Don’t Be Fooled By Investor Speculation In The Real Estate Industry

Low Commission Real Estate Brokerage
Low Commission Real Estate Brokerage

Atlanta real estate industry

It’s no surprise that advances in technology are changing the real estate industry. Years ago, home buyers had to rely on real estate agents to see the homes available in the local market. Now, real estate agents are still an important part of the home buying process. But buyers can also look online to view listings that have been shared with the general public. New Trend in the Real Estate Industry: iBuyers One of the latest trends that we are seeing across the nation is the shift to “iBuyers.” People who are looking to sell their homes quickly and easily turn to real estate companies such as OpenDoor, OfferPad, and Knock. These brokerages leverage the internet to minimize overhead in the buying and selling process. Most of the sites give homeowners the opportunity to request an offer on the property, which is provided within 24 hours. Some sellers like the option to move as quickly as possible, but they don’t realize how much they are giving up by working with an online company instead of an in-person real estate agent. Investors have jumped on board, predicting that online sales are going to change the real estate industry completely. Are these new startups and investors on to something? Or is this trend simply being propped up by investor speculation and share prices, without real profits to be made in this questionable business model? Where These Real Estate Websites Fall Short It seems like a dream to have an offer on your home in 24 hours and close on the deal in 10 days. But like many things in life: if it sounds too good to be true, then it probably is. Here are a few drawbacks to using an online service when buying or selling a home:
  • High Fees: You can expect 6% commission fees when working with traditional real estate agents, or much less when choosing our team at DUFFY Realty. In comparison, some of these websites (such as Opendoor) charge as much as 14% in fees. The costs add up!
  • Cost of Repairs: After you have accepted the offer, the website team has the opportunity to inspect the property. If anything needs to be repaired, then the cost will be deducted from the sale price. Unfortunately, you don’t have the option to shop around for an affordable contractor, which means that you are likely over-paying for the repairs.
  • Personalized Attention: Nothing beats the one-on-one service that comes from working with a real estate agent in person. Your home is one of the biggest investments you will make, which is why it is important to have an industry expert to help with negotiations and paperwork.
At DUFFY Realty, we offer affordable real estate services without the need to sacrifice the personalized services available in the industry. If you are looking for a way to save money on your home sale/purchase, talk to our team instead of using these unproven online real estate websites: (678) 318-1700
Rhonda Duffy

Rhonda Duffy

Real estate expert and consumer advocate Rhonda Duffy is documented and ranked the #1 Agent in the U.S. for resales three years in a row and #1 Agent in Georgia 12 years in a row. Rhonda is the media’s go to expert on real estate matters for her commonsense approach, consumer advocacy and work to educate the public on the rapidly changing landscape of her profession. She has been licensed in real estate for 20 years, has been a broker in seven states and is trained in staging certification.

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Should I Turn My Home into a Rental Property?

green fruit smoothie ingredients
green fruit smoothie ingredients

Atlanta real estate industry

Wondering whether it’s a good idea to rent your home? You aren’t the first to consider the possibility. It’s a question that people grapple with every day. So, what do you need to know? Here are several things to think about before you put it on the rental market:

Are You Ready Be a Landlord?

If you are ready and willing, then continue evaluating the option to rent out your home. If not, then perhaps you should rethink your plans. You can continue to own the place and live in it, or you can sell it. Being a landlord is a fair amount of work and, at times, it can even be a headache. Done well, the rewards can be worth your while, but don’t go into it thinking it’s a cakewalk.

As a landlord, you are responsible for maintaining the home and making timely repairs when needed. Of course, you can hire others to help with these requirements, but you’re the one who will foot the bill. Make sure to keep this in mind, and be prepared to pay for such things when needed.

Finding Good Tenants

An unoccupied rental house is losing money. At the same time, finding a bad tenant that fails to pay on time, or causes heavy damage to your property, is also losing money. So, what is a landlord supposed to do? Find and attract good tenants with good credit and stable employment. It takes time, but once you understand how to find quality tenants, you’re on your way. It’s a critical skill that will make or break your success.

Handling Tenant Issues

In the process of finding good tenants, you’re likely to encounter some that are less than ideal. They may be neglecting the property or disrespecting neighborhood rules. Perhaps they fail to pay rent. These issues must be dealt with, and it isn’t always pleasant to do. However, renters do have certain rights, so be sure to follow laws and procedures as you deal with issues that may arise.

Market Conditions

Before you decide to rent your home, take note of the market conditions. If the market favors sellers, then you might consider selling the property at top dollar. On the other hand, if the market favors buyers, then renting your home can be a great way to continue to accrue equity while you wait for home values to rise once again.

Financial Common Sense

Rental properties can be a fantastic investment, but it has to make sense. You’ll want to spend some time evaluating the tradeoffs between rental income and any tax deductions you may incur. Other things to consider should include projected expenses, current equity, the value of the property, etc. If needed, your accountant can help you to analyze the investment potential of renting your home.

DUFFY Realty is a reputable agency that puts people first. Helping people like you are the reason we’re in this business. If you’re ready for a team of knowledgeable professionals to provide some common-sense insights in today’s real estate market, give us a call: (678) 318-1700.

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