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Some Useful Ideas On Real Estate Listings For Newbies

Jun 3, 2008
As anybody who has decided to purchase or sell a piece of property can tell you, the whole process can seem confusing. Lots of people who seek the help of a professional real estate broker allocate many a sleepless night trying to figure out who is taking advantage of them more: the broker or the bank? While there is no cure-all to this ages-old anxiousness, there is a new pamphlet available that helps real estate newbies navigate their way through some of the red tape that comes with purchasing or selling real estate.

Also, as alternatives to that, one can browse the Internet to understand more about real estate listings, property for sale by owner, real estate broker, the real estate red tape, etc. Yes, if one can only spend time on internet surfing, surely he is able to understand more about real estate business-- especially for the new ones.

So now, back to this new pamphlet and how can this help newbies in real estate business.

The Federal Trade Commission has recently provided a helpful guide that helps new purchasers or sellers with some frequently asked questions concerning real estate. Titled Selling Your Home? Tips for Selecting a Real Estate Professional, the guide focuses on the appropriate amount you should expect to pay for a real estate commission, the ins and outs of contracts and also the business models.

While the guide is a bit slim, weighing in at only four pages, it does come with some substantial info. Under the section about commissions, the guide discusses that while six percent is the industry standard, it is still negotiable, and if your real estate agent tells you there is a local or federal law on the books that says the commission must be at that rate, they are lying and it is probably a good indicator to find a other broker who will be honest with you.

The guide goes on to make prospective clients realized to try to negotiate for a lower commission, since brokers need your business just as much as you need theirs.

In the next section, the guide explains the variation between full-service real estate brokers, and discount brokers and highlights that if you go with a discount broker, you may need to do more of the leg work yourself. The guide also says that while a full-service agent usually gives all needed services for one flat rate, the discount broker is more likely to have an "a la carte" approach, where for each additional bit of help, there is an additional payment.

The guide goes on to give hint on negotiating contracts in your favor and not the banks, as well as info on hiring a trustworthy real estate agents.
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