DTLA LIFE MAG #22 | OCTOBER 2015 | Page 12

The purchase of real estate is one of the largest fi- nancial transactions that one will make in their lives. There are several reasons for people to make the de- cision to purchase a home. New jobs, new life part- ner, new baby, new separation, new investment, I can go on and on about why more and more people want to own. The NATIONAL ASSOCIATION OF REALTORS ® of recent home buyers and sellers data report provides every year insights into detailed information about experiences with this important transaction. The report sho ws that thirty-three percent of recent home transactions were including first-time buyers, which is still down from the historical norm of forty percent among primary residence buyers. The 2008 recession has made real estate more affordable, and younger people took that opportunity to become a homeowner, something that they definitely couldn’t afford prior to the crash. For most the decision be- came obvious when buying was less expensive than being a tenant. Historically low-interest rates, prices at their lowest, massive inventory and desire to grow up and take responsibility created the biggest boom in the first-time buyer market ever. Only nine percent of sellers did not use a real estate broker to sell their home. Not because they wanted to save the commission fee on the transaction, but around sixty percent of them received an offer from an acquaintance before they were even thinking about selling their property. More than eighty per- cent of buyer and seller not using a professional ex- pressed their regret for not hiring one. They feel that the transaction would have been easier with some- one preventing mistakes in the excruciating amount of legal documents required and avoid possible law- suits. The majority thought that by hiring a broker would have saved them a large amount of stress, worry but also money. In fact, properties sold directly by owners could have closed with an average of thirty-nine per- cent more if they would have listed it with a licensed agent. Also inexperienced agents and the ones des- perate to get hired by discounting their commission have been reported to sell properties at a lower price by far compared to the expert brokers. The typical six percent commission that a good agent charge to help you is increasing your return without a doubt. For forty-three percent of home buyers, the first step in the home-buying process was looking online for properties. Ninety-two percent of buyers use the in-