Must You Hire a Realtor?

Discussion in 'Buying & Selling Real Estate' started by Rainman, Nov 24, 2014.

  1. Rainman

    Rainman Senior Investor

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    Sure real estate agents know their stuff but you'll have to pay them a fee for their services. This would significantly increase the amount of cash you'd spend when you buy property. Would it be better to cut out real estate agents out of the picture so you can pocket the fees they'd have earned or for the sake of convenience and safety let them do all the negotiating and stuff for you?
     
  2. SteakTartare

    SteakTartare Senior Investor

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    It really depends on the area. Normally, I've dealt with a Realtor. However, in some small/rural towns, dealing with sales directly can work. As to realtors knowing their stuff, for every good one I've dealt with, there were three others who were hacks. YMMV.
     
  3. ally79

    ally79 Guest

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    There is no legal requirement that you have a realtor. However, if you are trying to look at a lot of properties they can make it easier by providing lockbox codes and things of that nature.
     
  4. JR Ewing

    JR Ewing Super Moderator Staff Member

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    I have worked with and without them.

    I have found that a good one saves me a great deal of time and headaches when selling - weeding out unqualified buyers and unreasonable lowballing would-be buyers, etc.

    I have found that those who do it as their household's primary source of income tend to be better to work with - they're more reliable, motivated, and realistic on the whole in my experience. Those who do it as a secondary source of household income tend to not be as serious and dedicated, and can be a pain in the ass to work with.

    Of course there are always plenty of exceptions either way.

    I tend to not use them when buying - I'll just make an offer (usually cash) to the buyer or the buyer's realtor if they have one and go from there.
     
  5. Investor

    Investor Well-Known Member

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    I'm good friends with a Realtor, Realtors know the market as my dear friend @Rainman said, you may be very well losing out on a good deal if you don't hire one, so..say for instances you want to buy a house, and you buy one for $300,000.I guarantee you that a Realtor could have found you a nicer home for just that amount as well, it's their job to provide you with the best you can get. Hiring one does cut into your proceeds yes, but think of it as a benefit. And! if anyone wants a house to buy in the sweet island of Jamaica, please inbox! :)
     
  6. healthandfitness

    healthandfitness Well-Known Member

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    I often side step the Realtor when I am purchasing a property. However if you are buying a property that is listed by a Realtor that was secured by the seller, you can find your own Realtor to negotiate on your behalf and the sellers Realtor has to split the fees. Many people think that they have to pay a Realtor if they are the buyer, and that is not the case. The sellers Realtor will get less money, but there will be no expense incurred by you the purchaser.
     
  7. gats

    gats Senior Investor

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    It really depends on the area and the size of the project you have going. If you are renting out your vacation home for the summer, then you probably won't really need to bother with one.
     
  8. crimsonghost747

    crimsonghost747 Senior Investor

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    While you don't have to have one, I would recommend having one. Yes it does cost a bit of money but most of them know their business and can really make everything so much easier, faster and safer for you. This is one of those things where I don't mind paying a bit of money for good service.
     
  9. My401K

    My401K Well-Known Member

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    You do not have to have a Realtor. But you better be prepared to do the stuff they do on your behalf, first of all will you or your lawyer do the MLS listing? That is how other realtors find the property. Chances are your buyer may have a Realtor thats charges a commission at closing. So you don't get out of it 100% commission wise. Are you going to do the showings and open houses? Are you ready to answer questions from callers?

    What if you are asked to fill out forms for your buyers lender regarding the property- that can open you for a potential liability through no fault of your own. Things like that take time to do, there may be documents needed. There is work involved- I say better to hire a good Realtor.
     
  10. shilpa123

    shilpa123 Banned

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    I think it is best to hire any realtor as I believe that they know their job very well. I believe it is really useful to do it that way and spend some money on it. I think it can be great to see if anyone can actually do all the jobs of realtor. It is really a difficult job.
     

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