Buying a home October 9, 2017

To Work with a Buyer’s Agent or a Listing Agent, that is the Question

For some people, it’s almost a moral dilemma.  They’ve been talking to an agent they like.  Then they see a house they like.   However, the house is listed by a different broker.  Consequently, they feel that it’s only ethical to contact the listing agent.   

 Or, they think they’ll be able to negotiate a better price by going directly to the Listing Agent.  

What’s in a Name?  An agent by any name would get me a good deal.

Some buyers believe the listing agent will give them a better deal. After all, they’re saving that agent from splitting a commission.  Hence, a listing agent shouldn’t mind negotiating a better deal for them, or giving up part of his or her commission.  

The buyer doth presume too much, methinks.

Or, the buyer sees a listing with an agent’s name, and imagines all the work that has gone into this deal.  So, it’s only right that they should give the listing agent their business, too.  It just wouldn’t be fair to have another agent show them the property.  Hence, the buyer presumes that the listing agent will be upset by bringing a buyer’s agent into the picture.

To Thine Own Client Be True.

However, in both scenarios, a major factor is missing.  Who has the Buyer’s back?  The Listing Agent represents the Seller.  Therefore, the Seller’s best interests come first.  The Agent will want to get his client the best possible purchase price, which in turn will mean a larger commission.  The Listing Agent has advised the Seller on how to market and sell their home, prepare it for showing, price it realistically, handle offers and negotiate the best deal for his client.

This is where the Buyer’s Agent comes in.  She wants to get her client a new home for the best possible price.  Additionally, she has the knowledge and expertise to advise on neighborhoods, schools, property valuation and more.  The Buyer’s Agent will arrange showings for each property her client is interested in, advise on obtaining pre-approval and financing from a lender, and handle problems that might arise during home inspection, etc.  She will negotiate the best deal for her client, and handle the legalities and paperwork of closing.   Furthermore, the Buyer’s Agent may continue to help her client even after closing.  Recommendations of local businesses and services can be an immense help when a client is new to a neighborhood.

The better part of the client/agent relationship is discretion.

Whether a Buyer’s Agent or Listing Agent, there are certain characteristics each should have.  Confidentiality, loyalty, accountability, disclosure, adherence to laws…   These are just a few of the traits a good agent possesses.  

 To work with a Buyer’s Agent or Listing Agent, that is the question.  And the answer is, find the real estate agent with the knowledge, experience and expertise to best represent you in either buying or selling your home.

Want to learn more about buying a home, Download our free 22-page Home Buying Guide.

Selling a Home August 14, 2017

How much does it cost to sell a house?

While many people save for and anticipate the costs associated with buying a home, not everyone realizes that selling a house also comes with its share of fees.

In some cases, these fees can account for 10 percent of the sale of the home. While many of these charges are negotiable and can fluctuate depending on the current real estate market, sellers should plan on paying at least some of these expenses.

Understanding the cost to sell a house can help prevent sticker shock when it comes time to close the sale.

Realtor’s commission

The real estate commission is often the largest fee that a seller has to pay. In many cases, these commissions can total 5 percent to 6 percent of the sale cost. This means that a house that sells for $250,000 could end up costing an additional $15,000 in commission fees.

The commission fee is split between the seller’s agent and the buyer’s agent. Many homeowners are attempting to skip these high fees altogether by going the sell-it-yourself route, but if you take this approach be prepared to assume the Realtor’s responsibilities.

These can include negotiations, hiring a contract lawyer and taking care of the transfer of title.

Home repairs

If you’re thinking about selling your home, chances are there are a few repairs that can boost the appeal of your home and even raise its value. If you’ve been putting off painting a bedroom, repairing a staircase or fixing a leaky faucet, now’s the time to make those changes. If you’re paying for repairs or upgrades with a credit card, be sure you’re getting cash back or rewards.

Inspection repairs

You may spend several hundred dollars on cosmetic fixes on your home, but if the buyer’s home inspection reveals any major problems, you might be responsible for paying to fix them as well.

Major repairs could be a financial setback, so it’s important to be prepared for them before you choose to sell, especially if you anticipate a problem with your home passing inspection.

Staging

Buyers like to have a clear picture of what the home will look like with their items in it. If your home is currently vacant or your possessions are outdated, you may want to hire a professional stager who can arrange furniture and accessories.

A 2015 National Association of Realtors study revealed that the median cost for staging was $675.

