CAT | Real Estate
With increasing importance on how to strike a right deal and avail the best in property. Property buyers seek the help of a broker. He is one who has in-depth knowledge of the property in his vicinity. Not only does he know the basis but also the laws on the property, tax criteria and other utilities that will benefit his client.
A broker is the focal point of sellers, buyers, agents and brokerage. Agent is one who provides his service to a licensed broker and is paid according to his input.
A broker is expected to foresee his clients need. For instance if the client is asking for a 2-bedroom flat then the broker should understand if he is actually looking out for a 3 bedroom as the concept of work from home is getting popular. Or if the budget can find the client a 3 bedroom with smaller area. Either way the client should be satisfied. The broker should also realize that if the buyer were a young couple, then a school or playschool, in the vicinity would be preferable.
These are the genuine brokers unlike a few that only enter to introduce the buyer and the seller then disappear only to return for the brokerage when the deal is made final. Normally 2% is the charge on a total amount that is to be paid as brokerage. If it is on lease then a 2-month rental amount is agreed as brokerage. However it can differ with the length of stay.
Anyone and everyone can become a real estate broker. This makes the sector extremely disorganized. But increasing importance on real estate has led to organizing the sector. However with the Estate Agents Associations of India organizing themselves a slow change is now noticeable. Also the anointing of multi-national brokery companies has brought more organization in this sector.
Traditionally retired individuals were known to enter this field due to flexible working time. But as the sector has gotten organized more and more professionalism is demanded making it critical for any person to enter anytime.
Obtaining real estate listings is quite a task. Real estate agents spend hours and are known to sit late evenings obtaining listings. They collect date from the internet, newspapers, magazines and any other source that can provide them with any information. They tabulate the data and store it in their computer to reproduce whenever they need to display it to the client.
They even collect data on the last sold price of an area and the current price. This gives them a fair idea of the competitive price the area is worth. Merely obtaining listing is not sufficient. One has to know which listing will interest the client and suit his budget.
Sometimes the listing available with the realtor is not sufficient. He then has to network with the other realtors to give his client a better variety and narrow down on one property. This networking is time consuming and replying to the deluge of questionnaires that arise from this is another painstaking task.
To simplify the listing process a few software modules have been prepared. The first is based on geographical designs. Where the clients can zoom in and out of the property map revealing the geographic locations of the property. Another module displays the search for nearby facilities like schools, colleges, clinics, hospitals, banks and more. New modules that display locations according to client’s budget and area required have also been created.
These are a few of the many modules that help real estate agents in their critical task of listing. New websites are created that let clients check the listings remaining anonymous. Making them sign-up only if they need any details. This helps estate agents to build a wider profile for prospective customers.
Thus with new-age technology the listing burden has reduced substantially but it is not totally subtracted. Modern technology has enabled listing to provide prospective buyers to view maps of the property, its vicinity, amenities, cultural background and many more details.
A real estate agent is one who can negotiate and conduct sale of real estate on behalf of his client. His task is to collect data of saleable property and of prospective buyers. Once the deal is complete, the agent gets the commission of what he has done. For instance if he had obtained the listing or sold the property he will be paid according to his input. Thus if he can solely handle a listing and sale he can increase his commission.
Entering the realty market is not a difficult task. But to keep up with the competition of already existing agents and brokers is tough. As they already have a handsome portfolio of listing and clientele.
As local realtors, brokers and agents know best about the real estate in the vicinity. They know what befits their client the best according to his budget. They are abreast with the local tax laws, zonal laws and other minor fine lines that can make a big difference.
Although most real estate agents are involved in residential property, a few from specialized organizations put their hands into commercial, industrial and even agricultural estate. But to sell these type of properties, the agent must have a through knowledge of the available utilities, transportation, labour supply and other legal issues that go into such estate buying and selling. They have to understand the entire area so that they are sure it will best fit their client’s needs.
With technological advancements agents can even show their clients the prospective area on the computer. One can zoom in on the floor space and the surrounding. Thus giving the client a virtual tour instead of actually moving to the required location. However the agent has to be ready according to the client convenience to take him to the actual site.
Once the deal is settled the agent must make sure that whatever the seller had agreed to complete, is done. For example if there are any repairs, leakages etc. that were to be fixed, have been completed. The real estate agents responsibility is not only to complete the deal but also to make sure the client is completely satisfied. That every minuscule aspect has been checked and completed.
