Selling real estate is one of the most expensive financial decisions most people ever make. Due to the high monetary stakes, many people look for a real estate agent to guide them through the process, but before diving in and calling just any agent, there are some things you should be aware of. Here are 5 things real estate agents don’t want you to know.
Agents don’t want you to know: The MLS has lost its power
One of the biggest advantages to selling a property with a real estate agent is their access to the Multiple Listing Service (MLS). Before the days of the internet, the local MLS was the only location where all for sale properties were posted and the information was only available to licensed real estate agents. While the MLS system is still used today, it has been largely democratized by large listing portals like Zillow or Realtor.com. In fact, these portals tend to have direct relationships with MLS organizations meaning that the portals get property information almost as quickly as real estate agents can. If you list your property with a real estate agent, you can request that they add your property to these portals for you however if you choose to sell on your own, listing on these portals is free.
Agents don’t want to you know: Many properties sell themselves
The real estate industry is HOT right now. Even with the financial and societal chaos caused by COVID-19, cities across the US are reporting a sellers market with a lot of competition among buyers. Many real estate agents are hardworking professionals who will do the necessary work to properly position your property for success. They take good photos, write compelling descriptions, and do additional marketing to get your property as many offers as possible, but in this market many properties will sell quickly without that professional touch.
Agents don’t want you to know: Not every agent offers the same service
Agents don’t all offer the same service when listing a property. Some real estate agents offer professional photography and drone images as part of their basic service. Others offer staging or guidance on how to improve the curb appeal of a property. Yet others don’t offer any of these services or require additional payment or fees to cover these charges. When looking for a real estate agent to sell your property, make sure you ask exactly what services they will provide.
Agents don’t want you to know: Beware of dual agency
No matter if you’re buying or selling real estate, you want to work with someone who has your best interests in mind. As a buyer it may seem obvious to call the phone number on the real estate listing or sign, but that’s not always the best idea. Listing agents have what’s called fiduciary duty to the sellers meaning that even if an agent is working with both the buyer and the seller in a real estate sale, all choices they make must be for the best interest of the seller. As a seller, this might seem like a good thing. You have the “in” with the agent on the other side of a deal, but this can also work against sellers. While an ethical agent wouldn’t do this, there are cases where an agent encourages a seller to accept an offer from that agent’s buyer client — even if it might not be the highest or best offer.
Agents don’t want you to know: You can negotiate rates
Using an agent to purchase real estate costs nothing, but sellers can expect to pay an average of 6% of the sale price of the home in commission to their real estate agent. When a property is sold, a commission is paid to the listing agent (the agent who represents the property). The listing agent then pays the agent who represented the buyer as a “thank you” of sorts for bringing a buyer to the property. As a seller, you are able to negotiate the percentage of your sale price that you are willing to pay.
Looking for an easier way to get a discount when selling real estate? While some agents and real estate brokerages offer discounted rates for discounted service, RealtyHive has created a program that negotiates with agents on your behalf to get you a discounted rate with full service. This program is available for any property almost anywhere in the US and helps sellers save thousands of dollars in real estate commissions with absolutely no cost to them. Interested in buying? Contact RealtyHive to connect with an agent who will save you money when buying your next property!