How to handle the relationship between yourself and real estate agents when working on short sales will hinge on whether the agent works for you or the lender. The more prepared you are for both situations, the more likely it is you will get what you want out of either relationship.
HIRING YOUR OWN AGENT
While it is not always necessary to hire an agent to help you locate short sale properties and close deals, it can be very useful. When an agent works on your side, you can gain benefit from their experience, their local knowledge and their ability to help you obtain the best deal possible. Of course, you might have to pay for the service. Some agents, however, will be willing to take the split the lender offers upon closing.
Hiring an agent to assist in short sale purchases is much like finding an agent for any other real estate transaction. To get the best, it is smart to look for those who:
• Specialize or are experienced with short sales
Face it; short sales are not the typical kind of purchase. When an agent is experienced in closing deals like this, you will be better positioned for dealing with homeowners and lenders. Your agent’s level of expertise can be a big asset during the short sale process.
• Have a good deal of local knowledge
This is essential to assist you in selecting the best possible buys. While a short sale price might seem fair to you, an agent will know if there are mitigating circumstances that could make the property worth less on the resale than it might seem. For example, impending construction projects in a neighborhood could impact value. Unless you have a lot of area knowledge, it’s not a bad idea to rely on an agent who knows the community you’re interested in.
• Fit with your personality
Even if a Realtor has the best reputation in the world, if he or she doesn’t fit your personality, you’re not going to be happy with the situation. You want an agent you can communicate with and trust in.
It might not be necessary to hire an agent to help you find short sales, but it can work to your advantage. The lender will likely have a broker or agent working on its side and will have access to legal help, as well. Just remember, you might end up having to pay a portion of the commission yourself. If the agent helps you get your hands on a great buy, however, it will be worth every penny.
Working With A Lender’s AgentShould you decide to forego your own representation, it’s okay. You will very likely have to deal with a seller or lender’s agent, however. There are some things you need to keep in mind when doing this.
Remember, the seller’s agent will:
• Not be working in your best interests, per say. He or she will represent the seller or the bank, not you.
• Will try to push you for the highest offer possible. This only makes sense considering his or her commission could depend on it.
No, you don’t have to be suspicious of every move a seller’s agent makes. Just keep in mind that this person wants to close the deal and get the best price possible for the clients. That’s the job they were hired for, after all.Leave a Comment