Does Hiring a Broker Help Buyers?

With real estate on a high in Bhubaneswar, the demand for accommodation has gone up considerably in the recent times and brokers are cashing in on the situation. A lot of people, particularly, those new to the city, generally find it a daunting task to hunt for a house and for them, brokers come as a blessing in disguise. But the million dollar question still remains is it always a great idea for home buyers to hire a real esate broker while looking for a house? While there are several advantages of approaching a broker, one cannot ignore the pitfalls either.

THE BENEFITS:

The broker has an in-depth knowledge of a locality and can offer a buyer more suitable choices within the budget which is the biggest advantage of hiring a broker. As the broker knows the seller, he can also assist in the ice-breaking process, which may not always be possible when a buyer directly approaches the owner as not every seller is comfortable entertaining a complete stranger. 

 

This apart, due to the extensive research carried out by the broker for any locality, it becomes much easier for him to warn buyers about any problems they may face while staying in a particular area, for example regarding water shortage or water logging problem or any other issue.  So, the broker can also contribute in a big way towards the decision-making process of a buyer.

Besides, since a broker can earn a commission only if he manages to sell the house, he will provide a realistic picture of the price of the house to the seller as well as inform the buyer of any problems to ensure a smooth sale. 

However, the role of a broker is not limited to selection and purchase of a property alone. Brokers understand the legal process and can provide guidance and assistance in the registration process even after the house is bought. They can also help  with the kind of documents a buyer would require and format an agreement with the seller that will be in the favour of the buyer. This apart, brokers of good repute also know bank representatives, legal experts and other people related in the field, which can ensure that the work gets processed faster.

THE DISADVANTAGES:

The biggest disadvantage of hiring a broker is the cost. A property agent usually charges 2-3% of the value of the transaction as his fee.  As the commission is dependent on the value of the transaction, he could try to keep the sale price high instead of helping a buyer get a discount on it. However, a buyer can always try his best to negotiate with the broker on the commission part.

While making an effort to ensure a smooth sale, there is also a possibility that the property agent may try to whitewash over some issues or conceal certain information like some defects in the property, or pressurize the buyer into a quick sale by distorting facts about the locality or stating that the price could go up further soon.

As a result, it is always advisable to do some homework on one’s own and have a set of queries ready before approaching a seller, even if through a broker. This apart, a buyer should always go for a reputed broker as that fairly eliminates the chances of being duped into a bad deal. 

For more information about residential and commercial properties in Bhubaneswar, rush to Orimark Properties  one of the leading property portal in Odisha, India.