When Should I Cut Out An Estate Agent?

Should you ever consider cutting out an estate state agent, and going around them, to get directly to the seller, if so when?

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So, the short answer to this question is…

No

In 99% of cases, I honestly don’t think you should ever cut out in an estate agent, by going around them to get directly to the seller.

And before I share the one occasion where you might want to consider doing this, let’s consider why you shouldn’t do it.

Well, first of all, I think it’s an unethical thing to do, an agent makes their money by introducing buyers to sellers, and I know they work really hard, to put things together, so I just think it’s a really unethical thing to do.

But, from a purely business standpoint, do you think an agent goes out to see an awful lot more deals in a week than you could ever see? Of course, they do, are they going to see more opportunities than you? Pretty much without question.

And a good agent could be extremely worth it, in fact, dare I even say you would only need 1 or 2 really good agents to build yourself a bit of a property empire, another thing about agents is that they all kind of know each other.

I will never forget the time I went to the JRC Global Buffet in Wood Green, with a friend of mine, and I looked around the corner and saw an entire dinner table full of every estate agent in my high street, the sight of it blew me away.

If you were to upset one agent, do you think they’re going to tell every other agent in their area? Of course, they are, so you shouldn’t do it.

With all that said, very occasionally you will come across an agent, that is simply unwilling to put your offer forward, now I know that may sound mad but, I have personally experienced this more than a few times.

Maybe you have a seller who’s been on the market for well over a year, and you can genuinely see a great solution that will work exceptionally well for the seller, but it might not be a normal kind of deal.

Maybe it’s a little bit outside of what the agent is used to experiencing, and you go and tell the agent what you got in mind and they simply refuse to put this forward to the seller.

Personally, I think that is the one occasion where it’s acceptable to go around the agent and speak directly to the seller.

And put your case forward, the seller can always say no, but, ultimately, they may say yes, and this is a very important thing to remember, if they do say yes my strong recommendation is to go back to the agent and say.

“Look I have done this deal and the seller was entirely happy with the outcome, it’s all moving forwards, you didn’t really have anything to do with putting this deal together, however, I’m going to personally pay you your commission on the deal”.

Why would you want to do that? Well, it goes back to my earlier comments, you don’t want to upset any agents in your area, and honestly, if you do this, do you think you could then have the opportunity to say to the agent.

“Why don’t we have a little look, and see what else you’ve got along similar lines, and maybe this time we could work together, and find some opportunities where I can do deals where you have otherwise been unable to sell, especially in today’s market with all that’s going on in the world.”

IN CONCLUSION

So, there you go! There’s one exception to the rule where I would suggest going around the agent, but I would still love it even in that extreme scenario, you made sure that agent got paid.

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