In most cases, sellers and buyers enter the real estate market with a lot of misunderstandings regarding the realtors. How do the agents earn their commissions? What are the procedures involved? Whatever misconception you may have, it is important to know that most real estate transactions involve two agents: one for the seller and the other for the buyer.
Due to increased competition, top real estate developers in Dubai are devising ways to attract buyers such as by lowering prices. In fact, most properties across the city, such as the District One Residences & Bluewaters Residences Dubai are sold at affordable prices to attract both local and foreign investment.
But to grab the best deals, you need the helping hand of a trusted real estate agent. Here are some common myths about real estate agents that you must not believe:
- Fixed commission
There is a common assumption that agents take the entire commission no matter what. Even though this may be good to the agent, it is not accurate. The truth is that the commission is never fixed and it can be negotiated. Also, it is the seller that pays for the commission which is shared by the two agents and brokerages.
- Stuck with the same agent from start to end
If you are the seller, you will have to sign a contract with the agent. The contract has a term that can last between six months to one year. Once they sign the contract, some people believe they are stuck with the agent forever. On the contrary, if things are not working out, you can ask the agent or the brokerage to terminate the contract.
- Buyers can use selling agents
Due to the advancement of technology, some buyers assume they can easily use their smartphones to buy a property online. The truth is that the listing agent represents the interest of the sellers. As a result, it is their responsibility to negotiate the best price and terms for the seller. Therefore, in such a scenario, there is a conflict of interest on the part of the agent.
- All agents are the same
Some people believe that one agent is as good as the other. However, this is not the case. It is important to conduct research before settling on a particular agent. The right agent will save you money and time.
- Avoid the agent, save on commission
Initially, most sellers would not deal with the buyer’s agent to avoid the commission. However, smart buyers and sellers should understand that the real estate market is complicated and it is very important to involve a credible agent.