What REALTORS do for Buyers

Reblogger Thomas J. Nelson, Realtor,CRS,e-Pro
Real Estate Agent with Big Block Realty 858.232.8722 CA BRE# 01261476
http://actvra.in/4ZLw

Another great "list" post from MiMi, I'm using great lists like this to compare to what I use and then "upgrade with these good to great iseas. I'm focused lately on some "back to basics" blog posts for my blog; my own and some wonderful ones I discover on other ActiveRain Members' to re-blog for my clients and readers; including recently updating and posting my Buyer & Seller Questionnaires. I recently re-blogged Mimi Foster's pre-Listing Questionnaire and Mimi added some nice suggestions to my own questionnaire posts. I printed this and started to compare it to my provided services; I used it to step up or polish my existing service plan for sellers. Please pop-by MiMi's original post and leave her your comments if you missed this classic the first go around!

Original content by Mimi Foster

WHAT REALTORS DO FOR BUYERSWhat Realtors do for Buyers

After hearing a young man say, "At least I have a REAL job . . . it's not like I drive around town all day talking on the telephone," I was surprised at the lack of understanding of our profession, and formulated this list to show just how intense our job can be. It's been almost three years since I first posted this on ActiveRain, but it gives insight into some services Realtors provide to Buyers. I have not updated it in a while, and I'm sure much has changed. Feel free to add things in the comment section that I may have missed, or that is new with new technology. I will then update so that we all have as extensive a list as possible.

I also posted What Realtors do for Sellers that you might want to check out.

There is also a cover letter I give to buyers in conjunction with this list. It can be found at the end of this post. You may use this list as you see fit in your business, with attribution.

 

REALTOR® SERVICES / TASKS INDEX

PRE SHOWING: Before we begin looking at potential homes, it is important that you contact a competent Lender to see how much home you will qualify for, and to make sure that your credit is acceptable for a home purchase - requirements are changing daily. You will receive a letter from the Lender (pre qualification) before we begin.

  • Make appointment with Buyer to find Buyer's wants and needs in a home
  • Have Buyer contact Lender and find out ability to get pre-approved for a loan
  • Get pre-approval from Lender to begin showing houses (takes less than 30 minutes)
  • Have Buyer access our website to begin looking at available homes
  • Confirm time to meet with Buyer
  • Prepare Agency Disclosure

MEET WITH BUYER: Then we meet with you to discuss your wants and needs in a home, understand your projected time frame in purchasing, logistics if you have a home that needs to be sold, and understanding Buyer Agency and all of its benefits. Realtor services are almost always free to you, the Buyer.

  • Discuss our Company policy on Agency
  • Discuss wants and needs in a home, price range, time frame, how motivated?
  • Discuss areas in which Buyer would like to look
  • Does Buyer have a home that must sell prior to purchase?
  • Explain that it does not cost Buyer out-of-pocket to work with Realtor - Seller pays
  • Not in Buyer's best interest to work with multiple agents - need an 'Advocate'
  • Do computer research to find homes that meet Buyer parameters
  • Set appointments to view several of these homes
  • View homes and get a feeling for what does and doesn't appeal to Buyer
  • Will show houses one day, then must decide on Buyer Agency
  • Sign Buyer Agency Agreement

AFTER BUYER AGENCY SIGNED: Much goes into a computer search for properties that might fit your needs. I will preview homes electronically and physically and share them with you, contact my Realtor network, prepare showings, define and narrow list for what we will see, map route for viewing houses until we find something about which you are excited.

  • Copies of all documents – give a set to Buyer
  • Do another computer search and narrow or expand the field of possible homes
  • Prepare showing inventory
  • Preview homes by phone and physically, if necessary
  • Call Realtor network to discuss our Buyer's needs and new listings
  • Present Buyer 101 handbook to explain process and take notes of homes we are viewing
  • Can see 1 or 100 homes - my job really starts after we find the home they like
  • Check MLS for Matching Sellers
  • Input Buyer into Outlook
  • Contact unrepresented Sellers
  • Map out location so that showings are systematic - allow plenty of time

AFTER BUYER FINDS A HOUSE THEY LIKE: Prepare a thorough Market Analysis to make sure value in the home is reasonable, call other Agent and pre-negotiate, get disclosures and thoroughly discuss all paperwork, possible offer, and pricing strategy based on professional judgment and market. Sign all paperwork and completed offer (Contract).

