i’ wanted to see my career in real estate. i’m commerce graduate.please any body help me in this way.
A Good Agent Will:
Know the inventory.
Have easy access to the homes.
Are trained to write contracts.
Can estimate closing costs and payments.
Coordinate inspections, paperwork and escrow.
A good real estate agent will take the time and have the patience to guide you
through the basic steps of buying a home. Choose an agent you feel comfortable with, someone who will represent your best interests. The more experienced they are, the more likely they will know how to quickly deal with problem situations as they arise. Ask for referrals or letters of recommendations.
Many people are put off by agents because they feel they are too pushy or aggressive. Working with an agent having these characteristics can be an advantage in that
things get done in a timely manner. Feel they are of good character though. If you feel your real estate agent is incompetent or not working in your best interest, interview another agent. If you are comfortable with your agent, be loyal to him/her. Don’t use them to find a house and then have a relative "in the business" write up the contract. This is the time you need to have someone who knows how to effectively negotiate without emotional constraints.
Inventory Knowledge
A good agent knows the housing market.
Agents spend a lot of time previewing properties. Daily they review new listings on the Multiple Listing Service (MLS) providing information about size, room count, amenities, condition, schools and price.
They know houses that are listed where the owner requests no yard sign.
Many agents specialize in a specific neighborhood and personally know many
of the people who live there.
Easy Access
Most homes listed for sale have lock boxes which provide agents access when
the owners are not home. Should you want to preview specific homes, the agent notifies the owners and shows the homes to you at your convenience.
Good Source of Contacts
Real estate agents are always coming in contact with loan agents, insurance agents, inspectors, contractors, and others who are involved with real estate. Over the years they acquire many names and can provide you with those who they feel are reliable.
Salesperson – Broker Relationship
A salesperson is licensed to perform real estate activities on behalf of a licensed real estate broker/company. The salesperson is responsible to the broker/company under whom he or she is licensed. All of a salesperson’s activities must be performed in the name of the real estate company.
The salesperson has no authority to receive commission directly from a client.
The broker/company is the only one licensed to act as the client’s legal agent.
An associate broker is a broker who chooses to work as a sales person under the name and supervision of another broker/owner.
The associate broker must have all the qualifications for a brokers license and pass the broker’s exam, but transacts business exactly as a salesperson would.
Buyer – Agent Relationship
When an agent and client work together, they enter into a fiduciary relationship which is governed by the law of agency. This fiduciary relationship is one of trust and confidentiality between the parties. Under this relationship the agent and his/her real estate firm has certain duties they must perform.
They are: accounting, disclosure, care, confidentiality, loyalty, and obedience. Even though the agent has this fiduciary relationship, they may not be working in buyer’s best interest. You may think the agent is truly working for you, but that depends on the type of agent they are.
Types of Agents
Exclusive Buyers Agent
Sellers Agent / Listing Agent
Dual Agent
Exclusive Buyer’s Agent
This type of agent truly works for and has loyalty to only the buyer. This agent is obligated to convey to the buyer/client any information about the seller’s willingness to accept a lower price or what the property is worth. The other types of agents are not obligated to work in the buyer’s best interest. Using an Exclusive Buyers Agent is the best way to buy a house. There is a growing trend for the Exclusive Buyers Agent.
Typically the exclusive buyer’s agent will get paid through the seller’s commission. When working with an exclusive buyer’s agent, the buyer usually signs a contract to work only with that agent. This works to both parties advantages. This can work to the buyer’s advantage through a lower sales price and better service. An agent who knows you are committed only to them is going to give you their best service from the beginning.
A buyer entering into an exclusive buyer agreement might want to start with a contract period of one week. After such a time, the buyer should be able to decide if the agent is living up to their standards and in comfortable to work with. They then have the option of extending the contract or working with another agent.
Sellers Agent / Listing Agent
The sellers agent is a listing agent. Their loyalty is to the seller. All confidential information a buyer discloses to a sellers agent is passed on to the seller. They try to get the highest price possible for the seller, which is not in the best interest of the buyer.
Dual Agent
A dual agency is created when the buyer’s agent and seller’s agent work for the same real estate company. Real estate companies prefer their agents to sell one of the companies listings. This creates a dual agency as both agents work under the same broker. A dual agent is better than a seller’s agent, but not as good as an exclusive buyer’s agent when it comes to the buyer’s best interest.
The Commission
Many first time buyers don’t want to use an agent because they wrongly assume they will have to pay them a commission. Typically the commission is paid by the seller, therefore the buyer gets the agent’s services for free. The seller usually compensates the broker/company not the salesperson with a commission for having successfully performed the service for which the broker was employed. This broker will then compensate, through escrow, the buyer’s agent’s broker for part of the commission. After escrow has closed, the broker’s of both the listing and selling agents will split this fee with the agents involved.
You Should Know
A real estate agent is qualified to provide valuable information and assistance,
but is not an expert in every aspect of real estate.
They are not permitted to give legal advice.
You should carefully read all documents that you are asked to sign.
If you do not understand the effect of any part of a document or if you desire legal or
tax advice, consult an attorney or tax advisor.
Likewise a real estate agent does not hold himself as an expert regarding the condition or boundaries of the property.
Obtain the services of the appropriate professionals.
-mohit