Enjoy 10% OFF your first listing. Receive your personal promo code: Signup Now. Remaining.

Limited time offer. Enjoy 10% OFF your first listing. Receive your personal promo code here: Signup Now

Days
Hours
Minutes
Seconds

The PropertyNow Blog

14 things most real estate agents won’t tell you

a graphic image with the words '14 things most agents won't tell you' and a cartoon of a spy and a door that says 'secret'

Is hiring a realestate agent the right strategy for you?

Australia tends to have a love/hate relationship with real estate agents

Do we trust them? Not really. Do we hire them to sell our most prized assets? Often. 

But here’s the thing. 

There are some things real estate agents will be reluctant to tell you when it comes to selling property because they know they’ll lose money or risk landing the sale of your property altogether. 

We think you have a right to know what these things are, so you can make an informed decision about selling your home and the best way to do it.

A realestate agent’s commission rate is negotiable.

While an agent will tell you most clients pay a certain percentage rate, this rate is absolutely negotiable. The internet has made real estate agent jobs easier than ever because buyers are so accessible. Think about that during your negotiations. 

You should also consider your home’s price range. There’s very little difference in workload to selling an $800,000 house or a $5 million house – yet the agent’s commission is considerably different.

Your marketing campaign supports their marketing campaign.

Ever seen a house advertised without the real estate agency’s branding slapped all over it?  You pay for those expensive print campaigns prominently featuring your agent’s logo! Have no doubt about it… real estate agencies do very well out of their clients’ marketing campaigns.

Becoming a realestate agent is easy.

In some states, the training and certification to become a realestate agent can be completed in a matter of days. Make sure you quiz your agent about their education and experience. Can they justify that huge commission?

Many houses sell themselves.

Agents don’t have any special tools that ‘make’ somebody buy a house. Buyers tend to buy houses they like and can afford. Present your home well and it will sell quickly and easily – with or without an agent.

These days, local market knowledge is available to everybody.

Thanks to websites like realestate.com.au and Domain, you can get all the market info you need to sell your house, including suburb snapshots, previous sales data, demographic info. You can even buy the same detailed property and suburb reports that agents use from RP Data if you want to.

An agent’s ‘database of buyers’ is defunct.

These days, buyers don’t tend to sit around waiting on real estate agent’s databases to learn about properties coming onto the market. Buyers in the market are constantly changing. They’re also extremely active online doing their own research. This means any buyer  sitting on an agent’s database are either no longer in the market, or you can access them directly.

Some agents are guilty of pricing up your house.

The real estate industry is extremely competitive. Agents have to compete against other agents to win your sale. They know that money speaks and you’re more likely to sign with them if they value your home higher than the next agent. They also know they can gradually beat you down on price after you sign an exclusive agreement with them. Don’t fall for it.

Some agents are guilty of pricing down your house.

While this practice (what we call underquoting) is now illegal in most states, it’s still happening. Underquoting is when an agent underquotes the value of your home to buyers to broaden the pool of interest. The problem here is that it alienates buyers and wastes their time. And why advertise to buyers who simply can’t afford your home?

They may pass on your enquiries to other properties.

Yours is not the only property your agent is trying to sell. If they have a buyer who likes your property, but isn’t 100% sold, they may redirect them to another property if they think it’s going to be an easier sell.

Agents can compete with other agents from the same agency.

Most agencies tend to split your commission between the agent who lists your home, the agency itself and the agent who sells your home. The downside is, agents may not refer buyers to the property of another agent within the same agency if they’re likely to miss out on commission. And that means your pool of buyers shrinks.

Agents don’t handle your paperwork.

It’s actually your solicitor or conveyancer who handles all or most of the legal paperwork to do with your property sale. While some agents may fill in the front page of the contract, the solicitor does the heavy lifting and can do all of that work on your behalf without you paying an agent as the middleman.

An exclusive agreement binds you to paying commission.

Let’s just say you introduce somebody to your property who ends up buying it, or you sign with another agent because the agent you signed an exclusive agreement with does a poor job. The problem is, under that exclusive agreement, you may still be required to pay commission – regardless of whether your previous agent found your buyer or not.

It’s no longer a necessity to use a real estate agent to sell your home. Technology has changed everything, and it now makes much more financial sense to handle your property sale privately.

We can help. It’s our mission to show Australian homeowners how easy it is to sell their properties themselves. We’ve got great advice, checklists, step-by-step guides and more to get you started – call our friendly team on 1300 664 773 today!

Agent Handing Over the Keys in Front of Business Offi

How to sell commercial property without a realtor: A comprehensive guide

Anyone who says it isn’t easy to learn how to sell a commercial property without a realtor is selling something...

Realtor with sale signboard

Selling a house online? Our easy step-by-step guide shows you how.

Learn everything you need to know about selling your house online in just 5 simple steps Selling a house can...

A 5-step approach to selling a house without an agent to get the best return

Why spend tens of thousands on agent commissions? Selling a house without an agent is steadily gaining momentum among sellers...

a woman pointing to a floorplan on her laptop's screen

6 Impacting Factors That Bring Property Value Down

Property prices around the world rise and fall in cycles, impacted by influences such as the economy, interest rates, and...

Showcase your home through a 3D virtual house tour

When it’s difficult for buyers and tenants to view your property in person, why not let them view it from...

a man's hand holding a wallet and pulling out money from it

Real estate agent commissions – how much should you pay?

How much you should pay for real estate agent commission can come down to whether you’re selling a $4 million...

a man and a woman happily getting the keys from an agent

Cooling-off periods for property: 4 things you should know

Property tends to be one of our greatest investments. As a result, buying property is a huge decision – especially...

a hand holding a pink ceramic pig

3 Things You Should Fix Before Selling Your Home

When it’s time to sell, you want to maximise your property’s sale potential. But do you know the one thing...

a man and a woman getting the keys to their new home

Property Settlement: What Happens and What Should You Do?

When selling your home, settlement day is the end of a chapter and the start of a new chapter. You’re...