20.03.09 12:31 Age: 1 yrs

New case study about the value of estate agents

By: Anne Bayne

A study of the university Stanford shows that the use of an estate agent accelerates the sale and does not make the price of a property more expensive.

The study bases on data which has been collected during 26 years from the scientists and sets 6 crucial advantages when selling through an agent: The agent advertises the property and introduces it actively to his existing clients, he helps with the negotiations, he scans the market to find a suitable client and by doing so, accelerates and facilitates the process to find a buyer, he calls in other agents of his network to sell the property, he provides information regarding the market situation and suggests an appropriate price and he helps with collecting all the necessary documents and papers to complete the sale.

To resume the study explains that the agent’s commission with 6% in the USA is a bit too high, that the use of an estate agent however does not lead to an increased price and accelerates the whole process.

Source: National Bureau of Economic Research http://www.nber.org/papers/w13796