The Real Estate Industry

Welcome to page four. Here we will attempt to explain how organized real estate operates and the different professionals and organizations involved. Mainly from a residential perspective.
 

 The real estate industry is huge. Participats include developers,investors,builders,lenders,surveyors,

Insurance brokers,real estate brokers,appraisers and many government licensing and regulatory agencies. Thousands of jobs are directly related to the real estate industry.

For our benifit we will look at residential housing and the real estate brokerage business as it relates to you the home buyer. Assuming you have been pre-approved for a mortgage you are ready to start looking for a home. You will get lots of advice and every one knows a good real estate sales person. Here are some questions you may be asking yourself.

1. Why don't I find a private sale and avoid a real estate commission ?

Answer: Over 90% of real estate sales are brokered through the Canadian Real Estate Associations member brokers. You would not want to eliminate 90% of the housing for sale inventory from your home search. Even if you do find a private sale you would be much better protected having a professional look after things for you.We recommend finding an agent to act as your buyers agent and represent you and work for you helping you find and negotiate the best terms and price for your new home. Now almost 90% of home buyers start their home search on the internet.Most listings are online on MLS sites or real estate brokerage (company websites).Many people would rather shop online and drive by the listings and just call the listing agent for a viewing if they like the home from the outside. That is personal choice as long as you are comfortable without your own agent's representation. The listing agent may reduce the commission if you get close to terms on price in order to make a sale. These people do not want to be committed to one agent.

The smart thing to do is get an agent working for you and make a deal for them to charge a flat fee if you should find a private sale. You might consider signing a buyers agency.Remember agents usualy work on commission so the more you committ to them the more a good agent will committ to you. Remember any questions email us at support@yourfirsthome.ws