What is the difference between a real estate agent and a real estate broker?
Most states require real estate sales professionals to be licensed by the state, so that they can control education and experience requirements and have a central authority to resolve consumer problems. The terminology used to identify real estate professionals varies a little from state to state. Brokers are generally required to have more education and experience than real estate salespersons or agents. The person you normally deal with is a real estate agent or salesperson. The salesperson is licensed by the state, but must work for a broker. All listings are placed in the broker’s name, not the salesperson’s. A broker can deal directly with home buyers and sellers, or can have a staff of salespersons or agents working for him or her.
Why should I use a real estate salesperson?
A real estate salesperson is more than just a “sales person.” They act on your behalf as your agent, providing you with advice and guidance and doing a job – helping you buy or sell a home. While it is true they get paid for what they do, so do other professions that provide advice, guidance, and have a service to sell –such as Certified Public Accountants and Attorneys
The Internet has opened up a world of information that wasn’t previously available to homebuyers and seller. The data on listings available for sale is almost current – but not quite. There are times when you need the most current information about what has sold or is for sale, and the only way to get that is with an agent.
If you’re selling a home, you gain access to the most buyers by being listed in the Multiple Listing Service. Only a licensed real estate agent who is a member of your local MLS can get you listed there – which then gets you automatically listed on some of the major real estate web sites. If you’re buying or selling a home, the MLS is your agent’s best tool.
However, the role of an agent has changed in the last couple of years. In the past, agents were the only way home buyers and sellers could access information. Now agents are evolving. Because today’s home buyers and sellers are so much better informed than in the past, expertise and ability are becoming more important.
The real estate agent is becoming more of a “guide” than a “salesperson” — your personal representative in buying or selling a home.
I have a family friend who is a Realtor. I like her and she is a help but she gives me one price to sell my home for and I think it is too low. So I called another agent who suggested a price more in line with my expectations. Who do I choose?
You might want to consult a couple more Realtors on the market value of your home. Most of the estimates should be in the same ballpark.
It could be that your friend is being more honest with you about the value of your home and the other Realtor gave you a higher number because he already knew you expected it. This is called “Buying a Listing” and is the subject of an article on our web site.
Or it could simply be that your friend is a good friend, but not that great of a real estate agent.
Mixing business and friendships is always risky to the friendship. On the other hand, if your friend is truly competent and was providing wise advice, she may be offended if you ignore the advice and choose another agent.
I have to make a choice between an updated home in an older neighborhood or a newer home in a more modern neighborhood. The home in the older neighborhood has almost everything I want and is much larger, but which makes the most sense as an investment?
If your goal is to buy a home for it’s resale value and the one you are thinking of buying in the older neighborhood is at the upper end of values for that neighborhood, then it may not be the wisest choice. If it is similar or lower in price to the others, then there should be no problem, because pricing should be considered in relation to the local neighborhood and not compared to homes in other neighborhoods (for the most part)
Plus, is it a neighborhood on the decline, or are others going to be fixing things up, too, so that it is a neighborhood that is improving? It could turn out to be a very good deal as long as you don’t “overpay” because of the recent improvements.
Remember that you also buy a home for it’s value to you as a “home,” and that is something else you should consider. Which neighborhood would you AND your family feel most comfortable in?
When buying a new home, what upgrades should we go for? What holds the most value? Do we upgrade the lot? Pick more square footage in the house? Add an extra bedroom?, etc.
A lot depends on why you are buying the house. Are you buying it mostly as a home or mostly as an investment? There is a difference.
For the most part, upgrades are high-profit items for builders. They aren’t designed to enhance the value of the house, but make you happier with the house you do buy.
If you are looking at your home as an investment, then you buy from the smaller to medium size in the tract and spend only a minimal amount on upgrades. If you are looking at your purchase as a home, then you select upgrades that will enhance your quality of living.
One rule of thumb is to always upgrade the carpet and padding.
What after-sales service should I expect from WinFlat?
- Generally, if there are any repair and maintenance issues, you will first call the property management office to seek help. However, if you don’t speak Chinese or if the management office fails to solve the problem, our property consultant will coordinate in between the landlord and the management office to help you solve the problem. We will always be there to help you throughout your lease term.
