For most people, buying a home will be the most important investment that they ever make – until it is time to sell and get a bigger place. When it is time to sell, homeowners expect their real estate agents to strive for the highest prices possible. Unfortunately, agents sometimes have different plans.
What About Commissions?
One would think that since real estate agents are driven by commissions, they will happily hold out until they secure the highest possible prices for their clients. However, this is not always the case. Some agents find that devoting themselves to a single client’s asking price is less profitable than quickly selling lots of houses for less than the properties are worth. An agent can move six underpriced homes during the same time that it takes to sell three at market price.
It is customary for real estate agents to encourage sellers to lower asking prices if they are not competitive. Agents also give reality checks to buyers who have outlandish “dream home” expectations. However, it is another thing entirely to turn and burn properties to make a faster buck.
The strategy may work well for the real estate agent, but it hurts the homeowner who might have needed the full ask for a down payment or who plans to live off the proceeds in retirement. It is also a breach of the agent’s fiduciary duty to act in the client’s best interest.
New Tech to the Rescue
Fortunately, new technologies can bypass unscrupulous real estate agents and enable sellers to transact securely and transparently. Propy’s blockchain-based real estate platform provides sellers with an aggregated list of comparable properties so that these sellers know the right home value approximations. The process makes it more difficult for an agent to rush a client into accepting a lowball offer.
When it is time to close the deal, all pertinent documents can be uploaded and signed online via Propy’s transaction platform. The process not only saves on legal fees but also expedites the closing process. The time savings could well disincentivize real estate agents from encouraging clients to take less money than their homes are worth. Propy makes it possible for sellers to get the most for their homes and for agents to get their deals closed as quickly as possible.