Real Estate Chronicle: Stats ... Stats ... Stats ....

Saturday, October 01, 2005

Stats ... Stats ... Stats ....

Is the Internet sending Realtors the way of the dinosaurs ? New research indicates the very opposite is true. We all love statistics and I have just found a bunch of them for the aficionados of my blog. This material has been compiled and is reprinted with permission of the National Association of Realtors, a.k.a 'NAR' - and not to be confused with 'NRA' which is a totally different thing. Although, one might add, there have been times in my career when I have felt a membership in the NRA would have been more practical - but that's a story for another post.

In its 2004 Profile of Home Buyers and Sellers NAR has found that two-thirds of homebuyers with Internet access now use the web to shop for a home. But these same Buyers are more - not less - likely to use a Realtor to handle the transaction than traditional homebuyers. The 2004 Profile is broken down into sections, some of which are very interesting. Here are a few:

Realtors - how do they spend their time

Real Estate Agents work an average nationwide of 46 hours per week, have a gross personal income of $62,300 (adjusted for 40 hours weekly) and have been in the business an average of nine years. 46% are male and 54% are females. Respecting their level of education, Realtors can be grouped as follows:

45% with some college/associate degree

26% hold a Bachelor degree

9% are just High School graduates

11% have pursued graduate studies and above

9% have a graduate diploma

Homeowners - it's a crazy world

So you think that property taxes have reached unconscionable levels ? Here is why: 70% of all tax revenues generated by local governments are derived from property taxes. Of this 70%, homeowners have contributed roughly 43% while the remaining 57% comes from commercial properties. Households spend 30% to 40% of their disposable income on housing-related expenses. This has a positive impact on the economy though, since there are 2,448 jobs per 1,000 single-family houses created by all this furious spending.

Clients - what do they look for in an Agent

58% want a Realtor to find the right house to purchase. 12% want to know what comparable houses sell for in the neighborhood. 9% want help with the paperwork and also 9% want help with price negotiations. 4% want their Agents to tell them how much they can afford and only 2% need help in finding and arranging financing.

Advertising - the name of the game

What makes a house sell (other than your Agent's pretty face) ? Here it is :

74% - yard signs
74% - Internet advertising
53% - newspaper advertising
51% - open houses
40% - home book/magazine
37% - builders
26% - television advertising

Furthermore, 90% of Buyers consult a Realtor to search for a home, 77% of them actually use a Realtor to buy, 12% buy directly from a builder without the assistance of an Agent and only 9% buy directly from a Seller. In fact, if you are or intend to be a direct Seller (FSBO), beware: the typical FSBO home sold for $163,800 compared to $189,000 for agent-assisted home sales.

And finally, between 1980 and 2000 the number of households headed by unmarried women has increased by about 10 million. NAR maintains a comprehensive website at your fingertips by clicking :