How do I pay my utilities (such as water, gas & electricity) and phone/internet?
- Upon check-in, the landlord will hand you pre-charged cards for water, gas, and electricity, your property consultant will explain to you how to use them. Water: For cold water, you would pay the bill at the ATM, for hot water and toilet water, some compounds use pre-charged cards, the others you can pay upon receiving the bill from the property management office. This will all be explained at your check-in. Gas: Charge the card at the Beijing Bank or the property management office. For some compounds, you have to go to the specified bank to charge the card. Electricity: Use the ATM or go to the property management office to charge the card. Phone/Internet: You would pay at the Telecommunication Bureau or nearby banks after the 10th of each month. In some compounds, it can be paid at the property management office. Again, these will all be explained in detail upon check-in for your particular property.
· Do I need to register with the local police station upon move-in?
- Yes, police registration is one of the first things you need to do after moving into the leased property. You would bring the lease contract, your passport, a copy of the landlord’s ID and a copy of the landlord’s own certificate to the local police station to register. The whole process should take no more than 20 minutes.
What is the move-in procedure?
- Your property consultant will prepare a “Check-in Record” which contains an inventory list of furniture and appliances/facilities. The property consultant, you and the landlord will go over the property to check if everything is on the list. We would suggest you put into writing on this record any defect in the property upon move-in, such as cracks, spots, and other damage. The property management staff will help to check the utility meters and instruct how to set up the utilities. In the end, the landlord will hand you the key and the “Check-in Record” will be signed by you, the landlord and your property consultant. It is better to test the TV signal, internet, phone, main appliances, lights, and door keys before you sign the record. If there are any outstanding issues, write them down and your property consultant will coordinate with your landlord to assist you in solving them.
What are the things that I need to do or I can ask the landlord to do before I move in?
- A thoroughcleaning would be necessary. Ask the landlord to double check all the electrical appliances, phone line/internet set up, make sure they are all in working condition.
When and how do I pay my rent? Which currency is acceptable?
- Rent payment is flexible. The most common way is to pay quarterly (with one month’s rent as a deposit) or monthly (with two months’ rent as a deposit), sometimes you can also pay every 2 months. For a corporate lease, your company will make the transfer. For a personal lease, you may pay by cash (a receipt is very essential) or by bank transfer (note: the account number has to conform with the landlord’s information on the lease contract, or at least the account name should be the landlord’s name). CNY is the common currency used for rent payment. Even though rarely accepted, you may be able to pay by foreign currency provided that the exchange rate is agreed between you and the landlord.
What is Fapiao and do I need it?
- Fapiao is an official tax receipt in China which is issued by the local tax authorities. Currently the tax rate is 5% of the monthly rent. Corporate clients always require Fapiao for tax clearance, but for a personal lease, it may not be necessary unless your company needs it for accounting purposes.
How much is the Security Deposit and when is it paid?
Normally there are 2 different ways to pay the rent and deposit, One is paying the rent monthly (Every Month ) and pay 2 month deposit, and another way is Pay 3 month rent every time and pay one month deposit, It depends on different landlord , but most landlords prefer 2 month deposit, and you can pay the rent every month, and part of the landlord prefer you pay 3 months rent one time, and just pay one month deposit .
And normally when we sign the contract, we should pay the deposit to secure the apartment .
What fees can be included in the rent?
- Normally the property management fee is included in the rent, other fees are negotiable, such as club/gym membership fee, heating fee, satellite TV fee, parking fee, internet setup and usage fee, utility allowance and etc.,
What is the typical lease term?
- One year lease is very common. However, a lot of landlords prefer longer lease, especially if you have requests for specific furniture or renovations. If you have a one year lease, you may face rental increase or decrease when you negotiate renewal upon lease expiry. We suggest you talk to your property consultant to evaluate the pros and cons before you make the decision on lease term.
What language is the lease agreement and what should I pay attention to?
- The lease agreement is usually bilingual (Chinese and English) unless both parties are comfortable with one language. The template is normally standard, you need to pay attention to the lease term, deposit, rent and other charges, termination clause (if any), penalty term, landlord’s ID and ownership certificate and etc. Usually your property consultant will help you go through the lease agreement to make sure your interest is well protected. Make sure that you clearly understand what is included in the rent and what is not, to avoid any misunderstandings later on.
