Real Estate Agents

[CyState85]

What exactly do they do? We had discussed selling our house but I can’t see any reason to use a realtor to help the process along. I understand they facilitate different things and market your home, but the general public can do those things just the same anymore online. I watched some neighbors sell their house with a realtor and it sold before it went on the market and they paid outrageous fees to a realtor that didn’t even show the home or have pictures taken. Granted, that rarely happens but it ended up being close to a $14,000 commission for a little paperwork and two phone calls. Conversely, why do you need a buyer’s agent if you know what you want, can look at any house for sale in that area online, and can negotiate for yourself?

Have others on here bought/sold their home on their own and if so, what advice would you give?

 

[Rabbuk]

What exactly do they do? We had discussed selling our house but I can’t see any reason to use a realtor to help the process along. I understand they facilitate different things and market your home, but the general public can do those things just the same anymore online. I watched some neighbors sell their house with a realtor and it sold before it went on the market and they paid outrageous fees to a realtor that didn’t even show the home or have pictures taken. Granted, that rarely happens but it ended up being close to a $14,000 commission for a little paperwork and two phone calls. Conversely, why do you need a buyer’s agent if you know what you want, can look at any house for sale in that area online, and can negotiate for yourself?

Have others on here bought/sold their home on their own and if so, what advice would you give?

I'd use a lawyer then for the paperwork

 

[IcSyU]

We FSBO'd our townhouse in Ames. We got a full price offer in 36 hours. We knew we could FSBO it because we saw how fast inventory was flying at that price and spec.

Now in other situations you may need the connections the realtor has. You may need the realtor's help with proper staging. The realtor may be able to help you realistically price your house. You may need their help showing your house if you don't have a flexible job. The realtor also may be aware of listings about to hit the market and get you "in" before the general public when you go to buy.

To say realtors have no place is simply incorrect. Now certainly you can sell a house on your own but not everyone has that luxury.

 

[NWICY]

Well you could have put this in the real estate forum. Also @IowaRealEstate, this is your cup of tea,

 

[alarson]

Conversely, why do you need a buyer’s agent if you know what you want, can look at any house for sale in that area online, and can negotiate for yourself?

I mean, why not if it doesnt cost you anything? If you have a good buyer's agent you gain someone with experience in the process, who can point out things you need to look for, and who can aid in the negotiation process.

Also, i know when i last did my last home search, my realtor took me to a couple properties that weren't even publicly listed yet because they had just gone on the market. One of those properties (a property i probably would have gone with had i not found the one i ultimately went with on the same trip) had an offer from someone else by the end of the afternoon. In a hot market, having that early access can help find exactly what you want

 

[AlaCyclone]

They also assist with setting up transfer documents, deeds, inspections, etc. all of that stuff. It was worth every penny to use an agent when I bought and when I sold. Plus, they only get paid if a sell is made. Just my onion.

 

[TitanClone]

Never sold, but have bought 2 places in Kansas City with the same agent. He tells all of his clients that are selling to tell friends, families, co-workers, etc... before giving him the job to see if they know anyone interested. His thought is try to sell by yourself, if it takes to long get an agent.

 

[CyCloned]

It is kind of a tough choice on whether to use an agent or not. Most people will need some kind of help with the paperwork. I bought my last house from the home owners, and it went fairly well. Sold the old house through an agent, and I was not real pleased with a couple things that he did.

One thing an agent can do is to help you with the presentation of your house, suggestions on what you might want to paint or remove, etc. Right now in Iowa it is a sellers market, so on your own is an option.

 

[usedcarguy]

It all depends on the agent. Some are worth every penny. Others are incompetent and shouldn't be in the industry.

 

[SCNCY]

I think with current technology, the value of an agent is decreasing. Any more, I think having an agent is convenient for handling the paperwork. Having said that, I have only purchased one house myself, and my now wife just sold her condo.

Additionally, I think some banks may be able to handle closing documents. My mortgage is with US bank, and the loan officer said they could do the closing if I didn't have an agent. I would also think title companies may offer the service too.

 

[ClonesFTW]

I mean, why not if it doesnt cost you anything?

On the settlement statement it doesn’t but in reality the sellers are factoring that into their net profit. You come in without a buyers agent all the sudden an offer 5k below listing looks much better.

 

[NickTheGreat]

I'm not a realtor and don't have an especially high opinion of them. But I find it funny that the OP is both saying they aren't worth the money, and then asks for advice to sell his house.

If it's so easy, why are you here asking for advice???

 

[ArgentCy]

I mean, why not if it doesnt cost you anything? If you have a good buyer's agent you gain someone with experience in the process, who can point out things you need to look for, and who can aid in the negotiation process.

Also, i know when i last did my last home search, my realtor took me to a couple properties that weren't even publicly listed yet because they had just gone on the market. One of those properties (a property i probably would have gone with had i not found the one i ultimately went with on the same trip) had an offer from someone else by the end of the afternoon. In a hot market, having that early access can help find exactly what you want

I've been noticing a lot more agents keeping these so called pocket listings. They don't show up on the MLS until poof, they have an offer with 0 DOM.

 

[JY07]

But I find it funny that the OP is both saying they aren't worth the money, and then asks for advice to sell his house.

I think most people understand there's value in what a realtor provides: I think the issue is that the value is in no way related to a percentage of the home's value.

The traditional 5-7% commission route has lasted longer than I thought it would, I'll give it that: but I can't see that being the norm 5 years from now

 

[BillBrasky4Cy]

Websites like Zillow are really decreasing realtor value. The days of needing your house listed on the MLS are over and people are finally realizing how little value a realtor actually adds to the process.

 

[ArgentCy]

Websites like Zillow are really decreasing realtor value. The days of needing your house listed on the MLS are over and people are finally realizing how little value a realtor actually adds to the process.

They still aren't afraid to charge for the data. It's around $500 / person per year for the local one. Des Moines MLS is far more expensive. Then they go and sell the data or post it to Realtor.com. It's quite the scam the NAR has created but it won't last.

 

[cyclonpediaJoe]

We recently sold our house in Valley Junction. The buyers kept coming back with new demands which required very specific addendums. The buyers realtor also didn't respond in a timely manner. He drove the sale from start to finish with the verbiage in the listing and purchase agreements. Our realtor is awesome and we wouldn't buy a house without him.

 

[agrabes]

On the settlement statement it doesn’t but in reality the sellers are factoring that into their net profit. You come in without a buyers agent all the sudden an offer 5k below listing looks much better.

Yeah, but that depends on the scenario - most of the time your situation is not possible.

That only works if:
1) You are selling it yourself and would have been willing to pay (for example) $5K to the buyers agent for bringing in a buyer for you. If you weren't willing to pay the buyer's agent anyway, obviously you will not knock anything off the price for not using one.
or
2) You (the seller) are using a realtor who would forgo half his/her fee if the buyer doesn't have an agent. I've only sold one house and never run into this scenario, so I'm not sure how it works, but I've got to imagine that's a tough sell.

 

[CyOps]

I used an agent when selling two of my houses. In each case, I had moved out of state and had been renting them out. One I sold without meeting the realtor in person during the entire process. I ran into him years later at a tailgate.

 

[twojman]

I've sold a few flip homes and have always used an agent. I would always use an agent as well. The legal knowledge they have is great. Also with the negotiating process they are good too. Our situation with a house we closed last week was a great example. We had lots of items the buyers requested. Our agent made numerous phone calls to various companies on my behalf as well as setting up appointments for them to get into the house and complete the work. He earned every penny in that sale.