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Facts About Real Estate Agents
The real estate industry is an important industry in modern worlds. 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 or mortgage 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, real 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. A good real estate agent should be familar with many factors of the industry such as home builder and real estate constructors.
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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 the financial situations such as 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. Many times traveling is required. 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.
A real estate agent also needs to be family with the legal aspects of
this business. Once both parties have signed the contract,
the real estate broker or agent must make sure that all special
terms of the legal 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 and health issues 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