Utilities

If you plan to move out before you sell your home, you’ll want to continue to pay for your heat and electricity. A home without heat and lighting can be very difficult to show to buyers. Your current utility bills can give you an idea how much this will cost.

Mortgage payoff

The proceeds of your home will be used to pay off your mortgage, but it is likely that the number on your mortgage statement might be a little less than what you owe.

You’ll likely have to add prorated interest you’ve accrued to the total balance. Additionally, your lender may penalize you for paying early if you have a prepayment penalty associated with your mortgage.

Closing costs and additional fees

While the closing cost to sell a house is typically the responsibility of the buyer, don’t be surprised if you are asked to foot the bill, especially if you are trying to sell your home in a buyer’s market (one which has an influx of homes for sale).

Some of these costs may include HOA (or homeowners association) fees, property taxes, attorney fees, transfer taxes and title insurance. You also may be asked to pay an escrow fee, a brokerage fee and a courier fee. Altogether, closing costs can range from 2 percent to 4 percent of the selling price.

Many of the above fees are negotiable, and it is unlikely that a seller will be responsible for all of these. Still, it helps to be prepared. Knowing how much it will cost to sell a house can help you avoid disappointment when the time comes to put it on the market.

 

Thinking of Selling Your Home – Get your Free Home Evaluation Here!

 

 

 

Source: Bankrate.com

 

 

Buying a homeSelling a Home May 16, 2017

The Internet Vs. the Real Estate Agent

The Internet Vs. the Real Estate Agent

The Internet Vs. the Real Estate Agent.  It may seem like the internet provides many all the tools that can make buying your dream home seem like a breeze.  You can search online, see a home you like, take a video tour.  Sure, there’s an Agent attached to the house, but that seems more a formality.  That’s who you call because they have the keys to the house you want to see..  You’re tech savvy, you know where you can get a mortgage online, you know how to do your research.  You’ve got this under control.  Or do you?

The Real Estate Agent

The Real Estate Agent is more than the holder of the keys.   Buying – or selling – a home is a process, one that has many steps.  The experienced Real Estate Agent is there to act as your guide through the process.  From beginning to end, your Agent is there for YOU!  To find out what is really important to you in a new home.   Help you obtain the most beneficial financing.   And to help you get the most house for your money.  

The home you eventually purchase may not be the one you found on Zillow.com.   But that home gave both you and your real estate Agent an idea of what you are looking for.  You will most likely visit numerous homes.   Some may be listed by other Agents, but YOUR Agent can and will arrange for you to see them all, and will represent you!   Your Real Estate Agent’s goal is to help you find the best home at the best price, and to make the process as easy and stress free as possible.

Using the Internet as a Tool

The internet definitely has a place in your search. You can take countless house tours without ever leaving your home.  It can help you define the style of house you want, the must haves you’d like to have in that house, and the things you can compromise on.   You can get statistics on neighborhoods and school districts.  It can definitely be fun checking out all the beautiful homes shown on the internet, but when you make that decision that it is now time to buy or sell, it’s time to let the Real Estate Agent step in.

The Real Estate Agent, the Internet, and You … the Perfect Trio

Real Estate Agents work very hard at their jobs.  Their goal is to help you either get into a home that you’ll love, or sell the home that you love, so you can move on to the next.  They have the training and resources to check for homes both online or through other agency offerings and their knowledge of the local market.  The Agent will find comparable housing prices in specific areas. In addition, they have access to sites with information not available to home buyers and sellers.   And they know the different neighborhoods in the town or city you are looking for.

If you don’t qualify for the financing to afford a home in one specific neighborhood, they can recommend an area which may just be more affordable. A knowledgeable, local real estate Agent can translate the stats you’ve seen online into real life info that can help you achieve your goals! They help you navigate the maze of forms, regulations… of making offers – and counteroffers!  They’ll be by your side.  From visiting properties, through making your offer. Through having it accepted, then through your home inspection.  They’ll help you handle some of those challenges that can arise, ranging from merely irritating to downright nerve-wracking!  They will be by your side until the closing – when YOU become the holder of the keys!

After the Sale, your Real Estate Agent is still there for you!

Once you have either moved in, or moved on to your next home, your Agent remains a valuable source of information.  And, while the internet can provide you recommendations for contractors and local businesses, the recommendations from your Agent will be based on working with those individuals and businesses.  That can make a big difference when selecting people to turn your new house into your new home!  

So, the Internet Vs. the Real Estate Agent?   While the Internet may have played a part in the overall process, there is something that it just can’t do … and that is have the human touch!