With so much information readily available on hundreds of websites, many homebuyers think they are well prepared for purchasing property on their own. But, it’s never as easy as it sounds, and there are plenty of issues during the process that the Internet still fails to explain. If we are serious about buying, whether it would be a new home or a property for investment, we should consider getting professional advice. Here are several reasons why hiring a real estate consultant may be a good idea.
They have the knowledge and experience we’ll never have
You don’t know everything about buying and selling properties and the truth is that you don’t need to. It is always best to hire people who are more experienced than you, or at least people who are knowledgeable, educated and specialize in a specific sphere. Even if you’ve read tons of books on real estate, professionals, who deal with properties most of their life, are likely to know more than you do.
They will guide you through the prices
Determining the right price is crucial to property sellers if they want to make a profit without waiting for six months or two years until the “perfect” buyer appears. It is also important to know the market value of the home you are buying – not the seller’s price tag and not the price you are willing to pay, but the real one.
They know the local areas and the market conditions
The value of a property depends on a range of factors, including the current conditions in the real estate market and the location. For example, a real estate professional – a consultant or an agent, will help you find information about the neighborhood (schools, transport, crime, etc.). They will also know how comparable properties in the area are selling and what their market price means. If two similar houses on the street sell at completely different prices, you will want to buy the cheaper one. But the real estate consultant will know that the other one has upgrades that otherwise will cost you thousands of dollars. Not to mention that cheaper properties often need repairs. So, sometimes the cheaper things really turn out to be much more expensive than we thought.
They will help you with negotiations
Price negotiation is a tough and complex process that most people don’t understand. Moreover, it can often go very badly with buyer and seller insulting each other because of their inevitable emotions. But the consultants or real estate agents will remove themselves from the emotion and look at the transaction as if it’s about a few dollars, not concerning thousands of dollars. They will be your messenger and will present your case in the best light possible. In addition, the agent will act as a buffer, filtering out all the property showings, or in case you are the seller – all those calls that will lead to nowhere.
Their professional network may be helpful
If you are looking for the right property, the consultant will be able to either recommend you real estate agencies that are efficient and offer good listings, or at least give you background information about them. Unfortunately, there are many vendors that are not as professional as they look and sometimes the outcomes are disastrous – you can be deceived about the property or even become the victim of a fraud. That is why it’s wiser to hire someone who knows companies and individuals and their reputation.
They will handle all the paperwork
The amount of paperwork that needs to be prepared and checked before the transaction is finalized can be really overwhelming. One tiny mistake, a moment of distraction, can cost you thousands, so you need to make sure everything is kept in order before signing the documents. Of course, there will be a lawyer or a trustee office to close the deal, but they aren’t there to protect your interest – they are there for their own fees. So, you should consider hiring a consultant or lawyer at least for this phase of the buying/selling process.
They will know the law
This is where you will need professional advice the most. Whether you are buying or selling a property, there are plenty of legal issues you have to consider. Sometimes regulations are written in such incomprehensible way, you may get confused about the legal requirements you need to meet. But consultants and agents have handled contracts and state requirements so many times that this won’t be a problem for them.
This is a great basis for a future business relationship
If you are investing in the property rather than looking for a new place to live, the agent will want to make you happy and satisfied, so they can work with you in the future. If you provide them with more work, they can reduce their fees. This is a common business practice between agents and their clients who are hunting for successful deals together. Don’t forget that it’s always good to have a partner. Two heads think better than one.
When it comes to hiring a real estate agent or a consultant, it’s not about hiring or not hiring – it’s about finding the right one. There’s one huge risk when working with agents and this is the fact that they don’t work on a salary, but on a commission. This means that generally, they have a financial interest in seeing the deal go through. Moreover, they have an interest that the property sells at a higher price, no matter what you want. But there are many agents that won’t get an advantage as their reputation is very important in this business. So, don’t ask yourself whether or not to hire a professional consultant or not. Make sure you find the right one.