Monday Myth Busters: I Will Get a Better Deal Without a Real Estate Agent

I don't need an agent.

This is one of the largest and most damaging myths that buyer's in today's market that a buyer can fall for. 

To begin with, as a buyer of real estate, your realtor's commission is not paid by you. There is no expense associated with being a buyer under representation. However, believing that there is and deciding to go it alone, can and usually will cost you big.

Here are a few reasons why you need an agent.

1. If you're touring a listing and call the listing agent to show you the property, that agent is already representing someone. The seller. 

The seller's best interests alone are the priority of this agent, so who is looking out for your best interests? As an unrepresented buyer you are not protected, and you will likely end up paying more for less assets.

2. Having the expertise of an agent gives you unlimited access to homes for sale. Finding listings before they hit the market, being able to see the entire MLS without driving around for hours, and the ability to narrow down listings by your criteria are all huge advantages of using an agent. Agent's can find information for you about liens, property taxes, and other important critical information that you would otherwise not have access to.

3. Negotiations are critical in the purchase of real estate. Going back and forth can be exhausting, and the paperwork required to do so can be confusing. With an agent on your side, all of the paperwork and negotiations are taken care of for you. It is always important to know what you're signing and what all the clauses of a contract mean. The only way to protect yourself is to have someone who understands the market value of a property and what reasonable terms for the purchase of the property are.

4. Realtors wear many hats. Agent's work hard for their commission. There is a lot of behind the scenes advantages that some buyer's never see. Between calling around and driving around and doing due diligence on properties, they deal directly with the lenders and title companies involved in their transactions. They become the central line for all communications, and they open up escrow for you. Not only can this be a confusing process for someone without representation, it can be an exhausting one.

Who makes sure the inspection gets ordered? Who knows how to read the inspection report? Who knows what needs to be addressed from the inspection report? Your realtor.

5. Realtors are neighborhood experts. What's the traffic like in your neighborhood of interest. Are there covenants, codes, and restrctions? Are those CC&R's reasonable? Is there an HOA? How much is that fee and how often is it due? What schools will my children attend if we move there? What is the rating for those schools? Are there parks near by? Is there a water system, and if so, what fees will I pay for tapping into it?

There are MANY more questions you should be asking, but how will you know what to ask? Your realtor will provide you with information that you may have never even realized you needed to know.

In the end, it is the duty of your realtor to protect your best interests. Don't go unrepresented.

Ken Moeller

208-661-8043

KenMoeller@Windermere.com