Why Should I Use a Real Estate Agent?
Analyzing the Middle-man


The question posed by this article is a question worth answering: Why do you need a real estate agent? What can a real estate agent give you? Just how much will you save (or spend) if you hire a real estate agent?

First, let's discuss what real estate agents are. They are independent sales workers who work for licensed real estate brokers. They normally earn by commission and work contractually. Depending on state laws, they may work for you, but are normally working for the seller. The best way to make sure they work for you is to sign a buyer representation agreement with the real estate agent.

So they're trying to make money off me; do I really need them?

Well, not really, as was suggested by the last line of the former paragraph. And here are some other things you should know: a real estate agent has to have a certain mastery of the real estate market in his or her community. They analyze neighborhoods, zone provisions, local zoning and tax loans, local laws and other factors that dictate how compatible a piece of property is to a buyer. Real estate agents also act as go-betweens between the buyer, you, and the broker. Suave personalities with jargons and figures that could mean a Cajun recipe to your ears can be cash register chimes to the broker.

A real estate agent who signs the buyer representation agreement then becomes a real estate buyer's representative. Research conducted by the National Association of Realtors concluded that deals made with a real estate agent are concluded and settled faster, usually in a week, and buyers are able to look at about three more properties than those who had no real estate agent present.

Basically, a real estate agent will:

- Determine unique buyer needs and wants and find prospective properties available that fit those requirements.

- Help the buyer in assessing financing capabilities and finding out what properties they pre-qualify for.

- Show properties that fit into the price range and at the same time fit the qualifications set by the buyer.

- Accompany the buyer to property viewings, or preview the prospects for the buyer, assessing if the property meets the buyer's standards.

- Act as a consultant if and when the buyer decides to put in a bid, making sure the bid stands strongly and fits the financial portfolio of the buyer.

- Research property problems and ownership history to identify possible hindrances and to help the buyer make an informed decision on buying the property.

- Present offer to the seller and the buyer.

- Negotiate with the seller on price and other details for the benefit of the buyer.

- Help in the preparation of, and after, property acquisition, contacting legal services, movers and the like.

- And, principally, represent the buyer in the whole duration of the transaction.

So, why should you hire a real estate agent? To be prepared, to ensure you're not susceptible to hidden nuances of the deal, to help you prepare for the transaction, to make sure that you understand everything, to ascertain that you do not get short-handed in the deal and that you get the best house for your needs and within your financial capabilities.

Basically, imagine going to court and having to face the jury and that rabid prosecution attorney in a legal-terminology-filled hearing without an attorney of your own. Now you got an image of what buying a house without a real estate agent would turn out like.