Most people looking for a house in Hua Hin enlist the expertise of a local real estate agent. But who can you trust? This is what you should know before working with a real estate agent in Hua Hin.
1) Everyone can be an agent
Other than many markets in which being a realtor requires a license and specific education, everyone in Thailand can call themselves an agent. As a result, even a relatively small town like Hua Hin is home to a few dozen real estate agents, and numerous freelancers who call themselves agent. This means that the quality of realtors varies greatly, with many people calling it the Wild West.
2) Finding a reliable agent
Ask for recommendations from friends, family, or other property owners in Hua Hin. Personal recommendations are often the most trustworthy way to find a reliable agent. Online reviews and testimonials can give you a good sense of an agent’s reputation and track record, but be wary, as online reviews can be faked easily.
Once you’ve narrowed down your options, schedule interviews with each agent to get to know them better and learn more about their approach to real estate. Be cautious of agents who refuse to share references that you can contact.
3) It’s (often) all about the money
Sure, good agents care about your needs, but they care more about one thing: commission. In Hua Hin, agents typically receive 5-7% commission on the sales price (house and land). A property developer that offers 7% commission naturally gets more agent visits, even if the 5%-commission property may be a better fit for their clients.
Beware of agents who charge upfront fees. A reputable agent should only charge a commission once the sale is complete.
4) First come, first commission
When an agent brings you to a real estate developer, they will list your name in their books. If you decide to buy at that developer, the agent will get a commission. In case the second agent brings you to the same developer, they will not get a commission or are forced to share with the original agent that brought you there first. This can lead to animosity.
5) The agent’s portfolio
Is it a bad thing that your agent offers hundreds of properties? No, it gives you plenty of choice. But it’s unlikely that an agent knows all details of all these properties. It doesn’t mean they’re worse than the agent who focuses on a dozen (or two) developments, but it can be a sign.
6) Testing an agent’s knowledge
As your representative, an agent should be the expert of the properties they show you. Ask questions to test the agent’s knowledge and verify the information by talking with the developer and reading the factsheets and brochures. Upon arriving at a property, can the agent give you all details of the property or do they rely on the developer to lead the tour?
Also, insist to speak with neighbors to understand how it is to live there. If the agent or developer is wary about this, your alarm bells should be ringing.
7) The decoy house
The oldest trick in an agent’s book is to show you a decoy property. These houses help you show that the target property – the ones an agent want to sell you – is actually a great value compared to similar homes on the market.
8) The upsell house
From the same book: if an agent feels you may have extra budget, he will likely show you a home that is (slightly) above your mentioned budget. If you have time for this, go with the flow, but if don’t want to waste your time, discuss this upfront with your agent.
9) Don’t get too emotional
There’s a reason why agents are wining and dining with clients: buying property is an emotional decision. You may have a long requirements checklist and think you’re 100% rational, reality tells differently. A likeable agent and developer sales representative are proven ways to close a deal. Be aware of this and try to separate ration from emotion when searching for a home in Hua Hin.
10) Shopping around with agents
You may think that by using various agents, you will get a better deal. And yes, some agents may work harder for you if they smell competition, but it can also be a turnoff for others. Trust comes from both ways and if agents know you’re shopping around, it doesn’t help the relationship.