When a homeowner sits at the closing table and looks at the fees collected by the realtors involved in the sale of their home, very few are happy to pay 3% of their home’s selling price to each agent. Most sellers underestimate the amount of work real estate agents, for both the buyer and the seller, put in to the sale of just one home. Below, we review some of the tasks realtors, both listing agents (working with the seller) and selling agents (working with the buyer) do to earn their commission.
Realtors spend a lot of time in their cars canvassing areas and previewing properties. Clients don’t see this, but rest assured that a good real estate agent is spending time prospecting each week.
More often than not, real estate professionals are spending their own marketing dollars on listings and newspaper ads, fliers, photographers, direct mail and personalized giveaways, such as calendars and magnets.
Realtors are constantly talking to other agents and attending pitch sessions, which are meetings in which they swap listings to help get the word out about properties.
Contracts, Offers and Counteroffers
Realtors do the negotiating and take offers and counteroffers back and forth between the buyer and seller. They prepare the sales contracts and any addenda to these contracts.
Even if the buyer can attend an inspection, a good realtor will be there regardless. Doing so will ensure the agent hears firsthand of any issues with the property. This saves time and prevents items from being withheld when translating the inspector’s findings.
Financing, Title, and Escrow
Real estate agents on both sides of the transaction want to be sure that the home gets sold, so they monitor the loan approval process and the other elements (appraisal, survey, escrow) that must happen in order for the transaction to close.
While this list of what a realtor does to earn their commission doesn’t contain everything they do, it explains what you are paying for when you pay real estate agent commissions. However, none of these items listed above is essential in order to sell your home. In fact, it is easier and faster to sell your home without a real estate agent by selling to a home investor, who will buy your house as is, for cash.
If you would rather sell your home without a realtor AND SAVE the 6% commission (3% to the listing agent plus 3% to the selling agent) then you should sell your home to SellMyHomeToday.com. Just contact us for an appointment, and we will make you a cash offer, with no repairs, no closing, and no realtor commissions.