Why would a buyer or seller consider hiring an Agent (Brokerage)? After all, what do they do? What is their ‘value’ to you as a consumer? What is their role in the buying/selling of real property?

IF buying a home was no more than completing a form then I would have a real hard time advocating the value of a buyer’s agent. I have been in Real Estate since 2001 and I have worked long hours and invested significant resources in my trade. I recognize that I am biased - but I have also been a buyer, seller and investor for my own transactions - I have helped hundreds just like me buy, sell and invest in real property. I think my insights might help you see value in an agent, give some guidance on finding and selecting an agent for you and to set some valuable expectations in the service you should anticipate.

Utah Real Estate Purchase Contract (REPC) has 26 sections - each with multiple points of negotiation and real binding considerations for both Buyers & Sellers.

REAL INFORMATION | Agents provide real information, analysis and local market knowledge. It is true, there is a great deal of information at your fingertips with powerful analysis tools through local MLS services, county records or sites like realtor.com, trulia or zillow. There are AI tools as well, social media posts, catchy headlines with tweets and click-bait insights - and a great deal of misinformation or misleading information or partial information such that you are not sure exactly what it all means or relates to you buying or selling? This is where a great agent is extremely valuable. This resource alone, especially if it helps you avoid real world mistakes in a real estate transaction, can save your or make you thousands of dollars, save time and heartache.

It is important to note that not all agents are the same. Yes, we have the same license but we are not equal. We come in a degree of experience, knowledge, competencies etc. Our focus and daily routines and habits really do set us apart. A real challenge we have in our industry is what I call a LOW BARRIER to entry - $2000 and 120 hours and a test. That’s the minimum. No wonder everyone has an aunt or uncle, niece or nephew etc. that they feel obligated to do business with! Many agents are ‘part time’ and spend less time thinking about real estate than you do. They are focused on other things - not you and your transaction or real estate needs. You should seek a local knowledgeable professional person to be your ally. A family member or family friend who is a part time agent, though nice and kind, may not be dedicated enough to provide what you really need- wisdom and experience. A good agent is a well informed agent - it is one of our best and dependable strengths. As an agent I spend no less than 5 hours a week, often close to 15, in studying markets, learning specifics on contracts, studying negotiation skills, learning about lending, managing properties, tax implications, repairs & maintenance, mold, expansive soils, pool and spa systems, pest control and so forth (kind of a lot of nerdy stuff) I also spend no less than 80 hours every 2 years on professional continuing education on contracts, ethics, transactions. I also have hired a coach, invested in tools, systems and processes to employ on my clients benefit. I participate in conferences, webinars and listen podcasts from industry leaders all the time for one purpose - to be prepared when you need me to be prepared.

NEGOTIATIONS | An agent should be prepared to negotiate and put your interest ahead of their own. The Utah Real Estate Purchase Contract (REPC) has 26 sections with no less than 20 points or more for consideration and negotiation in a given offer. Depending on the age of the subject property, if it is a condo or in an owners association or other negotiable points, each with very real binding terms and commitments offer multiple areas where a prudent buyer or seller should engage in real representation. A good agent will sit and discuss with you on these points, to awaken your senses to what you might not of even thought about as well as a review of what you already know and want. In my studies and routines we learn negotiation skills, we practice them in our teams, we exercise these skills daily. Part of negotiations is also formulating ideas, options and compromises to help our clients reach their optimal outcome.

Insurance | Real Estate transactions can be complex. They are expensive. They are emotional. Smart people like yourself use ‘insurances’ to offset risk. IF there is an error made, a real estate agent is covered by Errors and Omission insurance. True, this doesn’t guarantee that there is no risk, but if there is an error - insurances are important to have. This does not cover your time, but it does shore up your hard earned capital. If you go it alone - you may be just fine. But what happens when an omission or error occur - the lone zebra is no match for the lion pack, they are picked off - but a hurd deffends well against the hunter and often makes the lions hunt very painful.

COMPENSATION | A point in motion. The National Association of Realtors (NAR) and the Department of Justice (DOJ) have gone the legal rounds and it appears that change is on the horizon as it relates to compensation, disclosure of compensation and transparency on how Agents get compensated, buy whom and how much. Is the 6% listing dead? How will a buyer afford to pay for an agent without help from a seller? What do services really cost and what do I need? - One thing for sure is there is CHANGE in the air. On a $500k transaction, 6% or $30,000 is a common cost to hire an agent to list, market and sell - 1/2 or $15,000 would be shared to a buyers agent to bring buyers offers. I am one that thinks the change is good -