What details should I consider about my apartment before signing the lease?
- Although your ideal apartment might make you want to move in tomorrow, you still need to check some details to ensure a comfortable stay.Does the heating/air-conditioning system work properly? Do ceilings or floors crack? Don’t be afraid to raise these issues within reason. This being said, it is important that these matters are handled delicately so as to avoid making the negotiations confrontational. Often times, a conflict at this stage will put the landlords off entirely. It is best to draw up anyreasonable requests and ask your property consultant to work on them. It is important to know if your landlord is reasonable and responsive to any legitimate concerns. Although price may be a big factor in your housing decision, you should consider that a willing landlordcan make your stay more pleasant.
Lease Negotiation &Contract Signing.
- When youselect the properties you like (first choice and backup choices), provide your consultant with the list of additional items that you would like to be added with regard to furniture and other renovation requirements (if any). Your consultantwill review your list and add some more that you may have neglected (if any) and negotiate with the landlord. For corporate clients, our consultantwill also work closely with your company HR or Relocation Company to ensure that the contract will adhere to your company policies. Upon acceptance, our consultant will prepare the lease agreement and send to both parties for signature.
House Visiting.
Based on your “Inquiry Form”, our property consultant will send you a list of suitable properties prior to your house hunting.
On the house hunting day, our consultant will give you an overview of Shanghai’s expatriate residential communities integrated with customized orientation programs such as schools, hospitals, supermarkets, banks, restaurants and etc.
After visiting each property, give your feedback to ourconsultant so he/she will know your likes and dislikes and will be able to make your search more efficient.
Once you choose your preferable compounds, our consultant will show you all the available unitsin those compounds to let you make the final decision.
Talk to Us.
- Tell us your housing requirements and preferences by filling up the “Inquiry Form”. Factors to be consideredare: Preferred property type (such as villa, apartment, serviced apartment, courtyard) Property size and number of bedrooms Lease term and commencement date Housing budget Preferred location Furniture requirement (fully furnished, unfurnished or partially furnished) Commuting to work, home, school and etc., Particular facilities required (such as gym, swimming pool, tennis court and etc.,) City orientation and schooling requirements Other particular requests or preferences such as decoration style, direction facing, floor preferences etc.
Can I choose a newly-launched compound and what kind of problems may I have during my stay?
- Newly-launched compounds usually offer competitive price to attract tenants. You may have to face the following problems such as constant construction noise during the day, unfinished facilities (gym, shops, restaurants and etc.,), immature management support, unstable hot water supply, etc., We would suggest youcheck the occupancy rate (maybe chat with a couple of tenants) as well as check the condition of its public facilities before you choose a newly-launched compound.
When buying a new home, what upgrades should we go for? What holds the most value? Do we upgrade the lot? Pick more square footage in the house? Add an extra bedroom?, etc.
A lot depends on why you are buying the house. Are you buying it mostly as a home or mostly as an investment? There is a difference.
For the most part, upgrades are high-profit items for builders. They aren’t designed to enhance the value of the house, but make you happier with the house you do buy.
If you are looking at your home as an investment, then you buy from the smaller to medium size in the tract and spend only a minimal amount on upgrades. If you are looking at your purchase as a home, then you select upgrades that will enhance your quality of living.
One rule of thumb is to always upgrade the carpet and padding.
When should I begin the house hunting process?
We suggest that you start searching for a place one or two months before your desired lease commencement date.If you start house hunting too early, generally landlords will not agree to hold their properties for you, thus diminishing the chance of negotiating the best lease rates for you.
I have to make a choice between an updated home in an older neighborhood or a newer home in a more modern neighborhood. The home in the older neighborhood has almost everything I want and is much larger, but which makes the most sense as an investment?
If your goal is to buy a home for it’s resale value and the one you are thinking of buying in the older neighborhood is at the upper end of values for that neighborhood, then it may not be the wisest choice. If it is similar or lower in price to the others, then there should be no problem, because pricing should be considered in relation to the local neighborhood and not compared to homes in other neighborhoods (for the most part)
Plus, is it a neighborhood on the decline, or are others going to be fixing things up, too, so that it is a neighborhood that is improving? It could turn out to be a very good deal as long as you don’t “overpay” because of the recent improvements.
