Real Estate

Family Realtor vs Realtor of the area

  • Last Updated:
  • May 4th, 2021 11:25 am
[OP]
Newbie
Mar 1, 2021
37 posts
13 upvotes

Family Realtor vs Realtor of the area

Hi,

Just want to know your opinion in terms of pros and cons of picking family friend Realtor vs Realtor who knows the area very well in terms of selling the house.I got a property in Hamilton area and want to sell it. Been approached by family Realtor who works mainly in Brampton area but he is ready to take the job with less commission being family friend.

What is your opinion better on this matter ?
9 replies
Deal Addict
Nov 13, 2013
2891 posts
1601 upvotes
Ottawa
There are some advantages to knowing the area and other Realtors. In this market probably not as critical and saving the commission might make you better off.
Deal Addict
May 9, 2017
1151 posts
1208 upvotes
It would matter more for buying than for selling. I'd save the commission.
Deal Addict
Mar 2, 2017
2182 posts
3856 upvotes
Toronto/Markham
All things being equal (they never are, but let's assume) I'd use the Hamilton area realtor 100%. The Hamilton market is on shaky ground right now after the crazy run up they've had. What you think you will get today isn't what you will get next week. When the transition from a seller's market begins you are taking on more downside risk with a botched listing, ideally you get that capped with someone local who knows the market well and can manage your expectations accordingly. The commission savings are hardly worth it imo.
Realtor, Investor, CPA - Collaborate with like minded people
Member
Mar 31, 2009
220 posts
318 upvotes
Let's be honest here ... In this market and when all comparable sold prices are transparent and available to research, no need to be "area expert relator", nor, IMHO, even a relator at all.
Even if one prices their house negligently, lets say too low, the market will correct their mistake with multiple offers. Priced too high ? lower incrementally.
Get a good lawyer and save tens of thousands at least on the selling side commission .
Deal Addict
Jun 26, 2019
1414 posts
1143 upvotes
GTA
I think the most important thing to think about there is can you work with this realtor professionally with no strings attached.

I've seen lots of cases where because of the family/friend dynamic its resulted in situations that were less than ideal for the homeowner or the realtor depending on the situation.

Also, in a few cases where the homeowner in my opinion got screwed or disadvantaged for going with a family friend, it was either due to the realtor not understanding market conditions as @RichmondCA stated, or just due to an awkward dynamic where because the realtor was a friend they didn't want to put in as much work, or they wanted the homeowner to fix up the whole place an incurr a net loss to them so they could make their job a bit easier.
Deal Addict
Mar 2, 2017
2182 posts
3856 upvotes
Toronto/Markham
SubjectivelyObjective wrote: I think the most important thing to think about there is can you work with this realtor professionally with no strings attached.

I've seen lots of cases where because of the family/friend dynamic its resulted in situations that were less than ideal for the homeowner or the realtor depending on the situation.

Also, in a few cases where the homeowner in my opinion got screwed or disadvantaged for going with a family friend, it was either due to the realtor not understanding market conditions as @RichmondCA stated, or just due to an awkward dynamic where because the realtor was a friend they didn't want to put in as much work, or they wanted the homeowner to fix up the whole place an incurr a net loss to them so they could make their job a bit easier.
This is why a lot of people don't work with family realtors and pick a third party. It can be an awkward dynamic and it puts the client in a lose/lose situation. That's for another thread in itself.
Realtor, Investor, CPA - Collaborate with like minded people
Deal Fanatic
Mar 27, 2004
5843 posts
3762 upvotes
Toronto
how is a realtor from bramptom going to know Hamilton...
get a local
Full-time Realtor
Deal Addict
Nov 24, 2013
1711 posts
1027 upvotes
Toronto
Shouldn't make a difference. Any realtor worth his salt can pull up the stats. The only difference is that the non-local realtor may have to spend a couple of hours doing the analysis. From a cost perspective, it would be better to go with the realtor giving you the better commission price.

When I bought my place, I went with someone I knew who was not familiar with the area and got a better price because of reduced commissions. Neither local or non-local is going to have any influence on the price you may for the house which is going to be based on comparables, demand for the house and your comfort level (i.e. offering a premium or discounted price).
Last edited by lpin14 on May 4th, 2021 11:35 am, edited 1 time in total.
Deal Expert
User avatar
Nov 28, 2016
21074 posts
2885 upvotes
Out west
I hire my friends for a lot of work, Hvac, plumbing, etc. But mostly for things that are repairs, etc Side jobs for some extra cash.

But for something major like this, I want to keep my friends out of it

1, If shit goes sideways, you are a lot let inclined to do something because they are your friend
2. As above, and you do need to man up, you probably lose a friend because of it.
3. Something that can affect me for years, I keave my friends out of it. Recent HVAC install I didnt get my friend to do it, because of above, and as well, this is something that will affect my house for as long as I live there
4. As a customer, I can be a pain. I want it done right for the money I pay. And I dont want to subject my friends to that. I ask a lot of questions until I understand things.

But thats just my opinion

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