Nowadays, tech savvy homeowners have access to so much information online, giving sellers an advantage when it comes to selling their home.
But, there’s a lot more that goes into it than just accepting an offer. Here are some key things you might not have thought about.
In most cases, serious buyers are working with a Realtor to help them buy a house. On average, every Realtor can be working with at least 2 buyers at any given time.
When you hire a Realtor to list your house, they post your home on MLS. It then gets distributed to multiple channels used by Realtors and their clients to set up home searches and showings.
This by far, is where the widest pool of potential buyers would be. Without access to this, those potential buyers will never see your home, or even know it is for sale.
Even though you may be able to post your home online, you don’t have access to the MLS database without a Realtor. You will be missing out on the maximum exposure for your property, and missing out on MANY showings since Realtors almost exclusively use MLS to set up appointments.
A key factor in driving a higher selling price is to get the maximum amount of interest in your property, often prompting buyers to pay more for your home.
- PROFESSIONAL LISTING PREPARATION, APPOINTMENT MANAGEMENT AND SECURITY
Realtors are experienced in knowing how to prepare and market a property to appeal to the widest audience. They can come into your home with an objective eye and tell you exactly what needs to get done so your home is showcased in the best possible light.
Once your house is officially “For Sale”, you must open your home up to potential buyers for viewings. Realtors will guide you on the best practices for showings so your home is presented beautifully, with a goal of “wowing” the buyer.
Your also home contains a lifetime of valuables and personal belongings, and you must be mindful of security concerns. Whenever you invite someone into your home, you put your home at risk for damage or even theft, however minor. A Realtor will be able to prepare you properly to minimize the risks associated with showings. They have secure booking systems that keep a record of all the agents & buyers brought into your home. Additionally, whenever your home is shown, buyers are ALWAYS accompanied by a licensed Realtor and never left free to roam your home and personal belongings.
Realtors also set you up with an organized booking management system that will handle all showing requests on your behalf. That way, you don’t have to worry about keeping track of all the appointments, and who is coming when.
Two types of Realtor-Buyer relationships exist: Client vs. Customer. You may think of these terms being used synonymously, however in real estate, that is NOT the case and can have very different implications.
A Realtor has a fiduciary duty to their client(s).
Meaning, if you are a “client”, Realtors and the Brokerage have an obligation to promote and protect your best interests at all times, particularly in a real estate transaction. They are ethically obligated to negotiate on your behalf and work FOR you.
Alternatively, your relationship can also be that of a “Customer” if you decide not to “officially” hire a realtor. An example would be if you were be approached by buyers that have an agent, and you were to use their agent to facilitate the transaction.
As a “Customer”, a Realtor and Brokerage will provide you with some level service, but are not necessarily looking out for your best interests. They are also not obligated to keep your real estate information confidential. This could translate into them drafting the offer, but not going above and beyond to make sure you are protected. Or advocating on your behalf.
By putting yourself in a position without a Realtor, you could be giving potential buyers a huge advantage, translating into potentially receiving a MUCH lower price as a Seller. Also, any information you may share with the buyer’s agent could potentially be passed on to the Buyer(s), putting you at a disadvantage during negotiations.
You might not be aware of, or have access to all of the clauses that should be included in an offer during negotiations. Realtors have been trained to know exactly what things should be included to avoid problems, or potentially legal issues down the line. Without knowing what you should be including, you open yourself up to future liability or even litigation.
- COMPARATIVE MARKET EVALUATIONS (CMA’S)
When it comes to Listing and Selling price, Realtors are experts in pricing strategies and knowing the comparables. Without access to all of the information, and knowing how to analyze the comps, you risk undervaluing your home by tens of thousands of dollars or more.
In Ontario, the Real estate industry is highly regulated and the provincial government writes the rules that both Realtors & Brokerages must follow. RECO (Real Estate Council of Ontario) enforces the rules on the government’s behalf and has laid out legislation and regulations that govern the entire profession. You can be assured that in most cases, you’ll be working with a dedicated, licensed professional bound to a strict code of ethics. And, you’ll have recourse for any wrongdoings or complaints through RECO.
These are just a few of the many reasons why having a Realtor by your side is imperative when searching for a home