Working With a Real Estate Agent: What to Expect

If you’re about to buy or sell a home, you’re also likely about to work with a realtor. This professional will make your life significantly easier for the next few months—ensuring your real estate transaction runs as smoothly and stress-free as possible. 

But what does making the process “smooth” and “stress-free” actually entail? And what are your responsibilities and tasks as a buyer or seller? How can you support the agent in doing their best work? 

Learn what to expect when working with a real estate agent and how to make this professional relationship as seamless and beneficial as possible. 

There are different types of agents

One of the first things anyone about to hire an agent needs to know is that there are different kinds: seller’s agents (a.k.a. listing agents), buyer’s agents, and dual agents. Here’s a bit on each. 

Seller’s agents: These realtors list properties and advise homeowners on how to make their spaces more attractive to buyers (i.e. by doing renovations, repairs, and staging). They also help sellers price their homes correctly and secure a lucrative offer. 

Buyer’s agents: These real estate professionals help homebuyers find the perfect property and make an offer on it. They assist in negotiations, like knocking down the sale price because of issues with the home or asking the seller to make certain repairs before closing. 

Dual agents: These realtors work with both buyers and sellers. Because they can’t take sides, they don’t push one party’s interests in negotiations. 

You’ll need to sign a contract 

Once you’ve connected with an excellent realtor for your transaction, meet with them for a consultation in which you share your needs and desired purchase or sale amount. Then, the work of finding the perfect home or selling the one you have can begin. 

But you’ll need to sign a contract first—and that’s a good thing. A representation agreement protects all parties, ensuring that you get quality services for a determined commission fee and that the agent is duly paid.  

Agents are paid via commissions 

Agents are paid once a property sells, and they earn a percentage of the sale price. A standard commission is generally 5 to 6 percent, but it’s important to not assume this fact and ask your agent what their rates are. The commission percentage should be in the representation contract: clear and in writing. 

Real estate commissions are split between various parties: the buyer’s agent, the seller’s agent, and the respective brokers for each. Some agents are their own brokers, so they don’t split their share of the commission with anyone. 

Commissions come directly out of a sale. So, if you’re a seller, the profit you make on your home is the number after the agent’s commission has been taken out. And just because the commission gets split between the seller’s and buyer’s agent doesn’t mean that the seller and buyer necessarily chip in equally. In fact, it’s common for the seller to pay the full commission—which, technically, the buyer has contributed to, since they bought the home and this fee is subtracted from sale earnings. 

Agents do a lot, but not everything

Agents work hard to make a sale or find an ideal property for a buyer. After all, their commission depends on it. But their profession has limits, too. For example, a buyer’s agent will be happy to find you a home in your price range, but they can’t determine how much a mortgage lender will offer you. Here’s more on what agents can and cannot do. 

Realtors: 

• Advise clients on finding the right home or improving the one they have to boost its value and attractiveness.

• Help clients navigate a real estate transaction. 

• Provide insights on the local real estate market and trends.

• Take care of complex legal paperwork that accompanies negotiations, offers, and closings.

• Mediate offer situations, ensuring that their client gets a fair deal. 

• In the case of a seller’s agent, list a home on sites and the multiple listing service (MLS), market the property, field inquiries from interested parties, and arrange showings and open houses for prospective buyers. 

• Recommend third parties, like contractors for renovations, appraisers, lawyers, home inspectors, and professional stagers, as needed. 

• In the case of listing agents affiliated with Titus, help clients secure financing for home repairs and renovations.

• Work under a comprehensive code of ethics.

Realtors do not: 

• Appraise properties or perform home inspections. 

• Make legal or financial recommendations (unless they are also professionally licensed or trained to do so, i.e., some real estate brokerages offer property investment advising). 

• Assist with tasks related to the home sale that aren’t within a reasonable scope of work. For example, a real estate agent shouldn’t personally have to tidy up a client’s space before an open house or take their messages and phone calls in the middle of the night. This said, some agents offer services that surpass baseline, like making renovations out of pocket to a seller’s property or launching creative, multimedia advertising campaigns for a listing. 

It helps to stay involved

For best results, it can help to think of your real estate agent as someone who works with you, not for you. If the agent asks for your help with tasks outside of their range of services to make the transaction more agile or lucrative, support them. Suppose you’re selling your home and the realtor highly recommends repainting the walls and hiring a professional stager, citing that you’ll attract leads more quickly and boost your home’s value. Take that advice seriously and jump to action. Yes, this may imply work for you, but it pays off when you make more on your sale. 

It’s also wise to stay as informed as possible on the transaction. No, a seller doesn’t need to know about every prospective buyer who emails the agent, but if you’re in this role, you should stay on top of serious parties and offers. 

Finally,  take care of any paperwork and processes only you can do and avoid closing delays. For example, if you’re a seller, you’ll need to get a timely home inspection. If you’re a buyer, you must secure a mortgage for the home purchase, which implies gathering documentation, like tax returns and bank statements. 

What to expect when working with a Titus affiliate agent

Home sellers working with a Titus partner agent can expect a bit more than average. These realtors can help their clients secure thousands in financing for home renovations, repairs—even moving and storage fees. 

Titus’s closing lines of credit (CLoCs) are low-risk, high-reward financing options. You can renovate your home and boost its value and selling power without paying anything out of pocket or upfront to Titus. Learn how it works here.