What Not To Say To A Real Estate Agent?
When dealing with real estate in Melbourne, you need someone knowledgeable to guide you through the rigorous process. We recommend you to hire a real estate agent that is reliable, trustworthy, and if possible, a resident of Melbourne as well.
The negotiation process works in a two-way relationship, though. While an agent must be honest, the same thing is expected of you as well. However, as the saying goes, too much of a good thing may be bad for you.
Now, let’s ponder on that thought for a moment. Should you really be fully honest with your agent? If not, maybe it’s better to leave some thoughts and details under the rug, then? We’re going to cover these things as they are possibly too unnecessary to reveal to your realtor anyway.
But This Website Said, Or That Person Said…
We get it, you’ll get tons of information from your research, which is, by the way, a good thing. Sorting and clarifying these details may be too complicated, though. The last thing you would want to do is to smack them all to your agent’s face.
It’s great to have an idea on the matter and have a separate opinion. Having said that, there are clear reasons why you’ve chosen that agent in the first place. Those years of studying and experience aren’t for nothing. It’s kind of disrespectful when you often discredit him by referring other information that you probably found on the Internet.
It’s never a bad idea to retort especially if you know that something fishy is going on. Once or twice is OK, but more than that seems offensive already.
Never Doing Business with A Specific Race, Gender, Religion, etc.
You may have certain unshakable beliefs, but not separating them from your business is too immature and discriminating. There were lawsuits broadcasted all over regarding this concern, and you don’t want that happening to you.
Just be discreet about your beliefs if they can’t really be helped. If you don’t want a specific buyer, then look for another quietly. There is no need to be outright as it only leaves a sour impression on people in general.
You Have Absolutely No Idea About the Market
In reality, not everyone conducts a thorough research on how the market works, especially in the real estate industry. Some just rely on blind faith. It’s saddening, and may even be detrimental if you fall into the latter group of people. Saying casually to the agent that you have no knowledge of the market means you’d let him deal with your finances and investments.
The worst case scenario is they might lead you to think that the property market is prosperous even though it is actually declining. Since you have no idea, you have basically no say. You’ll never know if their decision is financially sound or not.
The best solution we could come up with during this scenario is to just take action. Study the market by getting a fundamental idea on how it flows. Compare your notes with his. If what he says is too good to be true, then it probably is.
Future Plans with Your Property
Don’t treat your agent like BFFs by telling them your future plans with your property. This action is unnecessary and to be quite frank, the agent may use this information against you.
He may use these plans and sell them to other potential buyers which in turn apply it on their property. These buyers may also be investors, so giving your plans away is like letting them copy your idea. It will be harder for you to compete now that all of you are on the same page. You don’t want that, right?
How Much You Are Willing To Pay
This is a common mistake among buyers. It’s understandable that these mistakes happen because many buyers buy more with their emotions. Agents know this, and they use it to their advantage.
Real estate agents have an incredible foresight, which is why they are able to convince buyers to buy properties at a higher price. If you give your top figure too early, then they might stretch it further since they already know your capability to pay. You will end up losing more than you’re supposed to.
In addition, they’re most likely going to take your top bid and use it to negotiate with other potential buyers. As a result, you are forced into a bidding war with them.
Don’t commit the same thing; deal with your cards strategically.