Typical Price Comparison: Private Sale vs Real Estate Assisted

Thought the private sale was a great deal? If you didn’t save 20%, you may have overpaid.

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According to a year end report by the National Association of REALTORS, the typical price for a private sale was $46,000 less than transactions completed by using a real estate professional. The graphic illustrates that the price for real estate assisted sales was $230,000 while the typical for sale by owner price was $184,000. This could be good news for buyers, if they have in fact enjoyed a significant discount on their private purchase. Not so good news for the private seller in the typical transaction or the private buyer who might have over paid.

Why is there such a wide gap between these two typical situations?

1. Knowledge is power. A full time real estate professional shares the same source of factual market information with both buyers and sellers by providing market studies of recent comparable sales. This way a buyer can determine, first hand, that they are not overpaying for a similar priced house with similar features and sellers can feel confident that they are not underselling their home compared to other houses with similar features.

2. Real estate companies, like Royal LePage, have been around for 100 years. An industry reputation for honestly and integrity has been nurtured and developed at Royal LePage. We would not have survived this long as a company if we did not deliver capable, competent and consistent service excellence to all consumers in a real estate transaction. Anything that has lasted this long must have good value to it.

3. Access to a deep pool of qualified buyers. Real estate professionals can not afford to rely solely on REALTOR.ca or the internet to attract potential buyers for the houses they have listed for sale. By maximizing industry resources like networking, REALTOR tours, print media, conferences, referrals and social media marketing on a frequent and full time basis, professional sales representatives can draw from a deep pool of qualified buyers. In real estate, more interested buyers on any given property equates to a higher potential selling price for vendors.

4. REALTORS are trained to separate the ‘lookers’ from the ‘buyers’. Industry studies show that most buyers are not in a position to purchase a house or condo on any given day. For most folks, their equity is tied up in their current home. Others decide, for life needs, that homeownership is not for them and continue to rent. For some purchasers, owning a house or condo is just not affordable. A full time real estate professional will take the time to meet with prospective buyers before showing any houses and determine if they fall into the narrow category of consumers who are ready, willing and able to make a purchase.
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For more tips on how I can help you save time and keep more of your savings or equity in your hands with your next real estate transaction you can contact me at 519.821.6191 or toll free across Canada at 877.497.8975.

Carlo De Castris
Sales Representative
Royal LePage Royal City Realty

Posted from WordPress for Android by Carlo De Castris CC

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