top of page

Advantages of an MBA Real Estate Agent

  • Oct 27, 2017
  • 3 min read

Becoming a real estate agent does not require that much education other than completing the required formal hours of training and passing the state exam. Many agents go on the fast track and complete the requirements in the less than eight weeks. The concept of becoming an areal estate agent with 8 to 12 weeks of formal education is a bit mind blowing. Your agent will be handling your most important business transaction, that will impact you and your family for many years. There is a true benefit to having an agent who has a higher level of academic qualifications to ensure maximized success in the real estate sector. The academic qualification of a given real estate agent is quite relevant.

Education develops ones’ business acumen to maneuver the intricate world of real estate. This means that an agent who has an Master of Business Administration (MBA) has the requisite skills that would promote the understanding of the contractual obligations that are needed in the field. Apart from contracts, an agent who holds an MBA is also highly likely to develop a higher conceptualization of market conditions, and be able to perform comprehensive analysis, ensuring their clients are given accurate information to help them make informed decisions.

Having an agent with an MBA is also an avenue through which the seller can gain a competitive edge in the market by properly marketing their home to ensure their financial goals are recognized. The importance of marketing is in the ability of the agent to analyze market conditions and develop a tailored marketing plan for sellers so they can maximize profits. At the same time, an MBA agent will excel during a sellers’ market to ensure their buyers are getting the best possible deal, while not ending up in the red after they close on their house.

The personal satisfaction that is found in the agents who have MBAs allows them to have increased levels of confidence in carrying out their duties. This means that the agent with an MBA has more confidence and understands the need for commitment and a vision that aims at achieving goals and attaining targets. An MBA holder has a better understanding of the legalities of the real estate world. This means that such an individual has better ways of handling the legal complexities of real estate.

An MBA improves that level of communication that an agent must posse. Every real estate agent requires understanding how best to communicate with clients as well as other agencies to facilitate business in the market. Proper marketing requires accurate communication where the message embedded in the communication is not lost. The communication could be oral or even written. Communication skills are very relevant for every real estate agent, and every MBA course instills proper information regarding the need and importance of communication.

Every real estate agent is required to have increased financial understanding of the real estate market. Having an MBA automatically exposes the agent to the requisite financial knowledge that is needed in the achievement of balance in the field. There is thus the advantage of having an MBA where the agent can relate the financial implications of every transaction. Considering these advantages, it is only appropriate that you select a real estate agent who possess an MBA as it would give them an edge in their practice.

Formal education of REALTORS®:

  • Some college: 31%

  • Bachelor’s degree: 30%

  • Graduate degree and above: 12%

  • Associate degree: 13%

  • Some graduate school: 7%

 
 
 

Comments

Recent Posts
Archive
Search By Tags
Follow Us
  • Facebook Basic Square
  • Twitter Basic Square
  • Google+ Basic Square

© 2017 by Collin County House Hunt

  • Google+ Social Icon
  • LinkedIn Social Icon
  • Tumblr Social Icon
  • Facebook Social Icon
  • YouTube Social Icon
  • Instagram Social Icon

​

  1. Find a great agent.

    Be sure it’s someone who has experience in new construction and isn’t affiliated with the builder. Model homes are typically staffed by a real estate agent who has a relationship with the builder. It’s important for you to have an agent to represent your best interests, from advising you on how to structure your offer to be most appealing to the builder to making choices that can affect your home’s resale value. Some developments have site registration policies that require your agent to accompany you on one of your first few visits.

    ​

  2. Be creative during negotiations.

    Builders don’t like to drop their prices. Instead, consider asking for the builder to pay closing costs or perform upgrades at no additional charge. Builders are often reluctant to set a precedent for negotiating prices since future buyers in the development may expect similar discounts. Consequently, builders are often more likely to negotiate “on the back end” since closing costs and upgrades are a less obvious way for them to sweeten a deal.

    ​

  3. Get everything in writing.

    Don’t sign anything until everything has been negotiated, agreed upon and written into the contract. If you’re considering purchasing a home that is not yet complete, it’s very important to spell out how the home will be finished, what will happen if construction is not completed on time and the deadlines for decisions that will occur through the process. Verbal conversations are not binding, so everything important must be put in writing and signed by all parties.

    ​

  4. What you see isn’t always what you get.

    The fit and finish of the model home doesn’t necessarily represent what comes standard. Often the model home reflects a mix of standard materials and fixtures, as well as a handful of upgrades. When touring the model home, make sure to find out which is which. The important thing is to know exactly what you’ll be getting, what’s available and, of course, what it will cost. Keep in mind that costs can change. The price quoted at the start may not be the same when you decide to move forward.

    ​

  5. Do your research on the builder.

    Visit other developments and talk to homeowners. Search online for reviews, testimonials and news. Keep in mind that many builders will have both happy and unhappy customers in their past. Look for trends in reviews and make sure any concerns are covered in the purchase agreement documents.

    ​

  6. Get a guarantee.

    You’re often buying a home that is not completed. What guarantees do you have the home will be ready on time? Your purchase agreement documents should specify a completion date. However, many builders add provisions that make the completion date dependent on permit approvals from the municipality or availability of building materials from suppliers. There can also be additional charges if you’re unable to close on time if your lender isn’t ready.

    ​

  7. Get the home inspected.

    New homes have problems too. Hire an inspector to make sure everything is safe and up to code. Even though most municipalities require new homes to pass permit inspections, an independent verification with a qualified inspector is money well spent. In many cases, the builder will allow buyers to conduct an independent inspection and agree to repair code compliance issues but do not include a provision that would allow the buyer to walk away and retain their deposit if they are not satisfied with the result of the inspection.

    ​

  8. Find out what’s covered.

    Many new homes come with a warranty from the builder, but not all warranties are created equal. Know what is and isn’t covered and for how long. Many builders use a third-party warranty company. In some cases, the manufacturer of certain products, like windows, may have a separate warranty or guarantee and the builder might refer all issues with those components to the manufacturer instead of handling any issues directly. The builder should be able to provide details on which part of the home is covered by which policy.

    ​

  9. Look to the future.

    Check with the city to see what is planned for the surrounding area. If you have a view, will it still be there in five years? Most builders put the responsibility on the buyer to be aware of neighborhood or community dynamics related to other development in the area like traffic planning, the development of neighboring parcels, etc. Many new communities also have homeowners associations that can impact your potential new home as well.

    ​

  10. Do your homework on lenders.

    Don’t automatically use the builder’s lender. Shop around for the loan that is best for you, not them. Some builders require that you get pre-approved with the builder’s preferred lender. By the time you are ready to make an offer, you probably have already spoken to a lender of your own. It can come as a surprise when the builder requires you to also get pre-approved with their lender. Why would they do that? First off, it’s reassuring for the builder to hear about your qualifications from their lender, even if you don’t wind up using them. Secondly, it can sometimes be the most cost efficient option. Much like using the financial arm of a car company, they are often willing to offer more competitive rates and fees. Additionally, in some instances, the preferred lender is the only option. This is especially true for projects that are in the early phases of development. If no other lender has entered that development yet, it can be hard to obtain a loan from any lender but the preferred lender.

​

Source: Redfin

This Month's Highlighted Communities

Sandbrock Ranch

Windsong Ranch

Westcrossing

Silervado

Lexington Country

Union Park

Winnridge

winnridge-sliders.png
bottom of page