Can a Buyer get out of a contract if they find a better home to buy?

A Buyer called looking to hire a BUYER BROKER who was looking to purchase a Home in the Manchester NH area. They said they wanted the BEST Agent who would work hard for them. They needed to buy a home right away, they are pre-qualified, they have nothing to sell and have a large down payment to put down. Their key question was "If once they found a home, made an offer, got it accepted... if I was willing to assist them in GETTING OUT of that contract if a BETTER HOME came on the market that they wanted more."  

Simply put, they want to go through the motions of Buying a home, pay for an inspection, an appraisal, but then want tio stop it in their tracks and start over if a new listing peaks their interest more?

I had to ask where they would get this idea. They told me an agent from a "national company" told them because they needed to purchase right away and there was not many listings for sale, they could simply switch if a news listing came on the market they liked more.

Next question was why did you not hire this "national company" Buyer Broker? They replied they did, but they did not have time to show them anything and kept sending assistants. They wanted the best and that was not it.

I told them "For me to be the best, I have to provide the BEST advice and this would not be it. That once an offer is accepted and signed and becomes a contract. you can not JUST switch from Buying one home to another. it would be costly, time consuming and could even lead to a lawsuit."

The Buyer asked for clarification where I outlined what it takes to buy a home and what it takes to be released from a contract. The BEST advice is "To take the time to only look at homes that suit their needs and wants, then purchase the right home the right way the first time.

As i was ready for a backlash, ready to bit them farewell, Their answer was priceless. " Well the idea of backing out of a contract to find a new home did sound like the dumbest idea we ever heard, but it came from a professional we thought. Mr. Godzyk your idea sounds like a great plan, that is why we wanted to hire the BEST. Please help us find our dream home." they asked.

The lesson here is that the FIRST THINGS for anyone Looking to BUY A HOME should be to get pre-qualified by meeting with a LOCAL and TRUSTED LOAN OFFICER. The process is usually at no cost and can easily tell you what mortgage programs may be available for you and what you can afford.

The next and perhaps the most important part is by hiring a Buyer Broker who will provide REAL guidance through each step of the buying process. The key is identifying homes when they come on the market, see them quickly and make a good offer the first time. Know that All agents are not created equal. You have a choice and making a good choice equals a good home buying experience.

Please review my Tips and Advice in helping you to get your Dream Home

1. CHOOSING THE RIGHT BUYER BROKER: As a home Buyer in this market you need every advantage you can to get find, buy and close on your DREAM HOME. It starts with choosing the right agent.

a. Using a Full time agent whose sole job is in Real Estate.

b. Using a Full service agent who will guide you through each step of the BUYING process. Discount brokers often equal discount services.

c. Using a Local agent who knows your neighborhood and is readily available when you need them is a must. Out of town agents can leave you high and dry in your time of need.

d. Using a well experienced Buyer Agent can give you the advantages you need when Buying your home. Not all agents are created equal. Choose only the best..

2. GET PRE-QUALIFIED: Before even looking at a home you should get pre-approved for a loan. Few Sellers will look at your offer without it. Meet with a local and trusted mortgage broker, they can prequailify you at no cost, they will look at your credit plus your financials and let you know if there are any mortgages that you may qualify for. You should then tell them you are looking at bank owned homes so they can provide you with a list of what condition the property needs to be in for you to be able to get a mortgage.

3. STARTING YOUR HOME SEARCH: After you have found a full time local agent to work with, you got pre-qualified and now you have the price range you should be looking in. You should by now have decided what town/city you are interested in and what neighborhoods you like or do not like. 

a. Prepare a list of the towns/cities you like.
b. Prepare a list of any specific neighborhoods you want to move to.
c. Furnish your agent with a list of what condition you would like the house such as in new, good, average condition or can need work etc.
d. Furnish your agent any must have features such as a garage.

Once you get a list of the homes that meet your criteria, my suggestion is to drive by them before you go inside. Narrow down the list to go inside only the homes that meet your needs. 

My best tip is to act quickly when needed, area's such as Manchester are experiencing a decrease in listings and an increase of sales. Homes coming on the market are often out under contract very quickly.

4. MAKING AN OFFER: Now that you have found your dream Home, you are ready to make an offer. In a market such as ours with a decrease of homes on the market and an increase of sales, you want to make the best offer possible.

a. WHAT PRICE TO OFFER: You need to assess what the home is worth in todays market and subtract for any needed repairs. Never make an offer using a specific percentage off an asking price as the price may already be well below market value, at market value or priced way too high.

 

c. ARE THERE ANY OTHER OFFERS? if there are other offers submitted you may only have 1 shot to make your best offer to get this home.

d. CONTINGENCIES: Sellers hate offers with contingencies, strengthen your offer by only including a 7 day home inspection and a mortgage contingency.

As the market here in New Hampshire is stabilizing, the time for Low ball offers is over, your offer should be well written and to the point. Include a copy of your pre-qualification letter to let that seller know you are ready, willing and able to purchase.

 

LEARN How you can get FREE BUYER REPRESENTATION by contacting US Today.

IN CONCLUSION: There is a lot of behind the scenes work going on with the purchase of a home. If you did not notice most of these steps, I did a great job. With the decrease in Listings, there is pressure on Agents to provide more service. For agents who have been providing a great service to their clients throughout the last 4-5 years they are being rewarded as home sellers and buyers talk, they let each other know who did the great job or who dropped the ball. As you see it is no accident a home sells. It is through the hard work of the agent.

As a consumer you have a choice. Avoid the thinking that bigger is better. You deserve the Best and that is having some one guide you through each step of the Buying process. If you are looking to purchase a property in NH, you can choose ME. I strive to offer the best in personal and professional service through EACH step of the BUYING processIt does not take magic to turn your "For Sale" sign into a "Sold" sign. it takes a full time Local Agent who specializes in Listing homes like yours.

Please call for a FREE MARKET ANALYSIS to know what the value of your home is.

WE STRIVE TO PROVIDE THE BEST POSSIBLE SERVICE THROUGHOUT EACH STEP OF THE LISTING AND SELLING PROCESS!!!

If you need to sell your home and you owe more than your house is worth, i may be able to help. I specialize in working with home owners to get your home sold. There are many options such as a short sale which may be able to help you.

Please try and avoid out of state or out of town agents and companies that make "out of this world promises". We are local agents with experience who never charge any up front fees.

 

We are local agents with experience who GET RESULTS!!!

We stand by you through every step in selling your home..

PLEASE SEE MY "TOP" TIPS FOR SELLING A HOME Are you READY TO SELL YOUR HOME? Step 1: Choosing an agent

PLEASE SEE MY "TOP" TIPS FOR BUYING A HOME Are you Ready to BUY A HOME? Step 1 Find a REALTOR

About the Author: Scott Godzyk is the Owner/Broker of the Godzyk Real Estate Services in Manchester NH. With 27 years of experience, Scott is a leading Agent for Listing and Selling Homes in this area. To CONTACT Scott Godzyk please call 603.661.2121 or EMAIL: Sctprop@aol.com . We are Full Time Agents ready to serve all of your Real Estate needs through each step of the buying and Selling process. We are proud to be locally owned and operated.

If you have enjoyed reading my blog, please subscribe by clicking below

http://activerain.com/action/blogs_admin/subscribe?subscribed_agent-id=226993

Copyright 2008-2011, All rights reserved