Do I Need a Realtor to Buy a House?

February 18, 2021
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Choosing the Right Team for Your Home Purchase

When you are ready to buy a home, the first step is to decide who will be on your team. A Realtor or real estate agent can guide you throughout the process. While you don’t have to use one, working with a knowledgeable professional often makes the process smoother and helps you find the right home faster.

What Is a Realtor?

A real estate agent is a licensed professional who helps buyers or sellers with contracts, inspections, and lender documents.

If the agent is a member of the National Association of Realtors and follows their strict ethical standards, they earn the title of Realtor.

A real estate broker completes additional education and licensing. Agents, Realtors, and brokers can all represent you during the home buying process.

Benefits of Working with a Realtor

Realtors have deep knowledge of local housing markets. When you share your preferred home type and budget, they can quickly find neighborhoods, home features, and prices that match.

They also understand legal aspects of contracts and help protect you from bad deals, potential hazards, and dishonest sellers.

Negotiating and Handling Contracts

Your Realtor will negotiate terms with the seller. This can include:

Purchase price
Contingencies to cancel the sale without penalty
Repairs or maintenance
Allowances for upgrades

Since the purchase offer is a legal document, having a professional draft it ensures your interests are protected.

Realtor Fees

Realtors usually work on commission. This is often about 3% of the home’s purchase price. If the seller also uses a Realtor, the total commission is usually 6%. While this may slightly raise the cost, the expertise a Realtor provides often makes it worthwhile.