Why do you need a real estate agent when you purchase a home?
If you are thinking about purchasing a home, it is wise to hire a real estate agent to help you. It is the seller in a real estate transaction who pays the commission to agents in the property deal, so there is no cost to the buyer. Though this is a great reason to get good representation, it is the least of the reasons why this is the prudent move to make.
More importantly, when hiring a quality agent with local knowledge, you will also benefit from his or her expertise. The agent will be able to tell you if the property is reasonably priced. After all, unless you have insight into the market, you are taking the word of the listing agent who works in the best interests of the seller, not you. In Texas, dual agency is illegal. Dual agency is when an agent represents the buyer and the seller at the same time. In the Dallas area, the agent can only represent one or the other. Otherwise they will play the role of what is known as intermediary. In intermediary status, they still represent the interests of the seller in this case. They can offer you comps and other neighborhood information, but no advice. Otherwise they would be breeching their fiduciary responsibility to their seller.
In additon, A well informed buyer’s agent will be able to tell you both what comparables have sold for recently and counsel you on what the true market value of a home actually is…not what it is listed for. They will also fill you in on what they expect the property to appraise for. If you are planning on financing the property, the lender will want an appraisal. If the appraisal, which you pay for, comes in significantly lower than the purchase price, and the listing agent is unwilling to move on the price, you get to start the process over on a different property.
These are just some of the bigger real estate traps you can fall into if not represented well. Remember, not all agents are created equal. Do your homework and make sure that your being represented by a full time quality advocate for your needs above anything else. We are Realtors who specialize in residential real estate in the North Dallas area including Richardson, Plano, Allen, Frisco, Addison, and Carrollton.
