The Role of the Real Estate Agent in Romania
Florian Ionescu, Wednesday, 22 January 2014
This article is part of a series of 8 articles about buying property in Romania. The other articles in the series cover the following topics:
Put in layman’s terms, the real estate agent is the liaison between the buyer and the seller. His job is to intermediate the buying/selling of a property while making sure that everyone gets what they want.
The agent can help both the seller and the buyer get the best deal because he knows the market and the real value of the properties. There are situations in which the buyer does not have the financial resources to support the acquisition of a certain real estate property, so the agent has to help him find whatever is the closest to what he wants within an affordable budget. In order to do that, the real estate agent may advise the buyer to change the desired location (from the center towards the periphery, for example) or to settle for something smaller in terms of space. However, there is something else that the real estate agent can do to help the buyer get what he wants: he can help the client obtain financing from banks or other financial institutions or brokers.
Apart from the help with the financial issues, the real estate agent helps the buyer save time. Because he knows the market, he may efficiently sort the properties which fit his client’s needs from the ones that do not. The agent pinpoints the properties, he checks the legal status of every one of them and then takes the buyer to view the ones that match his criteria. In a world where time is money, the buyer will be happy to have someone take care of this matter efficiently.
As mentioned before, the real estate agent helps not only the buyer, but also the seller. A professional real estate agent knows the market, he knows potential buyers, he knows when is the right time to put a property up for sale and at what price. The seller may also be given access to a list of clients and he also may benefit from an amazing advertising campaign orchestrated by the real estate agent. For the seller, all of these have the role of increasing his chances to sell the property fast and for the right price.
Checklist for Choosing a Good Agent
Of course, there are plenty of myths and stories about real estate agents who are actually cons, but there are a few things you may want to consider in choosing the agent for you.
First of all, check the agent’s experience. Although it does not matter if he is young or old, what truly matters is that he has good references from his previous clients. Ask him about his past deals and the latest transactions and ask him what was the initial price of the property and the final one – that should be a good indicator of how good he is at negotiating.
Second, choose your real estate agent depending on what type of real estate you are interested in. For example, if you want to buy an apartment, go to an agent that specializes in that, not in office spaces.
Third, take into consideration his commission. It is negotiable, but you should consider the entire market. For example, in Bucharest, the commission is 4%, while in other cities in Romania, the agent’s commission does not exceed 2%. Fourth, ask him about what strategy he will use in the hunt for the perfect property/buyer. If he shrugs his shoulders, you may want to see another real estate agent.
Fifth, ask him about any hidden commission. For instance, if you decide to stop working with him, is there a fee that you should pay? In order to avoid surprises, ask him beforehand.
Last, but not least, ask him to bring the contract and give you the time you need to study it thoroughly. Observe his reaction and whatever you do, do not accept to sign a contract without reading every clause. The agent should be able to explain every information provided in the contract.
This article is part of a series of 8 articles about buying property in Romania. The other articles in the series cover the following topics:
Put in layman’s terms, the real estate agent is the liaison between the buyer and the seller. His job is to intermediate the buying/selling of a property while making sure that everyone gets what they want.
The agent can help both the seller and the buyer get the best deal because he knows the market and the real value of the properties. There are situations in which the buyer does not have the financial resources to support the acquisition of a certain real estate property, so the agent has to help him find whatever is the closest to what he wants within an affordable budget. In order to do that, the real estate agent may advise the buyer to change the desired location (from the center towards the periphery, for example) or to settle for something smaller in terms of space. However, there is something else that the real estate agent can do to help the buyer get what he wants: he can help the client obtain financing from banks or other financial institutions or brokers.
Apart from the help with the financial issues, the real estate agent helps the buyer save time. Because he knows the market, he may efficiently sort the properties which fit his client’s needs from the ones that do not. The agent pinpoints the properties, he checks the legal status of every one of them and then takes the buyer to view the ones that match his criteria. In a world where time is money, the buyer will be happy to have someone take care of this matter efficiently.
As mentioned before, the real estate agent helps not only the buyer, but also the seller. A professional real estate agent knows the market, he knows potential buyers, he knows when is the right time to put a property up for sale and at what price. The seller may also be given access to a list of clients and he also may benefit from an amazing advertising campaign orchestrated by the real estate agent. For the seller, all of these have the role of increasing his chances to sell the property fast and for the right price.
Checklist for Choosing a Good Agent
Of course, there are plenty of myths and stories about real estate agents who are actually cons, but there are a few things you may want to consider in choosing the agent for you.
First of all, check the agent’s experience. Although it does not matter if he is young or old, what truly matters is that he has good references from his previous clients. Ask him about his past deals and the latest transactions and ask him what was the initial price of the property and the final one – that should be a good indicator of how good he is at negotiating.
Second, choose your real estate agent depending on what type of real estate you are interested in. For example, if you want to buy an apartment, go to an agent that specializes in that, not in office spaces.
Third, take into consideration his commission. It is negotiable, but you should consider the entire market. For example, in Bucharest, the commission is 4%, while in other cities in Romania, the agent’s commission does not exceed 2%. Fourth, ask him about what strategy he will use in the hunt for the perfect property/buyer. If he shrugs his shoulders, you may want to see another real estate agent.
Fifth, ask him about any hidden commission. For instance, if you decide to stop working with him, is there a fee that you should pay? In order to avoid surprises, ask him beforehand.
Last, but not least, ask him to bring the contract and give you the time you need to study it thoroughly. Observe his reaction and whatever you do, do not accept to sign a contract without reading every clause. The agent should be able to explain every information provided in the contract.
All types of property for sale in Romania by private sellers and estate agents. Find your perfect apartment, house or farm on the Black Sea coast or in the Carpathian Mountains.
This article serves as an introduction for foreign citizens and/or legal entities to the legal context in which they can acquire and will be able to
acquire real estate within the Romanian territory. Tackling both the buying process in itself and their funding options, it serves as a good starting
point in their endeavor to buy property or land in this country.
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