How does one know home values from 500 miles away?
Cost more money and effective? Are internet brokers really going to be cost effective and know what they’re doing? Redwood City, CA 94062. From my point of view I honestly see a niche for “Internet Brokers” to help buyers and sellers with their real estate needs. Sometime they can not help you other times they can’t. It really all depends on how much hand holding and guidance you need. For example, last week I spent over 40 hours, throughout a 3-days period of negotiations, “working out” multiple offers, multi-counter offers, delays, requests, clarification, feet dragging and down right stubbornness on the part of one or more home buyer and a homeowner.
What will cost more money and effective?
It took all of my 40+ years of experience in real estate to be able to deal properly with both the buyers and sellers. By bring this agreement to ratification (acceptable to both parties). There is just not an efficient way an agent sitting behind a computer screen can offer the type of knowledge, experience, and service needed in today’s real estate market! If were in a real estate market a few years back, then I would say an agent sitting behind a computer screen would have a chance. It is not an easy task to get an offer accepted by all parties involved.
The transaction I referred to earlier wasn’t easy, nor without a steadfast commitment by others besides the principals to the transaction. By helping all principal parties towards a common goal, to sell the home, they could then agree to all terms together. My negotiation skills alone were worth the commission I will receive.
What about the IRS?
Do I deserve the commission? You bet I do! Is there a need for an “Internet Broker” in today’s market? You bet! In the long run, I believe the real estate community will understand each other and learn from each other to be able to work closer together than what appears to be the trend in today’s real estate market. An internet agent rebates their commission back to the buyers or the sellers in exchange for you doing business with them.
The internet agent is hoping for more volume of business. Unlike what a seller would get if they hired a full service agent. What they usually fail to tell you is IRS regulations only allow $25 to be given to any client. If they give you more you more than likely you will get a 1099 at the end of the year, which you pay income tax on.
Who is right?
Currently some people, who are involved on both sides of the issue, seems to only want to put on the boxing gloves and duke it out. I find humor in this because from my point of view neither one of them are completely right. Some buyers and sellers do NOT need to have their hand-held. They have been to this rodeo before and know what to expect. Some buyers and sellers think they know the ropes, however end up shooting themselves in the foot because they don’t.
Remember there are always two basic principles involved in any real estate transaction; 1.) the buyers wants the lowest purchase price with the least amount of extra costs, and 2.) the sellers wants the highest selling price, in the shortest time, along with the fewest concessions. Each one needs their own advocate to promote their positions. So, you as the consumer, should use the right advocate who works in your best interest! Getting a rebate of an agent’s commission may not be in your best interest.
What do I do next?
YOU (the public) are always in control with your power to choose. Chose your advocate wisely. In the end you will be happier. For example, ask yourself if you would work at your current job for less money, where you are expected to do more work. And still stay motivated while you perform in your bosses best interest?
If you are looking to buy or sell a home do yourself a favor. Do your homework. Research both side of the coin…a full service agent and an internet agent.
What does one do that the other doesn’t do? If you don’t see a difference then save some money. If there is and you don’t feel comfortable doing the work yourself then hire a full service agent like Cliff Keith and Team. The choice is yours. Now go out there and make the right one!
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