BUY OR SELL WITHOUT AN AGENT?

Although the vast majority of U.S. home sales involve real estate agents, the notion that consumers would be fine buying or selling a home without one is not really a new one. “For-sale-by-owner” has been around for a long time.  But with all due respect to consumers who try to go it alone, it’s a big risk to take with a big-ticket purchase or sale. 

“Do-it-yourself (DIY) real estate is like DIY surgery or DIY legal defense. When so much is at stake, it’s always best to have a professional on your side. Certainly, that applies to the largest financial transaction of a person’s life,” says Adam Contos, CEO of RE/MAX

The good news is that most buyers and sellers agree. The National Association of REALTORS®’ latest Profile of Home Buyers and Sellers notes that 93% of buyers used an agent or broker. That leaves only 7% who made their purchase without the guidance of a professional.  91% of sellers worked with an agent. For-sale-by-owner properties accounted for just 7%—the lowest share since the annual study began in 1981.

It’s worth noting that the value of an agent crosses generational lines. A recent Homes.com survey of more than 1,000 adult Gen Zers (aged 18-24) showed that nine in 10 plan to use an agent when the time comes to house-hunt. It’s telling that this group—the most digitally inclined generation yet—understands that buying a house isn’t as simple as purchasing a commodity, arranging a ride or planning a trip. The risks are exponentially higher.

            The fact is, there’s much more to a successful transaction than meets the eye. It can all seem so simple, especially with online home search being what it is today, but there’s a big difference between seeing a great home online and walking in the front door as its new owner. An expert real estate agent can provide guidance that an “app” can’t touch—and, at the same time, provide all the value and data that can be found in the app.

             Technology provides all sorts of advantages, but in the end, it’s a tool. Information  technology, becomes valuable when in the hands of an expert agent, who can apply real-life instinct, insight and local knowledge. That’s when agents deliver their irreplaceable value by negotiating, working through contingencies, being a voice of reason, and guiding clients through a thorny and complicated and sometimes frustrating process. 

We should all celebrate innovation that elevates the customer experience and raises the standard. At the same time, make no mistake—nothing in practice or on the horizon matches the value delivered by a great agent who’s armed with great technology. That remains an unbeatable combo. 

Source: RIS MediaNews, Buy or Sell Without an Agent? No Thanks! August 28,2019, Adam Contos, CEO, RE/MAX, LLC.