Remember that you also buy a home for it’s value to you as a “home,” and that is something else you should consider. Which neighborhood would you AND your family feel most comfortable in?
· What type of housing is available for rent?
- There are many housing options from which to choose; you may choose to find housing in apartment complexes, houses, villas, or lanehouse/old garden house in downtown areas. It is important to discuss with your property consultant before you decide where to locate your family based on your housing budget, office location, children’s school and other preferences.
I have a family friend who is a Realtor. I like her and she is a help but she gives me one price to sell my home for and I think it is too low. So I called another agent who suggested a price more in line with my expectations. Who do I choose?
You might want to consult a couple more Realtors on the market value of your home. Most of the estimates should be in the same ballpark.
It could be that your friend is being more honest with you about the value of your home and the other Realtor gave you a higher number because he already knew you expected it. This is called “Buying a Listing” and is the subject of an article on our web site.
Or it could simply be that your friend is a good friend, but not that great of a real estate agent.
Mixing business and friendships is always risky to the friendship. On the other hand, if your friend is truly competent and was providing wise advice, she may be offended if you ignore the advice and choose another agent.
· Are most of the properties furnished in Shanghai?
- Yes. Most of the properties are furnished. However, some landlords can be flexible to remove part or all the furniture while somelandlords may refuse to remove any furniture simply because it is too much trouble to find someplace to store them. In some newly developed compounds, you may also request that the landlorddecorate the property according to your taste, such as purchasing the furniture together with the landlord or simply receiving a furniture allowance to buy the furniture by yourself.
Why should I use a real estate salesperson?
A real estate salesperson is more than just a “sales person.” They act on your behalf as your agent, providing you with advice and guidance and doing a job – helping you buy or sell a home. While it is true they get paid for what they do, so do other professions that provide advice, guidance, and have a service to sell –such as Certified Public Accountants and Attorneys
The Internet has opened up a world of information that wasn’t previously available to homebuyers and seller. The data on listings available for sale is almost current – but not quite. There are times when you need the most current information about what has sold or is for sale, and the only way to get that is with an agent.
If you’re selling a home, you gain access to the most buyers by being listed in the Multiple Listing Service. Only a licensed real estate agent who is a member of your local MLS can get you listed there – which then gets you automatically listed on some of the major real estate web sites. If you’re buying or selling a home, the MLS is your agent’s best tool.
However, the role of an agent has changed in the last couple of years. In the past, agents were the only way home buyers and sellers could access information. Now agents are evolving. Because today’s home buyers and sellers are so much better informed than in the past, expertise and ability are becoming more important.
The real estate agent is becoming more of a “guide” than a “salesperson” — your personal representative in buying or selling a home.
What is usually provided in a fully furnished property?
- Electrical appliances (such as TV set, refrigerator, oven, microwave, washing machine, dryer, DVD player), furniture (bed, sofa, coffee table, dining table, dining cabinet, study table and etc.,), curtains or blinds.
What is the difference between a real estate agent and a real estate broker?
Most states require real estate sales professionals to be licensed by the state, so that they can control education and experience requirements and have a central authority to resolve consumer problems.
The terminology used to identify real estate professionals varies a little from state to state. Brokers are generally required to have more education and experience than real estate salespersons or agents.
The person you normally deal with is a real estate agent or salesperson. The salesperson is licensed by the state, but must work for a broker. All listings are placed in the broker’s name, not the salesperson’s.
A broker can deal directly with home buyers and sellers, or can have a staff of salespersons or agents working for him or her.
What about a Parking Space?
- Most of the villas come with parking space; if not, it is likely you can park at the side of the road in front of your house. With apartments, you have to specifically ask and negotiate with the landlord, some landlords already purchased a parking space when they purchased the apartment, and some may not. Expect parking to involve an extra fee ranging from a few hundred CNY to 2,000 CNY/ month for a parking space. If you have a motorbike, a parking space may save you a lot of trouble as some compounds are very strict about parking.