When selling house, most people opt to work with a real estate agent to make the process easier. However not all agents are good or willing to help you.
Real estate agent is an expert who will help you sell or buy a house much faster than you would be able to do on your own. However, not all of them have good intentions and some only want to squeeze as much money from you as they can. Keep your eyes open and here’s how to notice some of the biggest tricks of a real estate agent.
Starting a Frenzy
A real estate agent has to start a buzz around a property, this is standard when looking for a new home. They do this to give the impression that many people are looking at that same property so you can speed up the entire process by thinking you have a limited time left. They will try to force you to bid against other buyers, while you have no idea how much they’re willing to offer. They might even encourage bidding wars.
If you’re buying with an agent, don’t let this influence you. Real estate agents will try to get the best price for the seller as this will make their commissions higher. While we are certain you’d want to get that dream home, you shouldn’t be in debt for it for the rest of your life.
Talking You Out of Your Best Deal
If you’re selling, don’t let anyone know your bottom line, and if you’re buying, don’t tell your agents your maximum budget. If you do, chances are this is what you’re going to get. As a seller, you and your agent need to stay on the same page. Are you looking to profit or to sell a house fast? This can influence the further process. Find the right agent for you or you might end up losing much more than you’ll profit. Believe it or not, this happens more often than people think.
Creating Phantom Offers
If you’re buying, then this might happen to you. As we’ve already mentioned, any agent wants the sale to happen at the highest possible price, as this makes their commissions higher. Sometimes, when the seller accepts the lowest offer, you might get the message from your agent telling you that someone bid a higher price, so you have to raise yours. While this is a realistic scenario, try asking for a proof of this agreement. Perhaps you might even be able to contact the seller directly to check if this is true and to discuss the price with him if it is.
Pressuring You to Use their Mortgage Lenders
Some real estate agencies have a contract with mortgage lenders, so they’ll get a percentage or fee if you get a mortgage with their help. You should know that you are in no way obliged to get a mortgage from a lender that your real estate agents recommends you. While this can sometimes be a great deal, other times you might find better agreements elsewhere. So while you should listen to any advice your agent has, take them with a grain of salt and look elsewhere, as well. Your real estate agent can have a great deal, but you should always check first.
Getting You to Pay More
If your house isn’t selling, you should probably reconsider your tactics and find a different route to go. Your agent might tell you that the solution is to pay them more. This is usually so they could cover additional advertisement costs, which might work sometimes. But usually, there are more things you need to change than just advertisement, so you should rethink where you should spend your money. It’s often much better to change your selling method altogether than to pay more to the agent who apparently doesn’t do a good job in your case.
Can You Avoid Working with a Real Estate Agent?
Many people don’t know that you can avoid working with an agent altogether. One of the ways is to sell to a reliable direct buyer, such as Sparks Property Investors LLC, who will help you earn money on your house sale without dealing with these tricks. These buyers are looking to purchase properties directly, without the help of an agent. They buy houses as-is, so you don’t have to deal with additional costs that come with working with a real estate agent, such as repair costs and maintenance. They’ll pay you in cash to enable you to get your money as soon as possible, and you might even be able to close the sale in as fast as seven days, which is much faster than traditional sales. All of this makes working with a direct buyer much more stress-free compared to working with a real estate agent.