Since the Real Estate profession began, marketing experts are constantly trying to draw your attention to all the reasons "You need a Realtor!", yet many owners and sellers are still convinced they can do it all themselves without a trained professional. In some ways, and in some circumstances, this may still be true.
However, the housing market has undergone a major transformation in the past few years and this may not be the easy task it appears.
So, why do you need a Realtor to buy and sell Real Estate? Well, I firmly believe the number one answer to this lies in the complex nature of tasks required of the parties involved.
In any one real estate transaction, there are upwards of 11 people involved, and closer to 22 when financing is involved! If you've ever tried to manage a group of people before, you can already see that there can be numerous issues with trying to coordinate one transaction.
Trying to buy or sell on your own will only eliminate 2-4 of these parties: the Realtors! Which means, as a buyer or seller, YOU may be responsible for coordinating all these functions, and still keep your day job and possibly prepare for a move or relocation yourself!
Another reason you need a Realtor to help you buy and sell is due to the numerous changes in legislation, paperwork and procedural processes that have occurred since the housing crisis began, and developments happen almost on a daily basis. As an independent seller or buyer, do you want to be liable for what trained professionals are constantly required to keep up with?
If you are a buyer, it gets even better since all this knowledge is FREE to you! It's customary for the Seller to pay the entire real estate commission, the buyer does not contribute one cent to the commission. However, the caveat may be: "You get what you pay for". If you are worried that you may be "stuck" with an agent, then do not commit to that agent. But be sure to let them know. Since Real Estate agents do not get paid until a sale closes, it's only fair to be upfront with the person spending hours previewing property for you and arranging showing appointments.
Some agents will ask you to sign an agreement that states you will only work with them for a certain time period. This should not be an automatic cause for alarm. If it's early in the business relationship and you are not yet that certain that this is the agent for you, then feel free to negotiate the length of the agreement, which can even be canceled! (Please note, most agreements state that the Realtor is due a commisison if you go back and purchase a home they introduced to you within a certain time period after cancellation or expiration)
Although most agreements are typically 6 months, in cases like this, as a Realtor, I would feel comfortable with a 30-day agreement. Personally I know that I would be able to prove myself to you in that time period and that most folks would be comfortable with a shorter "trial period".
For sellers, all the valuable services offered by a Realtor are NOT free. Typically, sellers can expect to pay between 4 and 6% of the selling price to a real estate agent. In today's market of fallen prices, this can be a major obstacle for a seller. However, statistics have shown that when a Realtor is hired to sell a property, the property generally sells more quickly and for more money than a seller is able to negotiate. These two factors alone are worth a mere 4 to 6%, as well as being negotiable items when the Listing Agreement is negotiated.
The bottom line is "Always operate from a foundation built on honesty". If you are upfront and honest with a Real Estate professional from the beginning, which sets expectations and defines objectives of all interested parties, you will repaid many times over with great service and a successful transaction!
Have a great week! And if you need a "Beach Break", visit my website and click on the LINKS page- Enjoy!
