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Business Research And

Statistics
MBA 501

REAL ESTATE BROKERAGE


TRANSACTION IN CEBU
AUGUSTO B. AGOSTO
MBA REPM

INTRODUCTION
Real Estate transaction - sale, purchase, exchange,
mortgage, lease or joint venture, etc.
Real Estate Broker In-house , mortgage, project,
brokerage
Brokerage - is the most complicated due to the complexity
of the transaction process.
Real property owner
sell their property on their own
seek the assistance of the real estate broker

Real estate broker- main role is to acts as an agent of a


party in a real estate transaction to offer, advertise, solicit,
list, promote, mediate, negotiate or effect the meeting of
the minds.

INTRODUCTION
5,000+ licensed brokers ; 2,000 plus active (members of
different organizations); 10% of active involve sa brokerage
This study focuses on the broker-assisted transactions.
40 Real Estate Brokers engaged in brokerage transaction
The purpose of the study is to determine factors that make
the transaction complicated and how the brokers deal on it.
The main purpose is to draw lessons and guide future
transactions.
Result: real estate brokerage transaction is complicated due
to the complexity of the property rights being transferred, the
amount of money being exchanged, the market and
government regulations.

QUALIFICATION OF THE RESEARCHER


Licensed Real Estate Broker and Appraiser
Incoming President -Cebu South Real Estate
Board-PAREB
Lead Convenor - New Real estate Brokers Group
Lead Convenor Cebu Appraisers Forum

PRESENTATION, ANALYSIS AND INTERPRETATION OF


DATA

TRANSACTION PROCESS
hire a real estate broker
engage the services of a real estate
broker
presentation of the property
Negotiation
holding period
closing of the sale

FACTORS AFFECTING THE TRANSACTION


Factors Affecting Brokerage Transaction

Successful

Mean

Price Setting

34.00

Documentati
on
Bank
Processing
Property
Features
Market
Grand Mean

13.40

Legend:
31.00 40.00
21.00 30.00
11.00 20.00
1.00 10.00

Failure
Mean

28.00

14.00

I
A
S

23.00

6.00

12.00

5.00

14.00

8.00

5.00

16.40

A
S
R
N

Always
Sometimes
Rarely
Not Practiced

DETERMINANT OF THE ASKING PRICE


Players

Mean

Owner

32.00

Broker

7.00

Appraiser

5.00

Banks

2.00

Grand Mean

11.5

Legend:
31.00
21.00
11.00
1.00

40.00
30.00
20.00
10.00

A
S
R
N

Always
Sometimes
Rarely
Not Practiced

PROFILE OF THE BROKERS


Level of Experience of
the Broker
Year in
Brokers
Service

1-3
4-7
8-10

5
10
12

Percenta
ge of
Closed &
Failed
Transacti
on

5%
20%
30%

CONCLUSION AND RECOMMENDATION


Conclusion:
A real estate brokerage transaction is complicated due to the
complexity of the property rights being transferred, the
amount of money being exchanged, and government
regulations.
Uniqueness of every transaction- it involves different type of
property and actors in the transaction.
Recommendations:
Broker should master building relationship with other peopleclients, brokers and salesperson, transaction process,
documentation process, timing, market study.
He should be informed and be updated of the current trend
of the market

Thank You.