Recently, there has been growing controversy in the real estate market surrounding the value that buyer’s agents bring to transactions. This debate primarily revolves around concerns regarding transparency, conflicts of interest, and the structure of compensation.
Moreover, there is a broader discussion about the actual value-added services provided by buyer’s agents in an age where information is more accessible to consumers than ever before. With online listings and real estate platforms offering extensive property details, some question whether the traditional role of the buyer’s agent as a transaction manager, information gatekeeper and negotiator is still as crucial.
In short, we believe it is extremely important for both buyers and sellers to have their own representation. Here’s why!
While it’s true that consumers have the option to buy and sell real estate without a real estate agent, doing so comes with significant risks and challenges. Real estate transactions in New York City involve complex legal and financial considerations that require specialized knowledge and expertise to navigate effectively. Without an agent, buyers and sellers may struggle to accurately price properties, negotiate terms, and handle the myriad of details involved in closing a deal. Agents provide valuable insights into market conditions, access to comprehensive property databases, and strategic advice on maximizing value or finding the right property. They also act as intermediaries, managing communications between parties and facilitating a smoother transaction process. Opting to forgo an agent can result in costly mistakes, missed opportunities, and increased stress. The expertise and support of real estate agents is indispensable for many individuals navigating the complexities of real estate transactions.
Buyers want 3 things:
1. Find the right property that meets their timing needs.
2. Get it at the best price possible; and
3. Get it with as few hassles as possible.
Buyer’s agents provide services that generally fall into six categories:
1. Consulting, organizing, explaining – A real estate transaction is a team process. A buyer’s agent is expert at getting through the labyrinth that can often be NYC real estate. An agent assists in set a buyer’s expectations of their wants and needs to create the result they seek. Preparing buyers for the financial requirements of purchasing including advising on the mortgage pre-approval process.
2. Creating the team for success – The agent’s goal is to understand the buyer’s needs, motivations, and financial situation. Buying a property isn’t to be taken lightly — and we advise you to make the right choice and introduce a broad range of resources.
3. Finding the right home – Uncover as many properties as possible that match the criteria of the buyer. Not all properties will be right for you. An agent will help narrow down all available options on behalf of the buyer.
4. Negotiating the contract – Negotiate the best price and terms possible and support the buyer’s attorney throughout the contract negotiation and due diligence process.
5. Preparing the board package – The board process can be invasive and stressful. A good agent knows what boards are looking for and how to present the buyer in the best light, even for buyers with complex backgrounds/financials.
6. Getting to the closing table – Assist in the final transaction requirements so the buyers can become the proud owners of the property of their choice.
Our best advice is to align yourself with an agent who has your back above all else. Having buyer representation is worth every penny you may spend in commission if compensation is not offered by the seller. Penny wise and pound foolish is not the way to go with one of the largest asset purchases of your life. Select a professional that can offer (1) a structured, organized process that saves time and avoids frustration; (2) answer your questions promptly and can provide resources, including appraisers, attorneys, and lenders; (3) will provide thorough research into specific properties, market conditions, and trends; and (4) 100% representation of your interests throughout the buying process—from finding a home and presenting your contract offer to negotiation and close.
Real estate agents assist in navigating an ever-evolving landscape. By engaging an agent, buyers benefit from open, honest communication, while navigating the complexities of the market with confidence and clarity.
We are here to be your trusted advisors. If you have any questions, please call us.
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