In today's world of internet and technology some buyers think they are ready to go it on their own. To the contrary they need us more than ever.
Back in 1982 when I first went to real estate school to get a license:
The purchase contract (DROA) in Hawaii was 1 page long.
Mortgages were hard to get and there were not many choices in loan programs and lenders. Home inspections were not as complicated then either.
Mold was something you scrubbed off. Asbestos and lead paint were commonly found in most homes.
To get information on homes for sale you found an area real estate agent to look them up in the listing book. The computerized MLS was new and the computer in our office had a 1200 baud modem with suction cups for the phone. It printed one line of very limited information on listings.
Back then it seemed like one out of about every dozen adults had a real estate license and only a tiny percentage ever sold a home. There were no continuing education requirements to keep your license and association and insurance were not very expensive either. Times were a lot simpler back then, yet most people would not think of going it on their own.
Today, with the information super highway, buyers feel they have more knowledge and more power. The truth is they are getting just enough information to be dangerous in many cases.
The purchase of real estate is a lot more complicated to buy real estate in 2007.
- The purchase contract (DROA) is 12 pages long plus addendums
- We have to deal with mold, lead based paint, toxic waste
- Fair Housing Laws
- Hawaii Civil Rights
- Planned communities
- Home Inspections
- A multitude of loan programs
- Flood insurance
- Hurricane insurance
- Clouds in title
- Termite inspections
- Disclosures
- Non-conforming use
- Encroachments
- Annual new law changes
Granted that many of these issues existed back then to some degree, they are a lot more complicated today.
On the internet, buyers get to see prices and specs on properties. It is a great tool to help them narrow their search. It is no substitution for having a professional to navigate them through all of the obstacles and hazards ahead.
;)
Links;)
Archives
Randy, holy cow! The disparity of the number of pages in the contracts is shocking. From 1 page to 12? That is amazing. I agree that a qualified agent is even more necessary today precisely because of all the info out there. We can lead them through the maze and help avoid the pitfalls.