BUYERS

Do I Really Need a  Realtor?
 

Realtors can and should be very valuable to you when purchasing real estate.
 

We are entering into a new territory of commission structure related to the buyer.   As of August 1, 2024 there will be a new regulation mandating that  Realtors representing buyers need to review  how they will be paid and IF they will be paid anything,  before showing any homes.   
 

Let’s skip the Inspection!  

Have you heard that one before? I’ve heard several Realtors in the past 2 years recommend that the buyers forego that nasty inspection if they really want the property.  Most buyers do not have a thorough knowledge of mechanicals, etc., and when issues pop up after the sale, it’s the Realtor they will most likely think of first. Hire a Realtor that advocates for you in getting inspections done.
 

What’s with the blank Real Estate Condition Report? Laws vary in every state but if you are in a state where the sellers are not required by law to disclose past problems and/or enhancements, getting an inspection can save you thousands of dollars.  

Your Realtor should educate you on the inspection process itself and what needs to be disclosed in your state.
 

You can’t come back to the seller after the sale and complain because you accepted the property in the condition when you purchased it.

Negotiating to get contingencies satisfied for the buyer is a large component in the real estate transaction that should be done with a Realtor that is always advocating in your best interests.  
 

The Devil is In the Details

The purchase agreement itself is lengthy and there is a lot of “boiler plate” terminology that Realtors are very familiar with but buyers may not be. It is the Realtor’s responsibility to educate the buyer on the lengthy document they are signing.   
 

Who is closing the Transaction?
 

It is important to know who your closing company is. Your Realtor  should have an ongoing conversation with the title company to confirm there are no title issues.   The mortgage company will also be notified of any potential problems before closing.    
 

The Mortgage

The mortgage is another huge important component of the transaction and it is important that the Realtor and Lender have ongoing dialogue about the transaction.
 

I’ve had so many clients afraid to ask the question about rates, afraid to ask questions about all those fees on their Good Faith Estimate, and didn't  really know what questions they should even ask.
 

Clearly, your Realtor is not a mortgage broker but I firmly believe that it is very important to make sure they are educated on that process.
 

Do you know the expectations of your lender? Is your lender going to communicate with you every week? Do you know when you  anticipate final title commitment? Did the lender tell you exactly what you need for closing? Have any numbers changed? Are you truly pre-approved and ready to go or are you simply pre-qualified? Have you explored all the options for a mortgage? Does your lender have the option of working with several companies to find the best terms for you? 

You can save thousands of dollars by picking the lender that is working in your best interests.
 

Know what you are truly qualified for before you start looking.  

You and your Realtor should be very confident with your lender.  There is nothing worse than having a U-haul parked in front of your yard and no closing that day because of some little "glitch."

Be familiar with  the term "final title commitment" and "clear to close."    

For more specific information on the buying process, visit our YouTube Channel: "Real Estate Scoop!"