Congratulations! Your REAL ESTATE AGENT Is (Are) About To Stop Being Relevant

This article is not about the secrets of buying a rental property for no money down and half the price of the market value of the home. I’m not Tom Vu or Don Lapre and I’m not in jail.

In Canada, the no money down home did use to exist, but not anymore. Some banks and/or lenders were ready to lend you the 5% deposit so that you need not pay a dime from your own pockets to purchase a house. However, given the current financial situation with tighter lending restrictions, you will see no bank or lenders who is able to do that in Canada.

The buying home for half price did use to exist aswell. At one point, foreclosures in Canada allows foreclosed homes to be sold at very cheap prices. The new law, which includes been in placed for many years now require the homes be sold at the highest possible price for foreclosed homes if not the lenders could be sued. Hence, sometimes foreclosed homes sell higher because Canadians have the misconception that foreclosed homes are a really good deal causing it to have a reverse affect. There have been lots of people buying foreclosed homes believing they got a good deal and not doing a thorough check as to the actual value of the home.

Now, clearing out the quick money maker myths of shopping for homes, there are still a lot of things you need to be aware of before starting.

. If there exist ever a business with an increase of sneaky sales tactics and money motivated people, it has got to the Real Estate industry. As a buyer, you could be dishing out $350 000 and everyone wants a bit. The Real AUCTIONS want a piece. Lenders want a bit. The lawyers want a piece and the sellers want piece. No wonder there are so many scams in this industry.

The first thing to be aware of is the Real Estate Agent. AN AGENT is suppose to act on your behalf to buy or sell the house. Both the buyer of the house and seller of the home will have their own Real Estate Agent called a Buyer’s Real Estate Agent and a Seller’s AGENT.

In Canada, each Real Estate Agent gets an average of 2.5% and sometimes 2% for the commission of selling the house. Some REALTORS provide cash back rewards. Canadian Real Estate Agents gets higher commission than anywhere else. In United States, their REALTORS only get 1% of the commission and their homes are in fact much cheaper. Even though REALTORS are the least educated of the parties mixed up in buying home transaction, they appear to be getting the biggest little bit of the pie.

Do not listen to their gimmicks on REALTORS are ethical. (http://www.howrealtorshelp.ca) Where do they obtain the idea any AGENT off the road is ethical. Their claim is based on these tests that they pass to become a Real Estate Agent. Agents passing a test will not meant hey are ethical. It only means they are able to remember enough to pass the test.

One would believe it must be the Real Estate Agent’s job to help the buyer ensure the home is of value. Rightly so, many buyers depend on the Real Estate Agent to safeguard them and offer them advice and for me, the ethical AGENT should do that. However, the true reality is that REALTORS do not make money unless if the home is bought. The reality is that the Real Estate Agent’s salary is not truly dependent on giving you advice. The Real Estate Agent’s job is to get the buyer to get a home through them so they can get paid!

Because of this, what eventually ends up happening, are two types of Real Estate Agents with variations in between. The first type is the honest agent with the belief “EASILY work hard and treat my buyer right, the customer will come back to buy more homes from me. The second type is the “I need to get the buyer to get a house quickly in order that I can move on to another buyer (sucker) so that I could maximize my time for profit.” The end result is that you are looking for the first type and you want to avoid the second type.

We’ll call the initial type, the Bad Real Estate Agent. We’ll call the second type, the Good AGENT.

So what sort of characteristics does the Good AGENT have that the Good Real Estate Agent does not have?

1. The first characteristic is Patience. Bad Real Estate Agents will try to sell you a home quickly to get the money quickly. Do not purchase a house without spending lots of time looking at several different homes. Be cautious of tactics such as Real Estate Agents claiming it is the perfect and acting just like a salesman rather than providing you information.