Why work with a realtor?


Many people have asked me in the past why they should work with a realtor when they purchase a home. They worry that it will add additional cost to an already expensive purchase, and they feel that they can find what they are looking for on their own without the help of a realtor. Others have mentioned that working with a realtor will make a difficult transaction more complicated by involving more parties. Because there seems to be a lot of confusion on this issue, we wanted to attempt to answer some of these concerns.
Before a house goes on the market and is listed in the Multilist system, commission is generally negotiated between a seller and a realtor. A contract is then signed by these parties which determines an overall fee, most often based on a percentage of the sales price of the property. The buyer and seller can then agree to a portion of this fee being offered to other realtors who bring buyers to the property and the agreed upon amount is advertised in the multilist system. Hence in the majority of instances realtors who bring buyers to properties are paid a portion of the listing realtor's fee. What this means to buyers is that they do not have to pay their own realtor's fee, because their fee is paid by the listing agent.
When you do not work with a realtor when purchasing a property you do not have anyone representing your interests solely who has had years of experience in these types of transactions. The listing realtor, who does not solely represent your interests,  gets to keep a greater share of the overall fee, but you do not necessarily see any savings in the price of the home.
This is also true with new homes. When you purchase a new home the builder most often offers a fee to realtors who bring buyers to their properties. If you do not work with a realtor, they most often simply keep this fee. In this instance you are left to represent yourself against a builder without an advocate on your behalf. If there are problems in the transaction, you do not have anyone experienced working on your side. It becomes you against the builder.
In most instances, working with a realtor does not add to the price of a property, but taking advantage of a professional's experience can save a buyer money. A professional realtor can advise a buyer on a variety of concerns, from financing, to inspections and investments. A good realtor can listen to their buye'rs wants and needs and work to find them exactly what they are looking for and make their transaction as worry- free as possible. Let us know if you have further concerns about home buying. We always love to hear from our past, present and future clients. We would not be in business without them.


5 Reasons You Need a REALTOR


1. A real estate transaction is complicated. In most cases, buying or selling a home requires disclosure forms, inspection reports, mortgage documents, insurance policies, deeds, and multi-page government-mandated settlement statements. A knowledgeable guide through this complexity can help you avoid delays or costly mistakes.

2. Selling or buying a home is time consuming. Even in a strong market, homes in our area stay on the market for an average of 90 days. And it usually takes another 60 days or so for the transaction to close after an offer is accepted.

3. Real estate has its own language. If you don’t know a CMA from a PUD, you can understand why it’s important to work with someone who speaks that language.

4. REALTORS have done it before. Most people buy and sell only a few homes in a lifetime, usually with quite a few years in between each purchase. And even if you’ve done it before, laws and regulations change. That’s why having an expert on your side is critical.

5. REALTORS provide objectivity. Since a home often symbolizes family, rest, and security, not just four walls and roof, homeselling or buying is often a very emotional undertaking. And for most people, a home is the biggest purchase they’ll ever make. Having a concerned, but objective, third party helps you keep focused on both the business and emotional issues most important to you.

6. REALTORS are members of the NATIONAL ASSOCIATION OF REALTORS, a trade organization of more than 1 million members nationwide. REALTORS subscribe to a stringent code of ethics that helps guarantee the highest level of service and integrity.



Copyright 2005. All rights reserved. www.REALTOR.org/realtormag

Reprinted from REALTOR® Magazine Online by permission of the NATIONAL ASSOCIATION OF REALTORS®

Below is a link to the National Association of Realtors Website

The National Association of Realtors