Mistakes Sellers Make Choosing A Realtor On Purchase And Listing
This Article On Mistakes Sellers Make Choosing A Realtor On Purchase And Listing Was PUBLISHED On July 17th, 2019
Selling a home should be similar to other business transactions, but often sellers make emotional, impulsive decisions that cost them time and money.
In this blog, we will cover and discuss Mistakes Sellers Make Choosing A Realtor On Purchase And Listing.
Most Common Mistakes Sellers Make Choosing A Realtor On Purchase And Listing
Here are the most common mistakes sellers make choosing a realtor
“I have a friend or family member in real estate”
- Friendship isn’t enough to establish good credentials
- Use higher standards when hiring an agent, just as you would if you were hiring an attorney or a doctor
- Does your friend or family member practice full-time?
- If they are only doing a few transactions a year, they may not fully understand the market and trends or have the experience level necessary to appropriately serve you
- If a problem arises while selling your home, you can risk damaging the relationship or have a hard decision to make, deciding to fire your friend or lose money by not firing them
Mistakes Sellers Make Choosing A Realtor If Agent Only Agrees On Asking Price
2. “You’re the only agent that agrees with me on the asking price”
Some agents will tell you what you want to hear to try to gain your business.
- You have to think twice when several agents disagree with your asking price
- You may feel someone is finally on your team but the team will quickly fall apart if your price is too high, since showing activity will be low, if any, and it will sit on the market for a long time
- When you finally drop the price to the appropriate value, your house becomes stigmatized and buyers believe something must be wrong with it
- The offers will come in lower and you may find yourself accepting a price lower than what you could have received had the price been properly priced when it first went on the market
Pricing a property too high will only make your competition look that much better.
Mistakes Sellers Make Choosing A Realtor On Purchase And Listing Due To Commission
3. ” I can sell the house by myself and I can save the 6% realtor’s commission”
- Ever hear you get what you pay for?
- Paying a low commission will often get you a sign in the yard and your listing in the Multiple Listing Service, but little additional marketing or effort from your agent
Real Estate Agent’s Commission
Real estate companies and agents put up their own funds to market and advertise your property.
- Marketing and advertising cost money
- The lower the commission, the less incentive an agent has to put up their own money to market your home and extra effort required to get it sold
- The incentive is an important component in sales
- A full-service agent earning a full commission will often drop everything to deal with issues and make sure you are a happy customer
- For an agent earning a small commission, your home will not be a priority
- The incentive is also important to the buyer’s agent, so be sure to offer a fair commission to that side as well since there are almost always two agents involved in every sale
- One agent is the listing agent and the other is the buyer’s agent
- If a listing agent drops their commission, did they also drop the commission paid to the buyers’ agent?
- If so, you won’t find as many agents willing to show your house
- Instead, they’ll be showing the competition that does offer a fair commission to the buyer’s agent
Finally, negotiating is an important skill for a listing agent. It’s actually a good thing when the agent doesn’t drop the commission at the drop of a hat and negotiates it!
About The Author Of Common Mistakes Sellers Make Choosing A Realtor: Julie Hayward
Julie Hayward is an extremely popular Chicago Area realtor and the owner-operator of Edge Realty LLC. Julie is a veteran real estate agent and has sold and listed countless properties in Cook, Lake, Will, DuPage, Kane, and McHenry Counties. Known by many as an expert negotiator, Julie’s passion is representing first time home buyers realize their dream of homeownership. Julie Hayward is partners with her real estate husband Chad Hayward, who is a prominent real estate and bankruptcy attorney in Chicago, and due to working closely with the Law Offices of Chad Hayward, she became an expert in short sales. Julie Hayward knows the ins and outs of the short sale process. There are hundreds of home sellers that Julie Hayward has helped list their homes via short sale and helping the home seller avoid the foreclosure process. Julie also knows how to deal with banks when representing home buyers who are interested in purchasing a short sale listing. Short sale homes are much more difficult to purchase due to the sellers needing the approval of their lender and can take much longer than a traditional home purchase by home sellers.
Julie Hayward, the owner/broker of Edge Realty LLC, can be reached 7 days a week by phone at 312-504-9228 or by email at email@example.com. You can also visit Edge Realty LLC at www.edgerealtypro.com.
If you are looking for a real estate attorney to represent you, Chad M. Hayward can be reached at 312-867-3640 or visit the Law Offices of Chad M. Hayward at www.haywardlawoffices.com.