Survey: Web Has Not Hurt Realtors
Less than 10 years ago, Realtors were concerned that the Internet would make their job obsolete, but just the opposite has happened. Rather than replacing the Realtor, the Internet has enhanced their ability to do their job, making their services even more valuable.
Although the Internet gives those who choose to sell on their own opportunities to promote their properties that didn’t exist in the pre-Web era, the number of buyers and sellers using a real estate agent or broker has remained constant over the last 10 years, while the number who opt to sell on their own has actually declined from 11 to 7 percent, according to the National Association of Realtors (NAR) annual survey of buyers and sellers.
The 2007 NAR Profile of Buyers and Sellers shows that real estate professionals continue to be integral to the sales process with 79 percent of buyers and 85 percent of sellers using the services of an agent or broker. The majority were also satisfied with those services with nine out of 10 buyers and eight out of 10 sellers reporting that they would definitely or probably use the same agent again or recommend him or her too others.
Internet users are actually more likely to use a real estate professional. NAR found that among buyers who used the Internet to search for a property, 82 percent purchased through a real estate agent compared to 65 percent of non-Internet users. Typically buyers start their search online, with 84 percent using the Internet, and then switch to an agent.
Among luxury buyers, according to research conducted by Unique Homes, 40 percent use the Internet to find an agent and 73 percent use real estate Web sites when buying or selling a home. One in four found their home in a real estate magazine or a real estate magazine’s website.
When NAR asked about the benefits provided by agents, 57 percent of buyers in all price ranges said the agent helped them understand the process, 47 percent said their agent pointed out unnoticed features or faults with the property and 40 percent reported the agent improved their knowledge of search areas. Other valued services included: negotiated better terms, 38 percent; shortened the search process, 35 percent; and negotiated a better price, 32 percent.
Sellers who used an agent typically received a higher price for their property. The median sale price for a transaction involving an agent was $242,000, compared to a median price of $180,000 for those who chose to go it alone. Even lower still was the median price for sales in which the parties knew each other.
—Camilla McLaughlin
