Because of the complexity
and importance, people usually seek the help of real estate
brokers and sales agents when buying or selling real estate.
Real estate brokers and sales agents have
a thorough knowledge of the real estate market in their community.
Agents and brokers also act as intermediaries in price negotiations
between buyers and sellers.
Real estate agents usually are independent
sales workers who provide their services to a licensed real
estate broker on a contract basis. In return, the broker
pays the agent a portion of the commission earned from the
agent's sale of the property. Brokers are independent business
people who sell real estate owned by others; they also may
rent or manage properties for a fee. When selling real estate,
brokers arrange for title searches and for meetings between
buyers and sellers wherein details of the transactions are
agreed upon and the new owners take possession of the property.
A broker may help to arrange favorable financing from a lender
for the prospective buyer; often, this makes the difference
between success and failure in closing a sale. Brokers supervise
agents who may have many of the same job duties.
Besides making sales, agents and brokers
must have properties to sell. Consequently, they spend a
significant amount of time obtaining listings—agreements
by owners to place properties for sale with the firm. When
listing a property for sale, agents and brokers compare the
listed property with similar properties that recently sold,
in order to determine a competitive market price for the
property. Once the property is sold, the agent who sold it
and the agent who obtained the listing both receive a portion
of the commission.
Before showing residential properties to
potential buyers, agents meet with them to get a feeling
for the type of home the buyers would like. In this prequalifying
phase, the agent determines how much the buyers can afford
to spend. In addition, the agent and the buyer usually sign
a loyalty contract which states the agent will be the only
one to show houses to the buyers. An agent or broker uses
a computer to generate lists of properties for sale, their
location and description, and available sources of financing.
In some cases, agents and brokers use computers to give buyers
a virtual tour of properties in which they are interested.
With a computer, buyers can view interior and exterior images
or floor plans without leaving the real estate office.
Agents may meet several times with prospective
buyers to discuss and visit available properties. Agents
identify and emphasize the most pertinent selling points.
If bargaining over price becomes necessary, agents must follow
their client's instructions carefully and may have to present
counteroffers in order to get the best possible price.
Once both parties have signed the contract,
the real estate broker or agent must make sure that all special
terms of the contract are met before the closing date. Also,
if the seller agrees to any repairs, the broker or agent
must see that they are made. Increasingly, brokers and agents
are handling environmental problems as well, by making sure
that the properties they sell meet environmental regulations.
For example, they may be responsible for dealing with lead
paint on the walls. While loan officers, attorneys, or other
persons handle many details, the agent must ensure that they
are completed.
|
