What is the difference between a REALTOR and a real estate agent?
Both a REALTOR and a real estate agent are allowed to sell real estate. A real estate agent is someone who has been issued a license to sell real estate by the state. The same is true for a REALTOR, but a REALTOR also belongs to National Association of Realtors (NAR). They may also be members of a state association like Hawaii Association of REALTORS (HBR), and a local association like Kona Board of REALTORS (KBR). Working with a REALTOR benefits the client in a number of ways. First, a REALTOR adheres to a professional code of ethics. This is a written set of guidelines that are stronger than the guidelines issued by the state. I am a REALTOR, and a member of all three organizations.
Why do I need a REALTOR when I can see the houses for sale on MLS myself?
A real estate agent is a professional that has specific knowledge of this business. We have all had an experience in life where we regretted a decision we made. Maybe something that you did not understand completely ended up costing you in the end. These cases are times when you look back and wish you could have a "do-over". Don't let one of the biggest financial transactions of your life be something that you may want a "do-over" on. A real estate agent may be able to enlighten you as to an over priced house, contract terms in the other persons favor, potential issues with day to day life in a house or subdivision, or other issues that you may not know. The bottom line, representing yourself in real estate is much like representing yourself in court.
What is a buyers representative?
A buyers representative is someone that represents you in a real estate transaction if you are the buyer. If you thought of using the real estate agent the seller hired, just ask yourself one question. If you were in a divorce, would you use your spouse's attorney?
What is dual agency and what does that mean?
This is a little complicated for many people to understand. Basically, if a REALTOR is a dual agent, he represents both the buyer and the seller. As such he can show no preference to either party. There are many more ramifications of this that are extremely important to both parties. This is covered in depth with clients that I represent.
What is all this leasehold and fee-simple stuff?
Fee-Simple means that you own the land and the improvements on it. Leasehold means that you own the improvements on the land (house) but you do not own the land. Instead the land is leased to you. Generally, these leases last for 30 to 50 years. However, lease expiration is soon approaching for many leases. A buyer needs a REALTOR to find out if there is an upcoming renegotiation or lease expiration. The land owner (person to whom you pay the lease) may decide to increase the lease by whatever amount they choose. If that amount became too much you would have the option of physically moving the house and finding somewhere else to put it. Obviously, this is not very likely, again noting the need for research. It is important to note that many condos are leasehold, so there is no way you will be moving the improvement. More information is available in my free reports below.
What is a 1031 exchange?
In a typical property sale, an owner usually has to pay taxes on any gain. In a properly executed Section 1031 exchange, the realized tax is deferred. These transactions are sanctioned under Section 1031 of the Internal Revenue Code and are often referred to as "1031 exchanges", "like-kind exchanges" or "tax-deferred exchanges". Section 1031 is a complicated statute and the advice of a tax advisor should be consulted. More information is available in my free reports below.
What does CPR mean?
CPR stands for “condominium property regime” and is most commonly heard when referring to a number, the “CPR number”, which identifies one condominium property from another for tax and sales purposes.
How should I take title?
There are a number of ways one can take title in Hawaii. I will explain the options available to each of my customers. The way you take title can effect your estate and tax status. If you have any questions about which if the best way for you to take title, I strongly urge you to consult your attorney, tax consultant, or estate planner.
Do you work with sellers?
Of course! My knowledge of the real estate covers both the issues of buyers and sellers. |