REALTOR® vs. For Sale By Owner

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Posted by Park Ridge Real Estate | Posted in Why use a REALTOR® | Posted on 30-05-2017

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Reasons to Use a REALTOR® vs. Selling By Owner

Logo of the National Association of Realtors.

Logo of the National Association of Realtors. (Photo credit: Wikipedia)

Selling a home can be a stressful, emotional and a very involved process.   There are a multitude of decisions to make and documents to complete as part of a complex and ever-changing process.  Given all the challenges and risks involved, there are a number of very good reasons to consider hiring a REALTOR®  to help with the important financial decision to sell a home.

  • Ethics – Not all real estate agents are REALTORS®.  A REALTOR® is a member of the National Association of REALTORS® and is held to a strict code of ethics.  This is very important when negotiating a real estate transaction and helping a seller navigate through the ups and downs of the sales process.
  • Knowledge – A REALTOR® knows and understands all the documents, reports, disclosures and the like that are part of the process.  They are familiar with the terminology and jargon inherent in a real estate transaction.
  • Experience – A REALTOR® has been involved in the buying and selling of property previously.  That prior experience imparts lessons learned and important informative tidbits to new buyers and sellers.
  • Information – REALTORS® have access to a wealth of information, including local information relative to the neighborhood, market/comps and property.  A REALTOR® can access that information more quickly and easily due to their professional connections and permissions.
  • Network – REALTORS® have access to a network of other professionals that are essential when navigating through a real estate transaction.  Escrow agents, lenders, inspectors, contractors and appraisers are just a few of the disciplines that might be needed during the process of selling a home.  A REALTOR’s extensive network of contacts is helpful for the individual looking to sell a house without any such professional connections.
  • Support – REALTORS® can be a trusted and excellent source of emotional support during the rollercoaster ride of selling a house.  They understand the mental and emotional difficulties that are an intrinsic part of the real estate process.   They can offer a shoulder to cry on and words of support when making tough decisions and receiving difficult news.

While a property owner looking to maximize profit on the sale of a house may consider selling his or her own home to save money, the savings may not be worth the stress and strain of selling a house without the help of a professional.  In addition, lack of experience can lead to costly mistakes that might be avoided with involvement and direction from a seasoned real estate professional.  Selling a home is one of the most important financial transactions many will pursue during their lifetime, but the process of selling a home is an incredibly emotional experience as well.  The interaction of money and emotion makes the prospect of hiring a third-party professional to assist in the process a wise and sound decision.

Given the above, it is important to also consider carefully the selection of a REALTOR®.  Just as important as it is to hire a REALTOR® to assist with selling a home, it is equally important to select an appropriate one.  Some things to consider when selecting a REALTOR® include:

  • The relationship between REALTOR® and client should be a long-term, intimate and trusting relationship.  If the initial interaction does not feel right, it likely will not improve over time. Consider recommendations from friends and family, and research REALTORS® that buy and sell within the local neighborhood.  The best form of advertisement is word of mouth, and references from trusted sources are typically a good means of identifying reputable professionals.
  • Interview three or four prospective REALTORS® before making a selection.  Ask questions of the REALTOR® about relevant topics, including, but not limited to, the number of active listings, number of homes previously sold in the neighborhood/local area, communication protocol (e.g., frequency, format), and marketing strategies and techniques to target buyers.
  • Be wary of REALTORS® that suggest the highest price for a home, or similarly, an  overly inflated price for a home.  Pricing a home too high to start usually results in a longer sales process and lower ultimate selling price.  Higher prices are seen as unrealistic by prospective buyers, and a house on the market for an extended period of time is assumed to have serious flaws.
  • Look for a full-time REALTOR® as opposed to a representative working part time or on the side.  Their attention may not be focused on the current housing market or a seller’s best interest.
  • Avoid hiring a relative as a REALTOR®.  Professional involvement with relatives is emotionally complicated and too often fraught with difficulties, resentment and mismanagement.
  • Ensure the REALTOR® knows the real estate market in the neighborhood within which the home will be sold.  Their knowledge should focus on the immediate neighborhood and not only the local area.
  • Be cautious of a REALTOR® that is willing to accept lower commission.  Commission on the sale of a house is typically 5 to 7 percent, split between both buyer’s and seller’s agents.  If a REALTOR® charges a lower commission, there is less impetus to sell the home and fewer agents may show it.
  • Confirm that the REALTOR® has sold the prospective property type before.  For example, if the property for sale is a condo, ensure the REALTOR® has previously sold condos; if it is an investment property, find a REALTOR® that regularly works, or has previously worked, with investors.
  • Attempt to confirm the REALTOR®’s previous performance as regards negotiation skills and competence in tracking details of their transactions.  Just as the ability to close the deal is important to the sale of a house, so, too, is the ability to ensure the fine details of a transaction are identified and resolved.

Selling a home is challenging, involved and emotional.  Selecting a REALTOR® to assist with selling a home is a wise choice to ensure that the deal is closed and the sale negotiated to the seller’s satisfaction.  With the above information, selecting a REALTOR® should be one of the easier parts of an otherwise challenging process.

 

Home Sales & Prices Going Up

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Posted by Park Ridge Real Estate | Posted in Uncategorized | Posted on 16-05-2017

Logo of the National Association of Realtors.

Logo of the National Association of Realtors. (Photo credit: Wikipedia)

Good news – Home sales are up!  The other side of that is; Prices are Up!

The most-recent report released by The National Association of REALTORS® tells us that 5.62 million homes were sold in the first quarter of 2017. Also in the report, the national median home price is up 6.9% from last year’s report.  Demand is strong as mortgage rates are still relatively low and inventory is short.

Across the country, here are the highest of the highs and the lowest of the lows with regards to median home price:

Cumberland, Maryland – Up 21.4%
Vero Beach, Florida – Up 18.2%
Ocala, Florida – Up 17.6%


Elmira, New York – Down 14.5%
Binghamton, New York – Down 14%
Atlantic City, New Jersey – Down 9.1%

6 out of the top ten cities with the biggest increase in sale price are in Florida. 4 out of 10 of the negative growth areas are in New York and New Jersey.
Data provided by Wall Street Journal and National Association of REALTORS®


The housing market in Park Ridge, Illinois is robust. Prices are trending upwards and homes are selling in about 90 days. The general feeling and consensus at the office is that home sales in our area will continue to rise and we will have multiple offer situations for homes in and around the PArk Ridge area.

If I can help you, please feel free to contact me.