Many people take for granted that you need a real estate agent to purchase a new home. One of the first things people do when they decide to purchase a home is find a real estate agent. There is the belief that a real estate agent is necessary for a person to find their perfect home.
It is necessary to have a real estate agent to purchase a home? Is there a time when you would come out better purchasing sans the real estate agent?
If you are purchasing a resale home, it is wisest to use a real estate agent, especially if you are purchasing for the first time. The laws of real estate are murky waters to tread if you do not have experience interpreting and applying them.
There is a situation when using a real estate agent might not be the best decision. If you are considering the purchase of a newly constructed home, you most likely come out better by making the transaction on your own.
It is much easier to find new homes communities own your own than it is to find resale home. There are a number of resources available that help you find these communities. The local newspaper and new homes magazines are two of the most commonly used resources. You may have already noticed some new home communities while driving around. So, you know from experience that you don’t need a real estate agent to help you find these properties.
After you find a community that interests you, the sales people are able to assist you in viewing models and floor plans. Any questions that you have can simply be answered by the sales people as well. This is another task that is typically done by the real estate agent in resale transactions. Should you choose to use a real estate agent to purchase a new home, they would be of no further assistance once you enter the sales office of the community.
Not having a real estate agent might allow you to pay a lower price for the home you purchase. Since the real estate agent’s commission isn’t factored into the price of the home, you can often negotiate a lower price from the builder than you would have paid had you had an agent. Not only that, the builder might throw in some additional incentives for your purchase since the real estate agent wasn’t present to take away from his profit margin.
When you are purchasing a new home, everyone involved in the transaction benefits when you do not use a real estate agent. The builder makes more money from the sale. You pay less money for your home. And the real estate agent you would have used, doesn’t have to wait months for the home to be built to receive commission from the purchase.
This doesn’t mean that real estate agents are not necessary in real estate purchase transactions. In fact, for most resale transactions, where there are negotiations to be made, you will benefit more from using a real estate agent than you would if you didn’t.
