To Use a Real Estate Agent, or Not: Pros and Cons

Just about everyone is involved in the real estate market at some point in life, be it as a homeowner, investor, landlord or all three. No matter what, though, anyone who enters the market should be looking for the best deal, saving money that can be reinvested or kept in reserve. In order to get the best possible deal in this market, weighing one’s options is essential. Going about selling one’s house the right way can save thousands of dollars and make this complicated and difficult process easier.

The first decision a prospective seller needs to make is whether or not to use a real estate agent to help manage the task. Both options have their benefits and downsides, so it is important to carefully consider this decision.

Good  real estate training can help a homeowner make an educated choice on this matter.

Using a real estate agent to sell one’s home means working with an expert on the local real estate industry. A good real estate agent has access to a wide range of marketing tools. She knows how to show a house and how to interact with potential buyers. Real estate agents can help with all aspects of the house selling process, including listing, pricing, making offers and counteroffers, and dealing with the necessary documentation. Working with a real estate agent generally gets houses sold quickly and at a fair price.

Although there are many benefits to working with a real estate agent, this process also has several significant drawbacks. Most agents require a certain commission to be paid based on the house’s final sale price. Although this gives the agent an incentive to sell the house for as much as possible, it still cuts into the seller’s bottom line. Furthermore, a given real estate agent may be trying to sell many houses at once, and could send prospective buyers to other homes instead of the seller’s. There is a chance that one home may stay listed for many months while the agent sells other houses.

The home owner’s other primary option is to try and sell the house himself. Perhaps the greatest benefit of this option is financial: The homeowner does not need to pay a commission. One hundred percent of the sale price goes directly to the seller. Additionally, the homeowner can really push the selling points of his own house since that is the only property he wants to sell.

Trying to sell without an agent’s help also has many downsides.

The homeowner must do plenty of market research, show the house to prospective buyers himself and carry out negotiations personally. This is a substantial time commitment that many people simply cannot fit into their busy schedules. In addition, the homeowner does not have access to a real estate agent’s resources and network of contacts, which makes the process substantially less efficient. Taking real estate courses can make this difficult process easier.

Although not paying a real estate agent can save the seller plenty of money, many homeowners do not know how to gauge the market and price their homes accordingly. Selling the house too cheaply can more than offset the savings from not using an agent. Conversely, many homeowners price their homes too high, at prices where they do not sell. The best real estate courses provide homeowners with the tools to price their homes ideally.

When weighing these two options, it is important to consider the potential cost of using a real estate agent versus the benefits of working with a professional. Homeowners who wish to do their own selling should investigate training options to make sure they will get the best deal.