Real estate agents are frequently stereotyped in Australia. In a survey of trusted professions, they ranked below journalists, which is fairly low. Many believe they are overpaid yuppies who do little more than cruise around in luxury cars while gassing on their mobile. They take champagne lunches and cut corners while comporting themselves as a professional elite beyond accountability. We often think that they are devoid of ethics and not bound by any code or authoritative body. If you’re weighing up the options while selling your home, you may reasonably ask, what does a real estate agent do? We explored an aspect of this question recently when we asked ‘Do I Really Need A Real Estate Agent To Sell My House?’ Now, we strip away the myths and lay bare the truth of what a real estate agent does. The reality is quite surprising and good agents are invaluable.

What Is a Real Estate Agent?

A real estate agent is licenced by the state to work for an agency. The agency is a firm that employs licensed agents as its sales force. A real estate agent must be licensed to operate in Australia. To earn a license, an aspiring agent must have completed a Certificate IV. This diploma is earned after completing a set number of learning units pertinent to the profession. Following that, the graduate must complete 12 months of work experience under the supervision of a licensed broker. The length of courses and training periods vary from state to state, but the essential requirements are the same Australia-wide. This process ensures that the prospective agent has demonstrated the requisite level of knowledge and proven themselves in a real-world work environment. This process satisfies both the theoretical and practical aspects of the profession. A qualified agent can start their own agency later on.

Meanwhile, a real estate agent does much more than broker deals between buyers and sellers. They act as property managers, working on behalf of owners and tenants in the leasing of rental properties. This involves preparing leases for a property, either a house or an apartment, and inviting applications for tenancy. When a tenant is approved, the property manager collects rent on behalf of the owner. If a rented property requires maintenance, it is the property manager’s job to arrange for repairs and service. In the commercial sector, they manage offices and other business premises. They are responsible for setting and maintaining the budget for the property. Oftentimes, a property manager cops flak from a tenant over disputes stemming from maintenance issues, etc. In truth, it can be that an owner is unwilling to face their obligations or has financial issues themselves.

Are All Real Estate Agents The Same?

Within the real estate profession, there are various areas of expertise. Some might be dedicated auctioneers. Excelling at auctions takes a special kind of talent other than a regular negotiator, although it is comparable. The idea is always to obtain the highest possible sale price for the buyer. Other real estate agents specialise in commercial real estate sales, while there are those happy to plod along as property managers and suchlike. The field is as varied as the ambitions of the agents themselves. How far they rise and what they achieve is commensurate with their gifts and training. Like any profession, the level of experience and the aptitude for sales, along with natural talent, determine their fortune. A dedicated agent will stake out an area and cultivate it for years. In line with recent government guideline changes, anyone working in the property sector must renew their licence every three years.

A Real Estate Agent Is Your First Port Of Call

After deciding to sell your home, you will need sound advice from a reputable source. A real estate agent provides you with the basics to get you started. The first of these is a property appraisal, which will provide you with a primary notion of your property’s true value. This will allow you to set a reasonable starting price for your house. They will then recommend the optimum time to sell. They advise on the essential conditions, such as whether it is a buyer’s or seller’s market. Likewise, they can give you a heads-up on comparable properties in your area. Finally, they’ll let you know the best manner of sale for you, such as a private sale or an auction. With a bit of luck, they might already have someone seeking to buy in your area. All of this is a real estate agent’s area of expertise.

Upon their engagement, a real estate agent acts as the mediator between the buyer and seller. Depending upon what services you require, the agent performs a series of tasks to aid in the strategy for selling your home. Put simply, the real estate agent is a “communicator.” Their fundamental service is to negotiate the best price for the sale of your house. To this end, they have attendant responsibilities. All of these functions share the common purpose of selling your house, unit, apartment, or building. These include advertising your property and making it presentable to prospective buyers. They also take care of relevant paperwork. Again, the emphasis is on finding the right buyer and achieving the best possible price. Any failure to act efficiently in any of these capacities indicates a sub-par real estate agent. In a recent article, we investigated what makes a good real estate agent.

When Do I See One?

If you own a property that you want to rent out for a profit, you may hire a real estate agent to handle business for you. The property manager will take care of everything; they will create leases, file bonds, and look after all inspection chores. A property manager will be in charge of managing the maintenance of your precious assets as well as collecting rent on your behalf. You may easily carry out these tasks on your own. However, the nature of the game may increase your stress levels. A property manager will serve as a negotiator, debt collector, and manager on your behalf. Renting to unknown tenants in a private capacity may result in unintentionally signing up dubious tenants. An agent will have the most up-to-date screening process. If you are a tenant, then renting through a real estate agent is a safer option than a private agreement.

A Real Estate Agent Has Legal Obligations

The general perception of real estate agents is that they’re all scumbags out to defraud you. To be sure, a fair share of cowboys operate out there. Nevertheless, this is a condemnation of the individual agent rather than a reflection of the industry. It is the same anywhere that money talks, but real estate agents somewhat unfairly cop the brunt of negative perceptions. In reality, the property market is one of the most heavily regulated industries in the country. The average real estate agent is subject to regular tax audits and is monitored by Fair Trading. They are answerable to consumer, trading, and tenancy tribunals. The Australian Security and Investment Commission (ASIC) holds them to account for false advertising. Therefore, there is a slew of mechanisms in place to hold dodgy real estate agents accountable. Only the worst would risk chasing the profits of malpractice.

A greater grasp of the onerous legal responsibilities that a real estate agent is under should allay a client’s fears. Because of this unfavourable impression, the insurance on a real estate firm is highly costly since potential plaintiffs are many. An agency must be prepared to defend against unfair allegations made by the media, disgruntled owners and tenants, and others. Regardless, it is not so bad that it dissuades salespeople from aspiring to work in the property market. Again, there is good and bad everywhere. One must shop around. It is all a matter of finding the right real estate agent for you.

Conclusion

A real estate agent is responsible for a variety of tasks that link property sellers and purchasers. Despite the perception in the community, the majority of real estate brokers are qualified professionals. Far from getting money for nothing, the agent takes on the arduous responsibilities that most of us would rather delegate elsewhere. Before being granted their license, a real estate agent is educated in their profession, supervised and tested. A real estate agent cannot endorse a contract until they are accredited. The perfect real estate agent is only a phone call away. Perfect Agent is dedicated to helping you meet them!