A GUIDE FOR HOMEBUYERS AND SELLERS
Buying or selling a home is an exciting time in your life – but it can also be overwhelming and stressful. The good news is you don’t have to handle everything alone. A real estate agent can help you navigate the complexities of real estate transactions and increase your chances of getting the best deal possible.
Table of Contents
WHAT IS A REAL ESTATE AGENT?
Real estate agents are licensed professionals who help clients buy, sell, or rent their properties, which fall under four categories: residential, commercial, industrial, or land. A real estate agent acts as an intermediary between a potential buyer or renter and the property owner, assisting their client throughout the process and helping them achieve their real estate goals.
Obtaining a license to become a real estate professional will depend on the licensing requirements of each state. Aspiring agents must take a licensing course from an accredited school, pass the state exam, activate their license, and join a brokerage firm. All agents are required to work under a licensed broker, who makes sure that agents adhere to real estate laws and regulations.
Agents who want to become real estate brokers will need to meet additional educational requirements and expand their work experience. Once they fulfill these requirements, they can open their own brokerage, hire real estate agents, and take on managerial and leadership responsibilities. Brokers can also use their license as an opportunity to work independently as an agent.
TYPES OF REAL ESTATE AGENTS
Real estate agents are classified according to the role they play in a real estate transaction. Here’s a guide to the kinds of agents you’ll encounter and how they differ from one other.
Listing or seller’s agent
Also known as a seller’s agent, a listing agent helps homeowners sell their property. They are responsible for listing the property on the market and then shepherding the transaction to a successful conclusion, which is to find a buyer for the property.
Listing agents also help with the following:
- Setting the price for your property. A listing agent will help you come up with a fair and competitive price for your property by preparing a comparative market analysis (CMA) or comps. This report will show the valuation of your real estate based on the recent sales of similar properties in the area.
- Prep your home. To get the highest return on your investment, your listing agent will help you get your home ready for buyer showings and inspections. Your agent can recommend repairs or enhancements to enhance its curb appeal and perceived value of your home. Your agent may also recommend hiring a professional real estate photographer to showcase your property at its best.
- Market your property. Once your home is prepped and photographed, your agent will list it on the MLS or Multiple Listing Service, a marketing tool used by real estate professionals to share information about properties for sale. The MLS helps real estate agents and brokers collaborate and provide accurate and up-to-date information to their clients.
- Creating virtual tours
- Scheduling showings and open houses
- Creating compelling description of your property to accompany your listing
- Using social media platforms like Facebook, Instagram, TikTok, and X (formerly Twitter) to promote your property
- Yard signs announcing that your property is for sale
- Launch an email marketing campaign to target potential buyers
- Negotiate on your behalf. Now that your listing agent has helped you come up with a competitive price for your home, they will now help you negotiate for the best possible deal. That can mean advising you on offers and counteroffers. Upon your request, they may also consider contingencies or conditions that must be met if the sale is to proceed. While most real estate contingencies are designed to protect the interests of the buyer, there are some situations where sellers may include contingencies in a real estate transaction. For example, a seller might request a leaseback contingency, allowing them to remain in the home for a specified period after the closing. This can provide the seller with additional time to move out and find a new residence.
Your agent will also take into account the current real estate landscape when setting your home’s listing price. For example, if there are more sellers than there are buyers in your area, your agent may recommend a slightly lower price than the comps indicate. This strategy allows you to gain the upper hand over sellers with higher-priced listings.
Marketing your property also involves, among many other things, the following:
Buyer’s agent
The real estate market can be a tough one to navigate, especially if you’re a first-time homebuyer. Chances are you may still not know the ins and outs of the home-buying process, much less the current market conditions that are likely to impact your buying decisions.
This is where the expertise and skills of a buyer’s agent come in. As the name suggests, a buyer’s agent is a real estate agent who represents the interests of homebuyers. They are tasked with helping you find the home that suits your needs and budget. In addition, a good buyer’s agent will find solutions to issues that may arise during the buying process.
