Real Estate Agent vs Self

[TexasHorseLady]

I agree with Steve on the point that you should use someone who knows the areas that you're interested in. And I've been known to refer someone, as well.

However, "North Austin" vs. "South Austin"? Or the Austin metroplex? An agent should be familiar with those.

Steve brings up a good point, the MLS. An agent can be in more than one MLS, as long as their broker is, but they have to pay for the privilege, so you might want to ask about that and which areas are served by the MLS(s) they're in. That will give you some idea of what area they can serve you in.

[austin-steve]

However, "North Austin" vs. "South Austin"? Or the Austin metroplex? An agent should be familiar with those.

I think an agent can be "familiar" with many areas, but an "expert" in fewer. I know SW, South, North, Central Austin extremely well. I've lived in all these areas since 1985, know the streets, know the neighborhoods, know the houses, subdivisions, history, etc.

It's not possible for me to know all areas of Austin, or the newer outlying areas with that level of intimacy.

If a buyer told me they want to buy in Elgin, and I believe that buyer deserves to work with a market expert in that area, I have to admit that I'm not the market expert and refer them to someone who is. Otherwise, I'm doing a disservice to the buyer and they are not hiring the best agent for the job.

That said, I've had clients insist that I help them in unfamiliar areas because we have a past relationship and they trust me. In that case, I do a lot of up front homework and learn as much as I can, talk to other agents who know the area, etc.

Steve

[TexasHorseLady]

Well, it DOES help if you've lived here for 40-odd years and watched most of those areas being built - it creates a sort of intimacy that you can't get just by studying them. When Mopac used to be a railroad and not a highway, 360 was scenic hillside, 2222 was the very edge of civilization on the way to the lake, Hippy Hollow wasn't "official" and paved, and there was this truly great hamburger place waayyyy out in the country just north of 183 that had real chocolate malts and fries to die for, and there was NOTHING built overlooking Barton Creek upstream from Barton Springs Pool.

But, true, there are areas that I'm not "expert" in until I teach myself to be for much the same reason you mention above - a past client or friend insists that only you will do, so you stay up late studying and drive around a lot and talk to people and eat at the restaurants (my favorite part! ) and check out the stores and do your homework on the MLS and the tax records and all that. Just part of the job, and one that I think most agents deal with at one time or another.

[jenkirk]

Originally Posted by TexasHorseLady

The purpose of the Buyer's Rep Agreement is to protect both parties and to make it clear to all to whom the agent owes fiduciary responsibility. Pretty much, in Texas, if the agent doesn't represent the buyer, they represent the seller. It used to be that all agents represented the seller and there were no buyer's agents and the buyer had no representation. Then, there were buyer's agents (within recent memory), but buyers were often under the impression that just because an agent showed them homes that that agent represented their interests when, in fact, by law the agent was required to represent the interests of the seller, not the buyer.

The Texas Real Estate Commission wrote the Buyer's Rep Agreement so that all parties (buyer and agent) are protected - since no agent gets paid until closing, and doesn't get paid unless there IS a closing, it is written into that agreement how much they are to be paid at closing. As I said, generally that comes from the seller's agent, but many, many seller's agents only offer a portion of their commission to agents who are actually the buyer's agent - which is to say, have a Buyer's Rep Agreement with the buyer and whose fiduciary responsibility goes to the buyer, not the seller. (Agents who do not work for the listing broker but do not have a buyer's rep agreement are considered, by law, to be subagents of the seller.)

Now, some agents do work without the paperwork, just like some agents will only show you properties in very specific areas that they're comfortable in. Me, not so much - I like for everybody to be on the same page and for it to be in writing so there's no confusion on anybody's part about who my responsibility is to. But, then, I used to be a legal assistant in a past life and that likely makes me more careful (or paranoid) about these things.

Well said. My previous broker made us use these, but then would not let people out. So many of my clients had to stay with him when I moved on.

Since then I have only used them occassionally for first time buyers, but I think I will change that attitude. Great post!

[austin-steve]

But, true, there are areas that I'm not "expert" in until I teach myself to be for much the same reason you mention above - a past client or friend insists that only you will do ...

Ironically, my wife (also a Realtor) is doing just that at present. We have a buyer who has bought 4 homes from us, all South, who now wants to buy in Leander or Cedar Park. She's spent the past couple of weeks up there ever other day, previewed 100+ homes, talking to other agents, learning which neighborhoods to avoid, which are solid, school boundaries, etc.

She actually mentioned this morning "I think I'm becoming an expert on Leander and Cedar Park. There are some really nice areas up here if you don't mind being this far from town". She was talking to me from the back yard of a 2200 sqft home priced at $150K backing to a greenbelt in Mason {Creek? Village?}. That home would cost $220K to $250K in SW Austin.

I actually own two rental homes in Leander but I rarely go up there so my knowledge is limited.

Steve

[TexasHorseLady]

Yep, that's how it happens! You start out an expert in limited areas and stick pretty much to them, then something nudges you out of your "comfort zone" and you do what you have to do to become an expert in that new area, and, voila! Your comfort zone (and your expertise) has expanded! Just like in the rest of life, and other professions, really. After a while, if you do this enough, you become an expert not only in an expanded area but in becoming an expert.

[austin-steve]

Originally Posted by TexasHorseLady

... After a while, if you do this enough, you become an expert not only in an expanded area but in becoming an expert.

That's well said. Learning how to learn is the most valuable asset one can have.

[TexasHorseLady]

Yeah, that's what my parents pounded into my head from a very, very young age, bless 'em!