Real estate agents generally help make the buying / selling process of your property more convenient.
Nobody denies this.
But that doesn’t mean that they always work with high morals and principles. Considering that at the end of the month agents are people with dreams, wishes, and bills, it makes sense that some might get the deal in their favor as opposed to the clients. The typical real estate commission fee averages 5 to 6 percent of the home selling price. So make sure you deserve it right. These are some of the most common tricks agents use.
1. Create hype and urgency
Time is of the essence for the realtor as property owners don’t want their properties to be dead in the market. So agents could overdo the property to get some attention. In fact, they may even be planning a gig with another potential buyer at the same time they’re supposed to meet you, just to create urgency on your part. In some cases, they try to introduce what are known as sealed bids, where you bid blindly against other buyers. In particular, you have no idea what the other buyers are offering.
This is intended to achieve two things. First, the agent wants you to bid higher than the budget you set. Second, they want you to think under pressure. Of course, you should never feel pressured to make a purchase. And if other buyers show up during a show, it just means you are dealing with a very unprofessional agent. Stick to your guns and budget at all times. After all, what’s the point of getting a dream home but you can’t afford to eat something?
Do you want free money?
- Aspiration: Would you like to see $ 150 for free? Just log into Aspiration and get free cash with the free banking app. Relax as you get $ 150 for just opening a new debit card. There is no catch. This bank account is real and only takes two minutes Sign up for an account.
2. Keep your budget information personal
There is absolutely no reason why you should have to share your budget details with an agent. In particular, you don’t have to tell them your bottom line if you want to sell, or your max if you want to buy. There are agents who ask for this information and when they do they intend to use that information to their advantage.
Don’t let the agent’s personal agenda become part of your business as it will not work for your benefit. Consider evaluating your home beforehand so you know what you are dealing with.
3. Fake bids at a higher price
It happens that in the middle of a business, when you think everything is done and the last bit of paperwork needs to be done, the agent calls. And instead of telling you that you are the new owner, they are letting you know that a buyer who was previously interested has made a higher bid. And while this happens, that doesn’t mean it’s true. Phantom offers made by agents to push your max still happen and you can combat this in a number of different ways.
- Ask for official evidence that the buyer exists and that they made the alleged higher offer
- Enforcement of the Good Will Charter, in which both parties leave a deposit that they lose if they do not accept the offer
- A lockout agreement calls for the owner of the property to take it off the market for a period of time while you do the finances and paperwork
- These options are not fully protected, but they do provide basic protection against fake offers that are a drain on your budget.
4. Take advantage of special circumstances
Some lenders can be fooled when it comes to advertising. For example, they advertise the property at 80% of the price, which confuses people (government loans of 20% of the property’s value) and implies they are getting a better deal.
5. Enforce mortgage brokers
You will no doubt come across some agents who recommend certain mortgage brokers. And that’s okay if you stick with a recommendation. However, if the agent insists that you work with their broker to take further consequences if you don’t, get another agent.
The reality is that many brokers and agents have close relationships. And that means they help each other make as much money as possible with their customers. Sure, get a quote. But never feel pressured or compelled to work with a particular mortgage broker.
6. They are trying to sell you additional advertising
Not every home will sell once it hits the market. And when a property stands too long, it becomes more and more difficult to move. However, this doesn’t mean you should pay for additional advertising, which an unethical agent is most likely to offer.
7. They buy inheritance cables to get to you
Inheritance hints can be very lucrative for really promising and daring real estate agents. The legal heirs are usually in a hurry to sell the property. Hence, they don’t mind selling the property below market price even and real estate agents know this.
Here you need to ask yourself a few questions. For example, if the agent did the best the first time, what can they do now? And why did you avoid it on the first campaign? You can even ask if they plan to return the money after the sale.
The best apps to save real money
We talk a lot on the phone, don’t we? Wouldn’t it make sense to save money with the best money-saving apps?