Why use a REALTOR®? – Part 1
All real estate licensees are not the same. Only real estate licensees who are members of the National Association of REALTORS® are properly called REALTORS®. They proudly display the REALTOR "®" logo on the business card or other marketing and sales literature. REALTORS® are committed to treat all parties to a transaction honestly. REALTORS® subscribe to a strict code of ethics and are expected to maintain a higher level of knowledge of the process of buying and selling real estate. An independent survey reports that 84 percent of home buyers would use the same REALTOR® again. Real estate transactions involve one of the biggest financial investments most people experience in their lifetime. Transactions today usually exceed $100,000. If you had a $100,000 income tax problem, would you attempt to deal with it without the help of a CPA? If you had a $100,000 legal question, would you deal with it without the help of an attorney? Considering the small upside cost and the large downside risk, it would be foolish to consider a deal in real estate without the professional assistance of a REALTOR®. But if you're still not convinced of the value of a REALTOR®, here are the first five of twelve more reasons to use one:
1. YOUR REALTOR® CAN HELP YOU DETERMINE YOUR BUYING POWER
That is, your financial reserves plus your borrowing capacity. If you give a REALTOR® some basic information about your available savings, income and current debt, he or she can refer you to lenders best qualified to help you. Most lenders—banks and mortgage companies—offer limited choices.
2. YOUR REALTOR® HAS MANY RESOURCES TO ASSIST YOU
Sometimes the property you are seeking is available but not actively advertised in the market, and it will take some investigation by your agent to find all available properties. Have your eye on a particular neighborhood, but it's just out of your price range? Your Realtor is equipped to know the ins and outs of every neighborhood, so he or she can direct you toward a home in your price range that you may have overlooked.
3. YOUR REALTOR® CAN ASSIST YOU IN THE SELECTION PROCESS
A good local Realtor is going to know the search area way better than you ever could. Agents who are REALTORS® have access to a variety of informational resources. REALTORS® can provide local community information on utilities, zoning. schools, etc. There are two things you'll want to know. First, will the property provide the environment I want for a home or investment? Second, will the property have resale value when I am ready to sell?
4. YOUR REALTOR® CAN HELP YOU NEGOTIATE
There are myriad negotiating factors, including but not limited to price, financing, terms, date of possession and often the inclusion or exclusion of repairs and furnishings or equipment. The purchase agreement should provide a period of time for you to complete appropriate inspections and investigations of the property before you are bound to complete the purchase. Your agent can advise you as to which investigations and inspections are recommended or required. A Realtor is especially important in negotiating all cash offers and multiple bidding wars!
5. YOUR REALTOR® PROVIDES DUE DILIGENCE DURING THE EVALUATION OF THE PROPERTY
Depending on the area and property, this could include inspections for termites, dry rot, asbestos, faulty structure, roof condition, septic tank and well tests, just to name a few. Your REALTOR® can assist you in finding qualified responsible professionals to do most of these investigations and provide you with written reports. You will also want to see a preliminary report on the title of the property. Title indicates ownership of property and can be mired in confusing status of past owners or rights of access. The title to most properties will have some limitations; for example, easements (access rights) for utilities. Your REALTOR®, title company or attorney can help you resolve issues that might cause problems at a later date. REALTORS are trusted advisors and skilled negotiators as well as the consumer's source of unparalleled market knowledge. Visit our web site at easternctrealtors.com to learn more and find a Realtor®.