Generally, realtors do a good job at helping you buy and sell houses quickly. However, sometimes they are also geniuses at squeezing every possible money from you or making you settle for the sale that is best for them, not you.
Talking you out of the best deal
Never let them know your bottom line (if you’re selling) or your maximum price (if you’re buying). Otherwise the chances are you’ll end up having to settle for it.
Avoid letting an agents’ agenda eclipse your own by shopping around to find the right agent for you and getting your property valued by at least three different people if you’re selling.
Whipping you into a frenzy
It’s the estate agents’ job to create a buzz around a property. They might try to panic you by arranging appointments when other buyers are also viewing the property. Rather than working through offers one at a time, they might try to introduce “sealed bids”, which pits you against other buyers without you knowing how much they are willing to offer.
Stay head-strong and don’t fall for it. All of this is aimed to push you into driving your price up much further than you can afford. So keep in mind what you can pay and stick to this – there’s no point in getting your dream home if you are then impoverished for the rest of your life.
Selling you extra advertising
If your house isn’t selling maybe you need to think about changing your tactics. Your estate agent might tell you they can do more to advertise your property if you pay them more.
Think hard about this: why haven’t they done everything they can to market your property already? And is the extra money refundable if you still don’t get an offer?
Pressuring you to use their mortgage brokers
Some real estate agents have been reported putting pressure on people to use their mortgage service, saying they will get preferential treatment or, worse, claiming they are unwilling to work with them unless they do.
Also be aware there have been accusations of mortgage brokers and estate agents working closely together, openly discussing potential buyers’ budgets in order to get as much money out of the buyer as possible. So again, find out what deal they can offer while remembering that you are under no obligation to accept their mortgage offers – in fact, it is illegal for them to require you to do that.