Myth 1: You must have an agent

It is strange that most people will believe something printed in a major publication or seen on a major broadcast TV network, like the worthless CBS 60 minutes piece on how agents make too much money.

(My fabulous co-authors have also provided their own thoughts about the 60 minutes show. See 60 Minutes put our knickers in a twist. So what? by Merv Forney and Minimum Service: Restraint of Trade or Consumer Protection? by Mollie Wasserman.)

I for one, tend to 'trust but verify' but I'm amazed at the others who just take what I consider bad reporting ethics at face value. Just because it is in print, or on TV, doesn't mean it's true! I realized this quite some few years ago when researching something I saw in a major publication that due to my real estate experience, I knew simply wasn't true...so, for those of you who want to know the real truth, read on, here it is, in all it's glory.

So, getting back to the 5 myths, here is Rennie's post Five BS Real Estate Myths - # 1-You need a Realtor to buy or sell your home and I thought it was a good topic for all to be aware of, and why real estate consulting is good for both the consumer and the agent.

Below are all the myths and I will address the first one in this post. Stay tuned for my .02 on each of the other myths coming soon. You may want to get a cup of Java or depending on the time of day, a stiff drink, keep an open mind and like one of my favorite quotes "Trust but verify".

ALL FIVE MYTHS OF REAL ESTATE:

1. Only a licensed real estate broker should sell your home.
2. Your broker wants to get the highest price for your home.
3. A low credit score means you won't qualify for a mortgage.
4. The advertised rates are what you'll get from a lender.
5. Your home must be turned into a showplace before it's listed.

With the utmost sympathy to those agents who believe, as I do, that more people will benefit by having a professional agent on their side, and with regards to recent articles by the NAR (National Association of REALTORS®) stats on this topic which state that a professional REALTOR® will make the consumer more money even after paying the real estate fee than they can get for themselves, as well as USA Today reports which state that professional REALTOR® make over 21% more for the consumer after paying the fee, the reality is this:

Some people are just fine without an agent.

Not the majority, I believe, but sometimes, yes, they are just fine, but I've found that those people are far and few between, hired professional help from a real estate consultant, a real estate attorney, appraiser, home inspection firm, title company etc. and spent scads of their life trying to save a buck or two, but yes, it does happen, albeit very infrequently and not without much sacrifice on the part of the seller.

Having said that, I will also comment that most often after trying diligently on their own, most people realize it is a LOT harder to sell their houses for the most money in the shortest time frame than they originally thought, yet, you can't blame them for trying. In my humble opinion though, as a professional REALTOR® myself, were I to sell my own personal residence, I'd have someone else handle the transaction for me as most people get caught up in the emotional rollercoaster ride of defending their emotial turf which greatly impedes negotiations, is one of the biggest reasons transactions fail to close, and also one of the biggest reasons people call me to consult with them on their transaction.

Now, stay tuned for Myth #2 which I'll discuss in great detail. I welcome any comments to Myth number one that anyone should care to add.