Expert: Dick Dennis - 2/21/2008

Question
QUESTION: My wife and I have been looking at homes to buy for about a month and have done this on our own.  We haven't chosen a realtor simply because we don't understand what they can do for us what we can't do ourselves.  Finding homes is relatively easy, we feel comfortable negotiating and completing a purchase agreement and we feel better looking into matters or possible problems with a house ourselves.  We have people tell us we should get a realtor and we have people say it doesn't make a difference.  Thank you for your time.

ANSWER: You go right ahead and try to handle the whole process of buying a house yourself, Jordan. As long as you are satisfied with the outcome and no one sues you in the process, then there is no purpose in using a Realtor. You see, 80% of the people with real estate licenses are at best mediocre, most of them are incompetent.

But if you can find a real good one in the 20% (that means in every real estate office with 10 agents, only 2 are worth their salt) then you will swear by that person whenever you want to buy some real estate. And if you can find one who has been in the business for a while (say, six years or more) then you will understand why it is wise to use a Realtor.

If you are not kidding yourself about what you should know in finding and negotiating a house, then I do say try it yourself. Better yet, go get yourself a real estate license. Only two out of ten are decent. I do wish you well.

Dick Dennis          dixiedee13@aol.com

---------- FOLLOW-UP ----------

QUESTION: I have dealt with a few realtors when being shown a house and there appears to be a range in ability but mainly we got a feel for their personality.  But what does a good realtor have to offer is what I'm trying to figure out.  And when signing your name read it twice and make sure you understand it, even better yet get a copy, take it home and read it without someone looking over your shoulder.  The paperwork will be taken care of by the seller's realtor or lawyer.  And I feel you're almost laughing at me when I read your response but I do appreciate the quick reply.

Answer
Like I said previously, odds are you were dealing with an incompetent Realtor. (By the way, the term Realtor is a copywrited name, like Coca Cola or Kleenex, therefore it should be capitalized. Realtor is not a generic word.) Anybody and his cousin may become a Realtor just by passing the state test. A Realtor promises to abide by a Code of Ethics, so not every real estate agent is a Realtor. But how many of them are competent remains to be seen.

A good Realtor is one who has YOU, his/her client at heart FIRST. If you suspect even remotely that the Realtor is more interested in his/her commission than your interests, then say adios to that person.

That's one definition of a good Realtor. Another definition is someone who knows his business and you can know that by driving around the neighborhood in which you want to locate and notice the for sale signs. After a while you will notice a name or two on the signs that becomes frequently obvious. That agent is working and keeping his/her clients happy. All you have to do is to knock on the door of that listing and politely ask that owner what they think of their agent. If you really do your homework, you will eventually become aware of the PROFESSIONAL Realtors in this world.

Oh, by the way, a good Realtor will never object to you taking your time to read any document you have to sign.

You take care, Jordan.

Dick Dennis