NAR in the News

Real estate professionals do more for sellers than make the transaction easier. They make them money. In fact, the average seller who uses a real estate professional makes 16 percent more on the sale of their home than do sellers who go it alone. That’s an average of $31,800 per home.

That’s one reason the level of unrepresented sellers has declined steadily in recent years. Despite five consecutive record-breaking years for home sales from 2001 through 2005, the level of unrepresented sellers has dropped from a cyclical peak of 18 percent of the market in 1997 to a record low of 13 percent in 2005, according to the 2005 National Association of REALTORS® Profile of Home Buyers and Sellers.

Real estate professionals assist both sellers and buyers with the services necessary for a successful real estate transaction, especially pricing and marketing. Real estate pros can help price the property accurately and market it successfully using the variety of tools available today -- Internet, print, word of mouth and more. REALTORS® know best how to prepare a home and maximize value, provide broader exposure to the market and are more likely to generate multiple bids than a seller on the own.

In addition, REALTORS® are experts in attracting qualified buyers. A professional can show a home more objectively than can a seller who may be emotionally attached to the home, and who might become unnerved by prospective buyers’ critical comments. The real estate pro also checks the financial capability and bona fides of buyers before allowing them onto a seller’s property.

Posted on April 21 at 06:55 PM | Permanent Link | Add a Comment (32) | TrackBacks (2)

The Des Moines Register published a letter on Small Business Health Plans by Senator Frist which mentions NAR's ability to offer its members access to health plans. The new plan will provide access to affordable health care coverage for millions of uninsured Americans. The Oklahoman also featured a story on SBHP and the NAR ads running in their paper urging the Senate to act. A new poll shows that 85 percent of Americans support legislation that would permit small companies to offer health insurance to their employees. Investor's Business Daily quoted Lawrence Yun on the strong interest by foreign buyers in U.S. real estate. One hot spot for foreign buying is Florida, where 15% of all home sales are attributed to international clients.

Posted on April 21 at 11:40 AM | Permanent Link

Hollywood portrays journalists about as accurately as it portrays real estate professionals. Myths about both REALTORS® and reporters populate the popular culture. If REALTORS® are to make sure reporters understand us, it’s a good idea to gain an accurate understanding of how the news media really works.

Myth: If it’s in the newspaper, it must be true.
Fact: Journalists seek balance.

Journalists strive for getting the complete story, but considering the conditions under which they work, they know that’s usually impossible. Rather, they work hard to see that stories are balanced. If they cite a spokesperson for one side of an issue, they will go out of their way to find someone on the other side. Both sides might be dead wrong, but the theory is that the truth lies somewhere between two poles of opinion.

The media’s need for balance poses both challenges and opportunities. Sometimes you may get a call from a reporter working on deadline who only wants your reaction to a story that is already written. You should expect only a small citation in the story. Make sure it’s the best possible statement by preparing carefully.

Posted on April 21 at 10:11 AM | Permanent Link | Add a Comment (4)

Tom Stevens appeared in live interviews in numerous local TV markets yesterday, the result of a satellite TV media tour, to discuss housing market conditions. Tom commented on the current stabilization of the real estate market which is marked by a balance between buyers and sellers. He is conducting a similar tour today on radio around the country. Charles McMillan, a member of NAR's board of directors, appeared on Radio Iowa this morning to discuss the HOPE Awards program. He encouraged Iowans to nominate heroes in their communities for the award which honors individuals or corporations who make outstanding contributions to increase minority homeownership.

Posted on April 20 at 04:32 PM | Permanent Link | Add a Comment (1)

The best-selling book Freakonomics: A Rogue Economist Explores the Hidden Side of Everything by Steven D. Levitt and Stephen J. Dubner takes an unorthodox look at several areas of the economy, including the real estate market.

The authors argue that real estate agents could get higher prices for home sellers by urging them to keep their houses on the market longer. But they don’t because agents would not make enough in additional commissions to justify the extra time on the market.

Levitt and Dubner assume real estate businesses are built around one-time transactions. In fact, successful professionals build relationships with customers for life. Homeowners move once every seven years on average and are likely to use an agent they have used before. Consumers also rely on referrals from friends and relatives to find real estate representation. Wise real estate professionals build their business on endorsements from their satisfied customers. According to NAR’s 2005 Profile of Home Buyers and Sellers, 63 percent of home sellers would definitely refer a friend or relative to the agent they used and another 19 percent would probably do so. Among buyers, 97 percent report they were satisfied with their agent.

It’s clear that real estate professionals must do the best possible job for the consumer if they intend to build a successful business.

Posted on April 18 at 05:41 PM | Permanent Link | Add a Comment (3)

WASHINGTON (April 5, 2006) – Vacation- and investment-home sales both set records in 2005, with the combined total of second home sales accounting for four out of 10 residential transactions, according to the National Association of Realtors®.

The annual report, based on two surveys, shows that 27.7 percent of all homes purchased in 2005 were for investment and another 12.2 percent were vacation homes. All together, there were 3.34 million second-home sales in 2005, up 16.0 percent from an upwardly revised total of 2.88 million in 2004. The market share of second homes rose from 36.0 percent of transactions in 2004 to 39.9 percent in 2005.

Posted on April 11 at 06:41 PM | Permanent Link