The majority of home sales occur through the services of a real estate representative. There are two basic types: the seller’s agent and the buyer’s agent.

Most real estate transactions involve a seller’s agent. Their primary job is to market the home for the seller and find a buyer. The seller enters into a contract with the seller’s agent to sell their home. This creates a business relationship in which the agent is working for the seller. The seller’s agent will also list the property on the Multiple Listing Service (MLS). MLS is a multiple listing system that provides information on homes currently listed for sale with participating Realtors. The goal of the seller’s agent is to sell the property for the highest price possible. The agent’s loyalty is to the seller, with whom he/she has a contract. In some instances the seller’s agent will also be the buyer’s agent.

A buyer’s agent and the buyer enter into a contract in which the agent agrees in the buyer’s best interest. If a buyer chooses to work with an agent when the contract is signed, the buyer agrees to work exclusively with that agent. The buyer’s agent is often paid by the seller, an in this case, the seller’s agent splits the commission.

A real estate agent can provide you with helpful information concerning a neighborhood, such as how, and why the neighborhood is changing, an by comparing the real estate activity to other neighborhoods.

A real estate agent can recommend you to a mortgage Lender, professional home inspector, attorney, insurance agents, title companies and escrow agents. They can help with information on community based housing services.

Most agents have access to a variety of homes through the Multiple Listing Service. This means that you can get in touch with any real estate agent working in the area in which you want to live, and that person can help you look for a home on a wide scale, in any community. Usually, there is no cost to you for the services they provide.

You should feel comfortable working with the real estate agent, because it can take months before you find the house you want to purchase. The real estate agent is looking for something that suits your individual needs and tastes, and this will happen sooner if you have a good relationship.

One way to find a real estate agent is to get the name of the real estate firm that appears on a "for sale" sign you see as you look around a neighborhood. You can also just walk into a real estate agent’s office or ask for a referral from friends and relatives. Talk to the real estate agent about the kind of house you are looking for in your price range. The agent should be able to tell you if there are any homes like that in your price range in that area. A simple calculation to determine the price of the home you can afford can be easily determined by multiplying your gross income by 2.5.

Example: annual gross income $30,000 X 2.5 = $75,000 priced home.

If you are moving out of state, an agent in your area may be able to recommend an agent familiar with your new location. Normally, the agent at your former location can make referrals to agents in other areas. Many real estate firms have sophisticated referral programs which will list houses available. In most instances, these agencies can provide a list of available properties prior to you relocating.

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