This may be one of the most important decisions you will ever make in your life. It has serious financial implications and it is imperative that you make the right decisions during every step of the process. One of the most important choices you will make is whether you are going to hire a professional realtor to sell your home or try to tackle the work yourself.
This article will illustrate the different roadblocks that you will face in the course of a real estate transaction. We are not saying that each and every one of the roadblocks listed here are a given or that you will run into each and every one of them. Some real estate transactions can actually go so smoothly, that you may not face any of them.
However, we want to provide the most realistic view. Since “the perfect transaction” is very rare, we believe that it is good to know what you can expect in a real estate transaction. Through understanding the 84 roadblocks, you can make a more informed decision on whether you should hire a professional realtor or tackle the selling of your home by yourself or some other unqualified agent.
These 84 roadblocks are divided into 6 parts. These 6 parts represent the different parties that normally take place in a real estate transaction. These are:
Let us beginning by finding out who – or what – a realtor is, exactly. You may have noticed that the following terms have been used interchangeably: realtor, agent and broker. The truth is, these three titles have very different meanings.
First of all, not all agents (also called salespersons) or brokers are realtors. That is why it is very important to know exactly what a realtor is and what the reasons are for using one.
Before a person can sell real estate, that person must first obtain a license from the state wherein they work. He will be licensed either as an agent/salesperson or as a broker. In order for a license to be issued, the tester must be able to meet the state’s minimum standards for examinations, education, and experience. These standards are usually determined depending on the state.
Now, after the broker or the agent receives a real estate license from the state, they can go on to join the local association or board of realtors as well as the National Association of Realtors. The National Association of Realtors is the largest professional trade association in the world. When they have joined the local association and the National Association of Realtors, then they can officially call themselves realtors.
To be clear, the term realtor is actually a registered collective mark of membership that sets apart a real estate professional as a member of the National Association of Realtors and takes into account its code of ethics strictly. In a lot of areas, it is these realtors who are able to share information about the homes that they are marketing through a system called Multiple Listing Service (MLS).
Multiple Listing Services are very helpful information networks that provide realtors valuable information/descriptions about homes that are being sold in a particular region. One of the reasons you are encouraged to work with a realtor when looking to buy a home is because a realtor who belongs to a Multiple Listing Service will provide you with access to the largest number of homes.
Though you are not obligated to, you can invite a local realtor to visit you in your home. They can provide you with a “listing presentation” about why they are best equipped to market your home for you. It usually takes about two to three presentations for you to be able to arrive at the best option. This is what happens during a listing presentation: Normally, a realtor will sit with you and go over the reasons why it is best to list with them. He or she will also give you useful information that will help you as you make your initial choices about putting your home up for sale.
It is widely encouraged for you to hire a realtor to help you sell your home. In order to find out whether you are dealing with an experienced and qualified professional, recent laws have clarified the definition of an official real estate agent.
Most states will also require a real estate agent to fully explain his or her role and his or her qualifications at the onset of your conversation.
You will find that the process of selling your home will go much smoother than if you had chosen to ignore the following. When talking to a real estate agent, look for the following qualities. Your realtor must:
And as someone who is looking for a potential agent, the following are good questions to ask:
This article will illustrate the importance of working with a realtor when selling your home. Apart from the criteria that have been mentioned above, there are a number of important reasons why it’s advisable to hire a realtor. One very critical reason is that they strictly comply with the National Realtors Associations (NAR) highest possible standards of professional training and ethical conduct.
As we have mentioned above, there are many important functions of a realtor. Here are only some of the duties that your realtor will perform for you:
Your realtor will negotiate the sales contract and ensure that everything is in proper and legal order.
There are still some who would rather take the full brunt of selling your own home rather than hire a realtor, and this cannot be avoided. It is a free world, after all. However, there is an old saying that goes, “You can get rid of the broker, but you cannot get rid of the broker’s work.” For those who wish to sell their own home, it becomes a matter of “For Sale By Owner” (FSBO). It is never easy to sell your home on your own. In fact, you are encouraged to spend a significant portion of your time studying the process, understanding the obligation and doing some of the complicated work that a licensed real estate agent usually does.
Also, if you really wish to sell your own home, you will need the help of an external group of professionals such as realtors, attorneys or accountants for the jobs that require a specific area of expertise.
You will also no doubt run into some pitfalls when you try to sell your own home. Here are a number of reminders that you should implement:
If you only wish to hire a realtor for a limited service, there are realtors who will agree to help out with the selling of your home for a price that has been predetermined. You can give real estate companies a call and ask to talk to their managing broker. Find out if they are interested in furnishing or can handle what is called “unbundled services.”
This article will further discuss 84 of the common roadblocks that are usually experienced after an offer is made. It will inform you of certain situations that you may not have previously given much thought about. You want to avoid these pitfalls or roadblocks, so you are generally advised to hire a realtor, rather than sell a home yourself.
Realtors have the knowledge and experience needed to guide you through what may be a “maze” especially for first time home sellers. They are trained and committed to work with you diligently and to look out for your best interests. As we have mentioned earlier, realtors will stay with you from beginning to end, without missing a step of the process. They are dedicated to stay close and in contact with you during the stormy times of a transaction.
These roadblocks are divided into 6 different parts. Each part represents a person or a part of the transaction that you may encounter a roadblock with. It starts with the borrower / buyer. Let us first define what the buyer or the borrower is in terms of real estate. A buyer is, quite simply, someone who wants to buy a house while a borrower is the person borrowing who either has or is creating an ownership interest in the property.
Let’s start with the roadblocks that a buyer or a borrower may face in a real estate transaction. Click on Part 1 to get started.