Buying or selling a home is one of the biggest financial decisions that you need to make in your lifetime. A buyer’s agent can help you to navigate the process quickly, saving you time and money. There are many reasons why having a buyer’s agent by your side can be very helpful when looking for a new home or selling your current one.
However, on the other hand, many experienced buyers and sellers say having a buyer’s agent is a liability, and they can save their costs by making such deals on their own. Below, we’ll examine whether it’s worth having a buyer’s agent today.
The Benefits of Having a Buyer’s Agent
Buying a house is an expensive and time-consuming endeavour, so it’s crucial to find the right home for you. It is impossible to scroll around the city to choose the best property, and you can save time by choosing a buyer’s agent.
- They can save you time and money: The biggest advantage of having an agent is that they will help you with all aspects of the purchase process — from finding a home that fits your needs to ensure that everything goes smoothly during closing. Buyers’ agents will often have access to multiple listings for their clients, and they can help you to choose the right property based on your budget and preferences. They’ll also be able to help negotiate price reductions on homes listed at above-market value.
- They’ll know what questions to ask: Most buyers’ agents are experienced in buying homes in the area where they work and will likely have more information than you do about nearby schools, parks, and other community amenities. They’ll also know what questions to ask when visiting the home and can help you spot things that might need repairs or renovations.
- They’ll simplify the process: A buyer’s agent can help save you time by coordinating all inspections, appraisals, and other necessary steps to close your deal. They’ll also help you to make decisions and negotiate with the seller. For example, if you want to buy an old property then you have to spend a hefty amount to renovate the property after you purchase. Your agent can help you to deduct this renovation cost from your property deal.
- They’ll help you find the right home: A buyer’s agent knows what’s available in your price range and what features are important to you (schools, parks, etc.). They can also keep an eye out for homes that might not be on the market yet but could be soon. You can easily make a down payment for such under-construction projects, and you can avail a huge discount.
The Disadvantages of Having a Buyer’s Agent:
Even with all the advantages, they bring to the table, the fact is that having a buyer’s agent can be a distinct disadvantage in some circumstances. For example, if you’re a first-time buyer who wants to learn about the process and make your own decisions, having someone else do all the work can be frustrating. You can also save money by not hiring an agent.
- You have to pay them a fee to represent you: There are no freebies in real estate. If you want the best deal for your investment, then you have to pay for it. The buyer’s agent will earn a percentage of the sales price of your home as their fee. This can range from 2%—which is pretty typical—up to 6%, depending on the market.
- They are not always familiar with your particular property and location: If you are looking to buy a property in an area where they have never done business before, then they may not be aware of the actual value of your home. They may also be unfamiliar with tax laws and other regulations that apply to your area.
- They aren’t you: They can’t put themselves in your shoes and determine what you need from the property, so they may be unable to help you find the best deal possible for your needs and budget.
If you’re a first-time buyer, a buyers agent can help you find the property that suits your needs. They can also help you to negotiate with sellers and get you the best possible deal.