What is the value in an agent?
Time is an essence – when an offer is made to a seller, the buyer will need to push for the closing by seller accepting this offer. This is crucial to close the process of offer and acceptance in a binding contract. Any time lost is at a detriment to the seller or buyer. Why? A seller always wants to sell higher and buyer always wants to buy lower. So, there is always price haggling.
Imagine the Cash buyer A offered at RM480,000. The Loan buyer B offered at RM500,000. The offer keeps hanging on. If more buyers, A&B will not be accepted. It drags on… buyers A and B might change their mind and go away. Offer no more! This is “Time is an essence” in action. So, an estate agent will push the seller for an acceptance to close the deal. Inevitably, he will push another advertisement to get better offer from a new buyer – may be at RM490,000 or RM510,000. This time is to come to a stop.
So, in short – agents work to get more buyers. A good agent through his technique of follow up gets the best deal for his seller/landlord. Agents get remunerated for ability to solve a property problem. All at zero cost to the client until it is solved. Remember – your agent is paid zero for all his work until and unless he reaches a solution for you.
Indeed, where on earth do you get a tuition teacher delivering a pass grade then only get paid, right?