The age-old rule of value applies when making a decision on which agent to choose, ‘You get what you pay for’. Choosing an agent because they offer the lowest commission in town is not always the safest bet to make.
Actually, many case studies have found that a skilled agent will make more money for a client even though their commission wasn’t the cheapest. Professional agents know how to market a property to attract the most interest. The more interest the greater the competition and competition is what drives property prices up. They also understand how to skilfully negotiate which will cover their fee and put more money in the property owner’s pocket.
The cheapest agent may end up costing you the most. Understandably, it is easy to see all agents and agencies as offering the same services. If the product, service and all elements are the same then it makes logical sense to choose an agent based on commission. However, they are not all the same. There are complexities to selling real estate which is why choosing an experienced and professional agent with demonstrated skills may be a better option.
A low commission is a technique used to win business. If an agent struggles to negotiate their own fee how much confidence will you have in their ability to negotiate a better sales price? Also, it’s important to remember that all agents are only paid their commission when they sell your property. At that point, if you are not entirely happy with the final price you have the option to negotiate the agent’s fee.
Choose an agent on how they make you feel and their proven track record. In researching an agent, you can discover their sales history, visit them at an open home to see how they interact with buyers, send them an enquiry on a property they have listed to see their response time and you could even request a few referees or past clients to contact. Do your homework, make sure you are comfortable and then make your decision. The best agent is not the one who offers the lowest commission.
