Have you ever heard of intermediaries, brokers or commission agents? Do you know what real estate brokerage refers to? Do you know the percentage of commission that can be earned by a person who puts the interested party in contact with the owner?
Well, if you want answers to those questions, you’ve reached the right place! In today’s article, we are going to explain to you what real estate brokerage is and the advantages that this service offers for the sale and rental of properties.
What Is Real Estate Brokerage?
Real estate brokerage is the intermediation that a third party makes to put in contact the seller of a property with its possible buyer; the same is true in the case of renting. The intermediary is known as a broker or real estate agent, commonly, some people call it intermediary or commissionaire.
In other words, the real estate brokerage is an intermediation that occurs between a real estate agency and a third party to streamline communication with a potential buyer. It is necessary that in this type of transaction, the real estate agent is clear and proposes fair prices so that both parties benefit, that is to say, the buyer and the seller.
Another definition states that brokerage is a contract that allows an intermediary to put in contact two people willing to do business and, in exchange, to receive a percentage of the total value of the deal as consideration. Specifically, in real estate brokerage, the broker helps formalize a contract for the sale or lease of a property.
Who Does Real Estate Brokerage?
A broker is the person who, due to his or her special knowledge of the markets, acts as an intermediary agent in the task of putting two or more people in contact with each other for the purpose of carrying out a business transaction, without being bound to the parties by relationships of collaboration, dependence, mandate or representation.
What Are the Activities of a Real Estate Broker?
A real estate broker or agent is responsible for carrying out and facilitating the business of buying, selling and renting real estate. He is an expert who knows the real estate market to mediate and offer the best deal to his clients.
Successful brokers continually educate themselves on industry trends, update their knowledge of administration, contract management, marketing and customer service; they implement strategies and use various channels to increase business opportunities.
What Is the Real Estate Brokerage Contract?
The real estate brokerage contract allows the negotiation to be managed correctly and with legal security. It consists of a contract that contains the agreement between the parties interested in real estate to determine their rights and obligations.
In this contract are recorded the data related to the service, such as the percentage that the broker receives for real estate brokerage, the measures that would be applied in case of non-compliance. It is recommended that the contract always be in writing.
Advantages of Real Estate Brokerage
Real estate brokerage is a service that offers advantages for the sale of apartments, as well as for the rental and purchase of different properties. Remember that the service consists of having the intermediation of an expert. Here are some of them:
Realize the publication of the property in an efficient way: using the brokerage for the sale of your property, you get it published in an efficient way, taking into account that the broker has the knowledge and experience to show the property to more potential customers.
The main advantage of selling and renting through brokerage is that the properties entrusted to real estate agents will have a greater diffusion for their offer and promotion. That is, they will be more visible to potential buyers, which ends up generating the purchase or rental much faster, since the said property has had a greater reach. This is so because we remember that the real estate agent is an expert in the field and already knows where to find potential prospects, and also has a large database that allows him to find more options.
Accompanying and carrying out documentary procedures: when selling, buying or renting a property, a series of procedures must be carried out to check its status. The review of up-to-date payments, deeds, taxes and other processes that the real estate brokerage service leaves covered. The expert of this service, advises the seller in the organization of the necessary documents and taxes taking into account all the regulatory bases and the update of the regulations in force.
What do you think of the real estate brokerage now that you know more about this service? Let us know your thoughts in the comments below.