Importance of a Boston Real Estate Agent

BY John Ford

One of the most complex and important financial events in peoples' lives is the purchase or sale of a Boston home or investment property. Because of this complexity and importance, people usually seek the help of Boston real estate brokers and sales agents when buying or selling Boston real estate.

Real estate brokers and sales agents have a thorough knowledge of the Boston real estate market in their community. They know which Boston neighborhoods will best fit clients' needs and budgets. They are familiar with local zoning and tax laws and know where to obtain financing. Agents and brokers also act as intermediaries in price negotiations between buyers and sellers.

Real estate agents usually are independent sales workers who provide their services to a licensed Boston real estate broker on a contract basis. In return, the broker pays the agent a portion of the commission earned from the agent's sale of the property. Brokers are independent businesspeople who sell Boston real estate owned by others; they also may rent or manage Boston homes for a fee. When selling Boston real estate, brokers arrange for title searches and for meetings between buyers and sellers wherein details of the transactions are agreed upon and the new owners take possession of the property. A broker may help to arrange favorable financing from a lender for the prospective buyer; often, this makes the difference between success and failure in closing a sale. In some cases, brokers and agents assume primary responsibility for closing sales; in others, lawyers or lenders do so. Brokers supervise agents who may have many of the same job duties. Brokers also manage their own offices, advertise Boston homes, and handle other business matters. Some combine other types of work, such as selling insurance or practicing law, with their Boston real estate business.

Besides making sales, agents and brokers must have Boston homes to sell. Consequently, they spend a significant amount of time obtaining listings--agreements by owners to place Boston homes for sale with the firm. When listing a Boston property for sale, agents and brokers compare the listed property with similar Boston homes that recently sold, in order to determine a competitive market price for the property. Once the property is sold, the agent who sold it and the agent who obtained the listing both receive a portion of the commission. Thus, agents who sell a Boston property that they themselves have listed can increase their commission.

Most Boston real estate brokers and sales agents sell residential property. A small number, usually employed in large or specialized firms, sell commercial, industrial, agricultural, or other types of Boston real estate. Every specialty requires knowledge of that particular type of property and clientele. Selling or leasing business property requires an understanding of leasing practices, business trends, and the location of the property. Agents who sell or lease industrial Boston homes must know about the region's transportation, utilities, and labor supply. Whatever the type of property, the agent or broker must know how to meet the client's particular requirements.

Before showing residential Boston homes to potential buyers, agents meet with them to get a feeling for the type of home the buyers would like. In this prequalifying phase, the agent determines how much the buyers can afford to spend. In addition, the agent and the buyer usually sign a loyalty contract which states the agent will be the only one to show houses to the buyers. An agent or broker uses a computer to generate lists of Boston homes for sale, their location and description, and available sources of financing. In some cases, agents and brokers use computers to give buyers a virtual tour of Boston homes in which they are interested. With a computer, buyers can view interior and exterior images or floor plans without leaving the Boston real estate office.

Agents may meet several times with prospective buyers to discuss and visit available Boston homes. Agents identify and emphasize the most pertinent selling points. To a young family looking for a house, they may emphasize the convenient floor plan, the area's low crime rate, and the proximity to schools and shopping centers. To a potential investor, they may point out the tax advantages of owning a rental property and the ease of finding a renter. If bargaining over price becomes necessary, agents must follow their client's instructions carefully and may have to present counteroffers in order to get the best possible price.

Once both parties have signed the contract, the Boston real estate broker or agent must make sure that all special terms of the contract are met before the closing date. For example, the agent must make sure that the mandated and agreed-upon inspections, including that of the home and termite and radon inspections, take place. Also, if the seller agrees to any repairs, the broker or agent must see that they are made. Increasingly, brokers and agents are handling environmental problems as well, by making sure that the Boston homes they sell meet environmental regulations. For example, they may be responsible for dealing with lead paint on the walls. While loan officers, attorneys, or other persons handle many details, the agent must ensure that they are completed.

For more information about Boston real estate, check out my website at http://www.fordrealty.org/ or contact me at realtyford@yahooo.com

Sincerely,

John Ford

John Ford is the found Ford Realty Inc., a Boston are real estate agency. He's participated in hundreds of real estate deals in the Boston area. He maintains a real estate blog at http://www.fordrealty.org/blogs/.

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