A buyer’s agent will also help you with the following:
- Provide a shortlist of homes for sale. Doing your home search on your own can be overwhelming, especially if you’re looking in an area with hundreds of listings. A buyer’s agent will help narrow down your options based on your preferences and budget. They are aware of properties that have just been listed and the market activity in the area. They can also seek the help of fellow agents for properties that match your criteria.
- Guide you through the whole process. The homebuying process will depend on the type of property you’re planning to buy. Real estate laws also vary per state. Without sufficient knowledge of these laws and the fluid real estate market as of late, your home buying experience may turn out to be more stressful than it should.
By working with an agent, you have someone who’ll help you understand both the process and the current market conditions. They’ll come up with a strategy based on your unique situation and let you know what you need to prepare to make the transaction go as smoothly as possible. Your agent will also explain legal terminologies to you.
- Schedule showings. Once you start looking at the shortlisted properties, your agent will prepare everything you need ahead of time. They will set up viewing appointments based on your preferred schedule. In case you’re not available and you’re working on a tight time frame, your agent can check out the homes on your behalf. They can give you a call so you can also view the home remotely.
Even before the scheduled showing, your agent will brief you on the things you need to know about each of the homes you’ll visit. They’ll walk you through all the features and amenities, its highlights, as well as potential repair and maintenance issues. Remember, your agent is obligated to share with you all information relevant to the transaction, and any advice they give is meant to help you arrive at the best decision on which property to buy.
- Help you make an offer. Once you’ve decided which property to purchase, your agent will help you come up with an offer. The price will be based on the market value of the property, but your agent will also consider the price range that sellers will most likely accept. If the seller comes up with a counteroffer, your agent will negotiate on your behalf to get you the best possible deal.
Dual agent
A dual agent is a real estate agent or brokerage who represents the interests of both buyers and sellers in the same transaction. A brokerage is a firm under which real estate agents operate.
Here are the pros and cons of working with a dual agent:
| PROS | CONS |
| Speed
A single point of contact can speed up the transaction |
Conflict of interest
Balancing the interests of both buyer and seller can be challenging when negotiating terms and price |
| Efficiency
Having just one agent handling showings, inspections, etc. can be more efficient |
Limited advice
A dual agent may limit their advice or withhold their opinions to avoid being perceived as biased |
| Faster decision making
With one agent managing both parties, decision-making can be more immediate |
Confidentiality
Disclosing information shared by either buyer or seller may compromise confidentiality, especially when negotiating terms |
| Smoother transaction
A dual agent can avoid potential conflicts because they understand the needs of both buyer and seller |
Regulations
In certain areas, there may be specific requirements for obtaining informed consent from buyer and seller |
Realtor
People often use the terms “real estate agent” and “Realtor” interchangeably. While agents and Realtors have the same tasks and duties, there is a difference between both titles.
Realtor is the trademarked brand name of the National Association of REALTORS® (NAR). Realtor is also the designation the association grants every qualified member who completes a Code of Ethics and Standards of Practice training. Thus, only bonafide members of the NAR can rightfully call themselves Realtors, a term that is capitalized because it is also a registered trademark.
In a nutshell, all Realtors are real estate agents, but not all real estate agents are Realtors.
With more than 1.5 million members, the NAR can provide an agent a competitive advantage such as:
- Easier and wider access to listings. All MLS entities are governed by NAR. And in some states or regions, members of the local NAR board are the only ones who can access the MLS. This means when you hire a Realtor in Dublin, Ohio, you have better access to listings in the area. This access also makes it easier for your Realtor to provide you with up-to-date market trends and analysis to help you with your real estate decisions.
- Additional training and certifications. NAR members have access to continuing education and specialty knowledge training courses to boost their real estate knowledge and skills. They are also required to pass a Code of Ethics Training to ensure they fully understand their duties to clients, the public, and fellow realtors. This training is retaken every three years.
- Connections with other real estate professionals. NAR membership is not just limited to real estate agents. The organization is open to professionals engaged in real estate, such as brokers, property managers, and appraisers. Being a Realtor also means vast connections with professional services such as home repair and maintenance companies, inspectors, and other related specialists. For instance, if you need something to complete a real estate transaction in the Columbus area, a Realtor in Dublin, Ohio can easily connect you with trusted and experienced industry professionals in their network.
