Why You Need a Realtor®

Investment Specialist's Weblog

Why You Need a Realtor®  Wednesday, Jul 16 2008 

     There are so many programs available in the market which espouses buying directly from owners who are selling their properties.  It is not adviseable to do this if you want to be a professional investor.  Depending on where you live in the country, the realtor fees are either paid all by the seller or split between the seller and the buyer.

     First, we have to acknowledge that realtors get paid by commission. It is their job and they are entitled to it.  Money is used as a means to pay for goods and services rendered and your realtor has an implicit obligation to render you the best service possible.  A good realtor will look after your interests, and this means more than giving you a ballpark estimate on where your offer should come in based on the previous sales in the area you are looking to buy. It also means that he or she will make sure that there are no loose ends in your transaction.  Actually, this process is so fascinating in it's intricacies.

     Your Realtor® is a professional. He or she knows the market and can make recommendations to you, but keep in mind that one who looks after your interest will only recommend something that is in line with your expectations. Also, keep in mind that you always have the final decision.

     Because the realtors work very closely with each other, you will find that he or she may call you before a property is listed on the Multiple Listing Services. Since they are always in contact with each other, the listing agents often call their other associates on properties that will be listed within a day or so.  Consider this your preview of the coming attraction. You could be the first person to view the property once it is listed.

     If the property is for sale by owner, your realtor makes it easier for you to see the property by setting up the appointment for you and being with you when you visit it.  Selling, by anyone, is always an emotional process.  The presence of a realtor creates an impartial ground between you and the seller.

     Once you have decided to buy the property, your realtor is responsible for negotiating the price with the listing agent. Keep in mind that your realtor may suggest but you ultimately decide on whether to buy or not. Once the contract is signed, your realtor makes sure that the process runs smoothly until the time of closing.

     One final point. A good realtor will not be mad at you if after everything that she or he has done you decide you do not want to proceed to closing at all.  You are after all the client. He or she may not get the commission for that deal, but keeping you as a client who, in the future, with his or her help, can and will buy more properties is more important. 

     Your realtor is key to your success as an investor, but just like a doctor, you have to be very comfortable working with him or her. He or she is, after all, one of your partners in building your portfolio.