Calgary Houses for Sale - Four Myths Concerning Private Seller Properties
If you are considering moving to Canada, you should consider Calgary houses for sale. Located in the Canadian province of Alberta, this economically prosperous city is experiencing rapid growth.
Calgary is well known for its winter sports and mountain resorts. It boasts a low unemployment rate and a wide variety of jobs in the petroleum, agriculture, tourism, and high-tech industries.
Some home buyers may consider buying privately as opposed to using a realtor. There are several reasons why an agent is strongly recommended in any home purchase. A realtor will: save you money by avoiding costly mistakes, guide you in home purchase legalities, offer you financing advice, and protect your interests.
Here are four common myths many home shoppers have concerning "for sale by owner" properties.
Myth 1. The Realtor to Realtor Only Myth
Many home buyers assume that realtors will only sell properties that are listed with other realtors. A good real estate agent wants to help you find the right home for you.
If that ideal home happens to be listed by a private seller, a committed realtor will be glad to assist you with the sale. In fact, you will benefit greatly using an agent to aid in negotiating the price and protecting your best interests.
Your realtor can approach the seller and discuss a fair commission amount. A seller with a home on the market is almost always willing to negotiate in order to sell the home.
Myth 2. The Private Seller Realtor Refusal Myth
Many buyers think a private seller will not deal with a realtor. Anyone wanting to sell their home will consider any reasonable offer, whether the offer comes from an agent or a private buyer.
The obvious reason some sellers go the private sale route is to avoid paying a commission. However, by listing the property themselves, they eliminate about 90% of the home buyer market. This means their property may remain unsold for quite some time.
The private seller benefits from the real estate agent's services: handling the offer, knowing the legalities involved, supervising inspections, and handling the closing details. These are all home sale issues in which the private seller is most likely inexperienced.
Myth 3. The Realtor Commission Payment Myth
Many first time home buyers are under the impression that a realtor will require money or a fee in advance. They think if they avoid the use of a realtor and go the "for sale by owner" route, it will save them from having to pay funds to an agent.
This is not the way real estate sales work. There is no initial cash outlay involved in working with a realtor. The realtor helps you find a property. When a suitable property is found, a closing will be scheduled. Your realtor is paid out of the sale proceeds at the time of the closing.
Myth 4. The Saving Money Buying Privately Myth
A private seller is already trying to save money by avoiding a real estate commission.
The seller is already missing a huge percentage of the buyer market just to avoid paying a commission.
This is a real indicator that the owner is not going to be easily negotiable, if at all.
A realtor can protect you from costly mistakes and legal issues. So what little you "save" buying privately might cost you big time in the end.
Myths 1-4 Dispelled
With these four myths dispelled, you can easily see that a realtor is a valuable asset in any home purchase. Your agent will protect you by following the proper purchase process, including obtaining a disclosure statement for the property. A private seller may not even know what their disclosure obligations are.
A private seller most likely does not have knowledge of current real estate laws. They also probably have an outdated real estate contract, if they have one at all. Your agent will also know the true market value of the home.
A "for sale by owner" listing is still a possibility when searching for Calgary houses for sale. Your home buying experience will be greatly improved and risk-free if you use a realtor, even in a private sale purchase.