We often hear the question, “Why should I even work with a Realtor® when I buy a house?” It’s important to understand the benefits of working with a Realtor or real estate agent when you’re in the process of buying a new home. You may think that you can manage on your own, and maybe at one point that was possible. But in today’s housing market, having a real estate agent or Realtor on your side is exceptionally important.
Document Drafting and Legalese
If you hated writing papers in high school, you’ll really hate attempting to do a comparative market analysis or trying to flesh out a purchase agreement. All real estate agents and Realtors have experience working with these documents and have access to a variety of templates that make sure your contract follows very specific laws, styles, and structures with the appropriate adjustments for your specific situation. Additionally, a Realtor knows what is in these contracts, making sure that all of the appropriate legal situations are accounted for. For example, if a condition of the sale is that the seller need to replace the roof, the Realtor will make sure this is done in a timely and appropriate manner. If not, the Realtor will know when you can or cannot back out of a purchase agreement.
While you may think you’re an excellent haggler when you are at the street markets on vacation, negotiating a home purchase is a whole other ballgame. There are many different intricacies involved in a home negotiation and an experienced Realtor will know what you can get for your money without losing the deal. Additionally, a Realtor knows what the market in the area looks like and what other, similar homes will be going for. This gives you more leverage on your purchase. All of these time-based requests are also handled through the different party’s representation so that you don’t have to fuss about midnight deadlines and making counter-offers that you aren’t prepared for.
In many cases and in many states, Realtors have a fiduciary responsibility to their clients. This means they can’t lie to you and can’t make decisions that would be in your detriment. They have a legal obligation to do what is best for you and to follow your requests. They cannot make agreements that could harm you financially, but benefit them, without legal and professional repercussions. Also, the way many real estate agents get their client base is through referrals. If they make a significant mistake, they can’t count on you to pass their name along to friends or family also buying. This can severely impact their business overall.
As a Buyer, it Doesn’t Save You Money
One of the main reasons buyers try to navigate the housing market on their own is that there is a misconception that doing so will save money in commission fees. In fact, doing so is simply a disservice to yourself. The commission for the buyer’s agent is already worked into the sales agreement on the seller’s side and is typically a split percentage with the selling agent. While there can be changes made to a purchase agreement to save you money, that so rarely happens that it is worth taking advantage of the fact that you are able to have a buyer’s agent for an already agreed upon fee in order to protect your interests in the buying process.
Whenever you look to buy real estate in the Santa Fe area, there is no better representation than a Berkshire Hathaway Realtor or real estate agent. You can be confident that we will represent your best interests and work hard for you. Contact your local Berkshire Hathaway office to set up a meeting today!