PROS-Selling with an Agent

1. Knowledge of Market

   A full-time agent (one who sees daily what’s moving and what’s not) will be able to quickly educate you on the current market with detailed information on your home and your neighborhood. Narrowing in on the right starting price is crucial in your marketing strategy to attract a quick buyer.

2. Objective View

   Not just another set of eyes, a good agent will be able to distinguish what will be an attraction and what will be a distraction for the different variety of buyers. The question is, will they be able to break the news on your entry way elk mount without hurting your feelings? Many agents won’t want to offend and remain silent (evidenced by all the bad listing pictures), while others find a tactful way to address it.

3. Marketing Expert

   The key here is Marketing. An engaged Marketing Agent will have a detailed marketing plan that will be presented to you and will include multiple avenues for exposure to buyers.

4. Exposure

   As discussed previously, agents have access to the MLS allowing them increased exposure and a broad network of buyer’s agents scouring properties that meet their client’s criteria. In theory, there is a difference between Listing Agents and Marketing Agents, not all agents are equal.

5. Negotiation

   An agent provides an emotional barrier allowing for logical decisions and calculated agreements. From walk-throughs to paper work, the edge an agent gives in negotiations often outweighs the alternative of going it alone.

CONS-Selling with an Agent 

*The Agent’s Argument

1. Less Dollar Bills

   Using an agent to market your home will cost an average of 6%. Some are cheaper than others, offering less services. For homeowners that have little to no equity, this can be a challenge. Even without a tight sale it’s hard to justify writing a check to an agent if you feel like you can sell it on your own. *This is a common debate. What usually ends up happening is a homeowner will “save” the money and either make the sale more appealing to a buyer or give up negotiating power resulting in similar, if not less, net proceeds from the sale. In the end, a greater return on investment is found in a savvy agent.

2. Less Flexible Purchase Price

   Not having an agent allows the seller to pass some or all of the savings onto the buyers, resulting in a quicker sale. Alternatively they can offer additional buyers incentives such as closing costs or interest rate reduction, etc. *An experienced agent would discuss with you how the need for reducing a reasonable purchase price isn’t so necessary. Instead of reducing the price, (like most do) offer buyer incentives. That way you’ll be able to at least get something, (tax advantage,etc.) instead of nothing.

3. Less Control

   For control freaks, this is a huge minus. Limited control of pricing, marketing, and negotiating a sale. *You don’t know what you don’t know. There are a lot of parts and pieces to making an effective campaign. The key is to have all implemented simultaneously in order to have the best chance of success. If everything is being meticulously micro-managed it limits many aspects of a sale. Timing and eventually Price are what usually suffer as a result.

4. Property Showings

   If you feel you are the most qualified to show your own home and to point out important details and features than an agent might not appreciate. *There are a few reasons why a seller should never be home for a showing. 1. Easily offended 2. Emotionally attached to particular buyers and it affects their negotiations. 3. Distracts buyers from an emotional connection with the house. 4. Sensitive information may accidentally slip, resulting in a loss of negotiating leverage.  An agent that is taking constant feedback from buyers and their agents from each walk-through is key. This allows the agent to pivot his marketing and the seller to objectively consider an item that may otherwise have become an offense.

5. The Middle Man

   Some people feel having a “Middle Man” breaks down the quality of communication in negotiations. Others feel they have a pretty good poker face and are savvy enough to negotiate a ‘win’ for themselves. *As discussed above, whenever emotions are involved, logical decisions take a backseat. Often a seller gives away too much information thus giving the buyer more bargaining power later. A detached seller is able to disregard emotions and focus on the bottom line toward a better future for their family.

Most Pros and Cons can be debated based on the agent’s competence and marketing strategy. Contact me to let me show you what I have to offer….or keep browsing my blog and you’ll quickly find out.

Other Resources

• First-Time Home Sellers : The Ultimate How To Sell Guide
• How to Vet the Agent
• Understanding Agent Commissions
• What to Ask When Signing an Agreement
• The REAL Value of a Strategic Agent and his Marketing Plan

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The above article “The Pros and Cons of Hiring a Real Estate Agent – Selling” was provided by Tanner Johnson. If you’re thinking of selling or buying, I’d love to share more information with you.