Is it wise to deal directly in real estate without brokers?
Let us first look at the advantages of direct dealing in properties, thru online and offline marketing channels.
1. Vast choice of properties / prospective buyers – lessors
2. Unfiltered information directly from the advertiser.
(Generally, when properties are posted online, one gets almost accurate information discounting the marketing jargon)
3. A sense of being in control of the deal at all times
4. Option of miscommunication is eradicated at most times
5. Since you are in charge, you can put forward your unfiltered perspective
6. As there is nobody else involved, the decision making can be much faster.
7. You save on the brokerage.
As we all know a coin has two sides , let us look at that now .
1. Most people have very limited or no knowledge of real estate, making a decision based on fancy marketing material or sales talk , could cost you much more than the brokerage saved.
2. One of the biggest challenges in this industry is coordination and ego management between the parties involved, this can be managed by a good , reputed and experienced broker.
3. Understanding the paperwork and getting the same approved by a lawyer is task in itself.
PROTIP: Google may give you the list of queries to be asked, but it is generic , please understand, each property is unique and subsequently the paperwork as well.
4. Online platforms and marketing sites will give you only those properties which are posted online. An experienced broker can offer you much more than those with the relevant rates, available inventory in that area etc.
5. There is a great degree of balancing and management required in each transaction, meaning if one party is making any unreasonable or unfair demand, there is no option either to accept or refuse the deal. It could mean losing out on a good transaction due to a small ego issue.
6. A established broker , can throw light on the hidden intricacies of the deal , which is a part and parcel of this complex trade.
7. A lot of people feel , that they have saved on the brokerage, good as it may look on the surface, you may actually end up paying a lot more than what you have saved.
Also doing the research on the person or company, wanting to lease your property, is not everyone’s cup of tea .
8. A experienced broker, had negotiated for numerous properties and knows how to extract the best for you, whether you can match that ,is something I leave to your judgment.
At the end of it all, you decide what route is best for you.
Please do post your comments and questions.
See you next week, with a new topic.
