Buckeye Lake Realtors
When looking to purchase property on Buckeye Lake, buyers can be overwhelmed with information and don’t know where to begin. When it comes to dealing with real estate agents on Buckeye Lake, there are a few important points to remember. You do not need a buyer’s agent if you have made the decision to buy on Buckeye Lake. Do not sign any agreement with a buyer’s agent. It is unnecessary and is of no benefit to you the buyer, only to the agent. If you are selling your property on Buckeye Lake, make sure if you hire a listing agent, that they place your property on the entire MLS service. Listing agents have incentive not to do this to the detriment of the seller so that they do not have to split their commissions with another agent who brings a buyer.
One major misconception in the real estate industry is that buyers are required to hire a buyer’s agent when purchasing a property. This is 100% false and in many cases buyer’s agents are not necessary. In fact, when purchasing a property or building a new home the buyer has greater negotiating power when not working with a buyer’s agent as the seller does not have to pay commission to a buyer’s agent and those savings can be reflected in the final purchase price.
Ask yourself why a buyer’s agent is necessary. If you have already made the decision to buy property on Buckeye Lake, all of the available property can be easily found online through sites such as Realtor.com and many others. In master planned developments such as Snug Harbor, all information, contracts and anything else you may need is provided directly by the sales staff.
Many buyer’s agents will mislead clients and steer them from lots and other properties where their commissions are not maximized. An agent will make much more in commissions on a resale home than a lot as the purchase price will be much higher and will likely advise against this option, even if it may be in the best interest of the buyer.
There are certain listing agents on Buckeye Lake who do not list their client’s properties on the Multiple Listing Service (MLS), a property index only available to licensed agents sharing which properties are up for sale. They do this so that other agents (buyer’s agents) can not find their listings and therefore do not have to split the commission amongst the listing agent and buyer’s agent and can keep it all for themselves to the detriment of the seller. Another strategy is for certain listing agents to limit what areas on MLS their client’s properties are listed on, limiting the properties potential exposure and increasing the listing agent’s chances that they will not have to split commissions with a listing agent.
Most real estate agents do not understand the process of purchasing lots and building new homes and how the transactions and contracts work. They do not realize that there is a closing on the purchase of the lot and no closing upon the completion of the new build, and if financed, simply a conversion by the lender from a construction loan to a permanent mortgage. With Snug Harbor’s preferred lenders there is typically only one closing therefore minimizing fees. Real Estate agents quickly discount what they don’t understand and their lack of knowledge is a detriment to their clients.
Increasing technology in today’s real estate industry including sites such as Redfin.com are rendering many agents obsolete. The majority of agents on Buckeye Lake do not have any marketing efforts beyond placing a for sale sign in the front yard and placing the listing on the local MLS. Their social media campaigns are limited to their existing friends and have no paid placement or advertising resulting in a very limited reach while promising otherwise.
A class action lawsuit was filed in Illinois earlier this year challenging how real estate commissions are structured. Typically, a listing agent splits a 6 percent commission with an agent who brings a buyer and the seller writes the check. The case argues that if not for rules put in place by the National Association of Realtors, consumers would pay far less in commissions and that the system should look more like it does in the United Kingdom, where listing agents earn a much smaller commission and buyer’s agents are rare.