Are you thinking about purchasing a home and wondering if you should use a real estate agent? Whether you are new to the world of home buying or someone who has been out of game for quite some time – this is likely a question that will come to mind. Being rather analytical myself, I offer the following insight to explain why I would advocate for hiring a buyer’s agent.
Last November, the National Association of Realtors released their annual Profile of Home Buyers and Sellers. They summarized findings here with some compelling data points about buyers, figures surrounding transactions and market demographics.
Majority Rules When Using a Real Estate Agent
To me, a statistic like 86% of home buyers leveraging the services of real estate agents speaks to overall importance. While we do not know the make-up of the other 14%, they could be seasoned buyers or agents themselves.
More than 25% of Buyers are First-Timers
With 26% of surveyed buyers being first-timers, having a knowledgeable support partner can facilitate the complexities of deals and transactions. From knowing the local market, to connecting buyers with support professionals (think lenders, real estate attorneys, title companies, home inspectors and more) and being able to help manage the process – agents offer their clients a wealth of services. For a novice buyer, leveraging an agent should help ease the stress of the unknown.
The Stakes are High
Statistics show 100% of buyers paid asking price with 28% paying over ask – utilizing available resources is of paramount importance. It is easy to dismiss this claim if you know someone who paid less than ask (methodology). However, if you stop and think about this figure – you realize how critical it is to have someone on your side/team who knows how to negotiate. While your first reaction might be “negotiation – what negotiation?” know that there are other strategies and approaches that can be used to move a deal towards closing (closing costs, time needed to get to closing, seller concessions, etc.).
Should I Use a Real Estate Agent?
When the time comes to make the decision – I would personally advocate for the use of a real estate agent. Any time you can have someone work on your behalf or alongside you on a deal – you stand to benefit. Whether your agent validates your thoughts, holds you accountable or challenges your thought process – all are valid tools in working through one of the most expensive purchases of your life. Lastly – one tidbit that often goes unmentioned. Oftentimes, working with a buyer’s agent is of no cost to buyers. Instead, typically sellers cover these costs via the proceeds of their sale.
What added value have you found from working with an agent that you could share with others?