Buying or selling a property is always a big decision in life. It’s a big decision because a lot rides on it in terms of emotions, time and money. The stakes are often high and maybe that’s why people fear they would set a foot wrong. Plus, a property deal involves so many complex steps and processes that a large majority often shudders at the thought of going solo.
So obviously the challenges become more daunting for those who decide to buy or sell a property privately without seeking any help. Should you do that?
Well, the conventional wisdom says you should not take risks when it comes to property. And why would you when you can seek professional help in the form of hiring a real estate broker. That would almost always ensure a smooth sailing for any type of property work.
Plus, such agents work like an expert – they will take away all the hassles of property dealing, do the heavy-lifting and make life a lot easier for you. So, you just relax, and delegate all the key tasks to the person who should be doing it in the first place!
What Is A Real Estate Broker?
A real estate agent is a professional licensed in their province to facilitate the purchase or sale of property. He/she is an individual who has undergone certain courses or passed an associated exam to get the license to practice in the real estate market. The job of a real estate agent is to represent both buyers and sellers in a transaction and ensure fair and honest deals to both the concerned parties.
Role of a Real Estate Agent
Real estate agents exist to bring both the parties – buyers and sellers – together for property transaction. Their role is obviously crucial with the added responsibility of ensuring a fair deal to everyone.
- Role for a Seller
When you’re a seller, you would obviously want a good buyer, and a fair price for your property. And an agent will do exactly that. They will help you market and sell your home to the best suited buyer.
And before getting the sale done, the agent will sit down with you and help determine the fair market value of the property. Once the value is set, your home will then be advertised to potential buyers.
The agent will then leverage their vast network to search and arrange a suitable buyer for your property. They will also get the interested parties to view your home.
Further, the agent may ask you – but not force you – to sign a listing agreement that will have all the terms and conditions of the relationship.
This agreement will include every key detail – right from the way the agent will advertise your property to the percentage amount of the property deal you, i.e. the seller, will pay to the agent. Any payment to the agent whatsoever shall incur to the agent in case of a sale, not and never otherwise.
- Role for a Buyer
For a buyer, the job of a realtor is to help them find what they are looking for. The agent will obviously first get an idea of the buyer’s estimated budget and then base the property search in that particular price category.
The agent will show around the property in exact specifications of the buyer’s need, be it in terms of price, locality, and design and size etc. The agent will help the buyer prepare an offer to purchase and then give that offer to the sellers.
In addition, an agent is legally bound to provide a written agreement (known as BRA or Buyer Representation Agreement) to the buyer that lists the scope of services and agent’s fees. The buyer will have to sign the agreement to consent in written that he/she will exclusively avail the service of this particular agent for a specific period of time.
Whether or not a buyer signs a BRA, they are never legally obligated to purchase a property within a stipulated time frame.
Real Value of a Property Agent
A property transaction without involving an agent can become very hectic for both buyers as well as sellers. It’s the agent who stays active throughout the entire process with the onerous task of getting the papers checked, verified and processed in due course. As a neutral participant to the deal, it’s the agent who ensures that a legally valid property is bought or sold and a fair transaction is done in the end.
Properties are a high-stake decision and you’d never want to set a foot wrong. With so many layers and steps involved, chances of making an error are always there. Thanks to a real estate agent, you would expect everything to fall into places they take care of the interests of both the parties.