HOW TO FIND THE RIGHT REAL ESTATE AGENT FOR YOUR NEEDS
In a highly competitive real estate market, you need a good real estate agent to work with you. To find the right agent, you need to:
- Identify your real estate needs and goals
- List down the qualities you want in an agent
Before you start searching for real estate agents, you first need to be clear about knowing what you want.
Are you looking to sell a luxury estate in Upper Arlington? Limit your search to real estate agents with years of experience in selling properties to affluent and high net worth individuals.
Planning to settle down and buy a single-family home in a suburb in Columbus? You might want to work with an experienced Realtor in Dublin, Ohio. They know the area like the back of their hand, along with access to MLS listings in the area.
Remember, buying or selling a home is an important milestone in your life and a huge financial commitment. So when looking for real estate agents, choose the best in their field and one with the following qualities:
- Honesty and integrity. A good real estate agent always puts their clients’ best interests ahead of personal or financial gain. They are transparent at providing relevant information to help their clients make informed decisions.
- Communication and negotiation skills. The real estate market is time-sensitive, so regular communication is crucial. Choose an agent who is responsive and proactively gives you updates about the transaction. Your agent should also have proven negotiation skills. How did this skill manifest in past transactions? Ask them and let them provide you with references.
- Knowledge and experience. Choose someone who stays abreast of local and national market trends. Find out how long the agent has worked in the area you plan to move to and how they’ve been in the business.
- Tenacity and resourcefulness. Look for an agent who has the capacity to turn challenges into opportunities. Ask them for actual instances in which they’ve turned things around. The real estate market is rapidly changing and there will be new roadblocks as you go through the buying or selling process. But when your agent is dedicated and resourceful, they will be able to come up with solutions to resolve problems.
- Empathy and compassion. A good real estate agent is sensitive to your needs. Choose someone who takes the time to listen to you and is willing to create a home buying or selling strategy based on your circumstances. There is no one-size-fits-all approach to real estate, as every client’s needs and preferences are different.
Schedule an interview with agents whose credentials fit the bill based on their website and client testimonials. The face-to-face interview allows you to see whether their work styles suit you. This is also the opportunity to ask about their process, previous sales, work experience, and other situational questions to see if they’re a good fit.
After the interview, ask the candidate if they can provide you with a list of references. Most agents know the drill and will provide you a list of their past clients. Ask former clients about their experience working with the agent and how the agent helped them with their real estate needs. You can also search for reviews and testimonials online.
Before you sign a contract with an agent, verify their commission fees. The standard practice is:
- Sellers usually pay the real estate agent’s commission fees. According to NAR, “The fee is paid by the seller at the settlement table, where the fee is subtracted from the proceeds of the home sale.”
- The commission amounts to around 5% to 6% of the sale price of the home.
- The buying agent and the seller’s agent split the commission fee. A dual agent gets to keep the entire commission.
- Closing costs, which are separate from real estate fees, are paid for by buyer and seller. Closing costs represent expenses incurred during the processing of loans, title company fees, taxes or homeowners association (HOA) dues, etc. Closing costs amount to around 3.5% of the sale price of a home and must be paid at the settlement table. How much do buyers and sellers share in closing costs? While this is negotiable, buyers usually pay 3% to 4% of the home price in closing costs, while the seller springs for just 1% to 3%, according to NAR.
Your contract should also specify how long the agent will represent you. Other transaction and compliance fees should also be clearly outlined in the contract.
If there are items in the contract you think won’t work for you, negotiate with the agent. If it doesn’t work out, move on and look for another agent.
WORK WITH A REPUTABLE REALTOR IN DUBLIN, OHIO
Choosing the right agent or Realtor to work with is crucial to a successful real estate transaction. Find someone with the right mix of technical expertise, people skills, and dedication to advocate for you.
If you’re looking for a reputable Realtor in Dublin, Ohio, The Mathias Team, LLC will be happy to work with you. We have been serving the community for 38 years, which is a testament to our commitment, resilience, and the trust of our clients throughout the years.
If you’re buying or selling a house in the Greater Columbus area of Ohio, contact The Mathias Team at 614.580.1662 or send us an email to schedule a consultation. We can’t wait to hear from you!