Reasons to Hire a Realtor

I hear it all the time from friends and people whom I’ve met.

Branden Chhour
Realtor / CPA

  1. “WHY DO I NEED TO HIRE A REALTOR?”
  2. “The realtor doesn’t do anything. They just show me the house that I FOUND ON MY OWN and then gets paid.”
  3. “I’ll just use the listing agent as my realtor”

I am sure that you are saying the same and agreeing to those statements if you have never bought a home before. For those of you own a home or property, you might have had this preconceived notion as well.

Let me explain why anybody should care about real estate sales being handled by realtors.

 

  1. “WHY DO I NEED TO HIRE A REALTOR?”

There are real estate agents and there are realtors. Both are licensed to handle real estate transactions. However, REALTORS are members of the National Association of Realtors. They are held to follow the REALTOR® Code of Ethics. According to NAR, there are 17 articles in the Code of Ethics and they are strictly enforced.

If it is your first time buying a home, I would recommend utilizing a realtor to help you with the process. There’s an agency relationship, where the realtor has a fiduciary duty to look after the seller’s or buyer’s best interest. Realtors can save you time by doing most of the leg work, save you money during negotiations, and stress by handling all the phone calls. A good realtor essentially acts like a buffer between you and the other party.

Sure, Redfin and other real estate search websites are great. But they lack those intangibles listed above that a realtor offers to their clients. In addition, data on those sites are usually not up to date. Realtors on the other hand can provide the most up to date reliable data. They can offer in depth analysis straight from MLS – Data such as the average per square foot cost of similar homes, median and average sales prices, average days on market and ratios of list-to-sold prices that are more accurate than what you find from those websites.

 

  1. “The realtor doesn’t do anything. They just show me the house that I FOUND ON MY OWN and then gets paid.”

A realtor does more than just show houses for their clients. Realtors are resources for the clients to use because they usually have a good understanding of the neighborhood. They also will likely have a vast network of lawyers, contractors, attorneys, termite inspector, home inspector, and plumbers at the client’s disposal.

Realtors can identify comparable sales and hand these facts to the client to make sure they are not overpaying or underselling. For example, you may know that a home down the street was on the market for $350,000, but a realtor will know if it had upgrades and sold at $285,000 after 65 days on the market and after twice falling out of escrow. There’s a lot of administrative paper work in the background that a client does not see.

 

  1. “I’ll just use the listing agent as my realtor”

I know many potential buyers say they rather buy the house directly with the listing agent in hopes of getting a “better” deal. I would advise against this strategy if I was speaking to a buyer because it is like going to court where the plaintiff and the defendant shares attorney. If the opposing parties never share attorney in court, why would buyers and sellers share the same realtor? At the end of the day if a Realtor represents both buyer and seller, they will always side with the seller.

Speaking from my own experience, I would like to end this by saying if you have never bought a property before, I would recommend you hiring a Realtor like myself to help you facilitate the process. I have friends who are real estate investors, and they would use my service to help them administer transactions.

 

If you are interested in making a real estate purchase or a sale in Los Angeles County and Orange County, please reach out to me for consultation.

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