Let’s get real. Do you have to use a real estate agent when buying or selling a home?
The answer, of course, is no. You can absolutely go it alone, and there are people who opt to do so every year.
After all, with the internet at your fingertips, you can search for homes, look up property values, and even negotiate deals on your own.
Yet, even with all that info, 89% of people choose to work with a professional, according to a report from the National Association of Realtors.
Today, I want to go back to the basics and discuss the difference between a buyer’s agent and a seller’s agent—and what each can do for you during your real estate transaction.
Buyer’s Agents
Sites like Zillow can help you find your dream home by browsing listings online, and they even alert you to open house schedules. These sites can also connect you with a local real estate professional if you are not already working with one.
A buyer’s agent goes beyond the vast amount of information online and acts as your personal guide throughout the entire home buying process. Think of them as your real estate advocate, someone who is entirely focused on your needs and interests.
Realtor.com compiled 111 things buyer’s agents do throughout the real estate transaction, but here, we’ll just focus on some of the key elements of their work:
Finding the Perfect Home
As I noted above, you can search for homes online, but can you really spot the difference between a house that’s priced to sell and one that’s hiding a laundry list of issues?
According to the 2023 Profile of Home Buyers and Sellers, 89% of buyers used an agent to purchase their home, with 50% citing that the most valuable service was helping them find the right property. Your agent will use their knowledge of the local market to help you find properties that match your criteria. They’ll schedule showings, provide insights, and help you weigh the pros and cons of each home.
Negotiating Price and Terms
You might think you can haggle your way to a better deal, but without an agent, you’re missing out on the subtle art of negotiation. Keep in mind that negotiations can happen at different points throughout the transaction, such as getting an offer accepted and after inspection and appraisals are complete.
The NAR report highlights that agents are essential in negotiating better contract terms and handling the complexities of the sale. A good buyer’s agent knows how to sweeten the deal in ways you might not even consider—like securing repairs or getting the seller to cover closing costs.
Navigating Paperwork
The paperwork involved in buying a home can be a maze of legalese. This can be overwhelming for many. That’s why 90% of buyers found their agent to be a useful information source throughout the process, ensuring every “i” is dotted and every “t” is crossed.
Seller’s Agents
On the other side of the deal, a seller’s agent (also known as a listing agent) is dedicated to helping homeowners sell their property quickly and at the best price possible. They’re the ones who market your home, negotiate with buyers and handle the logistics of the sale.
Let’s take a look at some of the key responsibilities of a listing agent.
Pricing the Home Correctly
Pricing your home is part data and part art. Get it wrong, and you could scare off buyers or leave money on the table. The right price attracts serious buyers and maximizes your profit.
Over the past few years, properties were flying off the market in a matter of days. Yet, even then, for sale by owner (FSBO) homes sold for significantly less than agent-assisted homes. In 2022, FSBOs sold for a median price of $310,000 compared to a median price $405,000 of agent-assisted homes, according to NAR.
Seller’s agents use data, experience, and market insight to price your home strategically—something an online calculator just can’t replicate.
Marketing the Property
A seller’s agent will create a comprehensive marketing plan to showcase your home to attract serious buyers, not just window shoppers. This includes professional photos, videos, an online social plan, open houses, and sometimes even staging the home to make it more appealing to buyers.
Interested in learning about our marketing plan? Check it out here. [Link to your marketing plan or include a “contact me” option.]
Handling Offers and Negotiations
Without an agent, you’re the one fielding offers, counter-offers, and everything in between. It sounds empowering until you’re faced with a buyer who’s playing hardball. That’s why 87% of sellers said they would definitely or probably recommend their agent for future services. A seller’s agent handles the back-and-forth, ensuring you don’t cave under pressure or get taken for a ride.
In addition, they manage the entire sale process beyond getting an offer accepted—from coordination of inspectors and appraisers to getting to the closing table on time.
Final Thoughts
It’s tempting to think you can save money on commissions without an agent. But when buying or selling a property, the stakes are high. A skilled real estate agent isn’t just another expense; they bring a level of expertise and market knowledge that can save you time, stress, and money.
And that’s an investment that can make all the difference.
Lavanya
Real Estate Investor & Agent
Excellent explanation of the different roles buyer’s and seller’s agents play in today’s market. Having the right agent can make a huge difference when it comes to negotiations, pricing, and marketing strategy. Professional visuals are also essential now, and companies like BeatColor, a real estate photo and video editing company, help agents present listings much more effectively online.
ReplyDelete