple, and ends up causing his or her own worst nightmare.
If we cause the nightmare, we are held accountable.
Go it alone? Not smart. Would you pull your own teeth? Do your own heart surgery? Be your own Attorney? Or would you look for a professional to help you?
I am on your side. I work on a commission only basis, with your referrals as a guide to how well I am doing.
Your referrals say to me "Thank you, you did a great job for me and I appreciate it."
Comments(13)