  • Pull property City and tax records
  • Pull old MLS listing, if applicable
  • Order Owner & Encumbrance Report
  • Research property's current use and zoning
  • Research and verify legal description of property
  • Pull comps on Active, Sold, Pending, Withdrawn, Expired, and Cancelled Listings
  • Research "Average Days on Market" for property of this type and location
  • Prepare Comparative Market Analysis
  • Print Map of property and comps
  • Pre-negotiate with other Agent before writing, if applicable
  • Prepare Contract
  • Receive all disclosures
  • Discuss Contract with Buyer
  • Sign Closing Instuctions
  • Sign Seller's Property Disclosure
  • Complete Lead-Based Paint Disclosure
  • Complete Square Footage Disclosure
  • Discuss Comparative Market Analysis
  • Discuss offer and pricing strategy based on professional judgment and market
  • Discuss availability of Home Owner's Warranty
  • Get copies of leases, if applicable
  • Ask for floor plan, upgrades, special features, detailed list of amenities

CONTRACT NEGOTIATIONS: Discuss your financial qualifications with other Agent, terms of offer, time frame of Seller, and any other details that might be important in writing an offer. Present offer, negotiate offer and possible counter offers, renegotiate to complete the Contract to your satisfaction.

  • Discuss Buyer's financial qualifications, terms, and times
  • Discuss exclusions, dates, etc. with other Agent
  • Review Contract Addendum
  • Evaluate offer and prepare a "Net Sheet" for Buyer
  • Negotiate the offer and options
  • Convey pre-qualification letter
  • Sign offer or reevaluate offer, if necessary
  • Prepare and convey any counteroffers, acceptances, or amendments
  • Acceptance Deadline Time
  • Renegotiate however many times necessary and finalize
  • Receive signed Contract or Counterproposal
  • Discuss options with Buyer; if accepted, go "Under Contract"
  • Make applicable copies
  • Convey signed copies to other Agent

AFTER CONTRACT SIGNED BY ALL PARTIES: We will deliver your earnest money and Contract to your Lender and Title Company to set the closing process in motion. Set up time for inspections, review and track all dates; get insurance; resolve any title disputes and matters of HOAs, verify that permits were pulled correctly on any upgrades, coordinate closing time and any special items needed.

  • Copies of all documents - copies to Buyer
  • Make copy of Earnest money and Contract
  • Deliver check to other Agent
  • Convey Contract to Mortgage Lender
  • Convey Contract to Title Company
  • Notate dates on calendar
  • Send date sheet to Buyer
  • Do necessary paperwork for unusual conditions
  • If Seller and Buyer both our clients, do Change of Status Notice
  • Copies of leases and damage deposit receipts, if applicable
  • Track Seller's Property Disclosure Deadline
  • Inspection Objection Deadline
  • Resolution Deadline
  • Property Insurance Objection Deadline
  • Review all paperwork for signatures
  • Get all necessary signatures
  • If mail-out, get instructions and addresses
  • Notify Title Company of Mail out
  • If POA needed, get original from Title Company
  • Get POA signed and notarized
  • Remind Buyer to notify Utility Company to start service and do a "final read"
  • Discuss what happens if other offers come in between Contract and Closing
  • Is Buyer's current house on the market - resolve timing issues
  • Resolve any Title Disputes
  • Resolve any Off Record Matters
  • Deliver unrecorded property information to Buyer
  • Mail "The Moving Guide" with Change-of-address forms to Buyer
  • Set up closing time
  • Call Seller's Agent and coordinate closing time
  • Verify closing date and time and make all parties aware
  • Mail time-verification of closing and directions to Buyer
  • Assist in solving any Title problems (boundary disputes, easements, etc.)
  • Assist in obtaining Death Certificates, if applicable
  • Cleaning needs (e.g. carpet, kitchen, etc.) upon move-out
  • Discuss mover and time-frame for move-in with Buyer
  • Receive list of completed repairs and maintenance items Seller has done
  • Verify with Regional Building that appropriate permits were pulled
  • Verify HOA fees and disclosures, if applicable
  • Mail copy of Contract to Buyer - include MLS printout and projected Buyer Cost Sheet
  • Call in HOW, if applicable
  • Calculate average utility usage for last twelve months
  • Return all phone calls - weekdays and weekends
  • Add daily activities to Contact Management Software

HOME INSPECTION: At this point we will set and coordinate times with all parties to do your home inspections, meet with Inspector, review their report, search for repair estimates, and negotiate with Seller on any inspection objections. Prior to closing, verify that all items have been completed.

  • Set up Inspection
  • Coordinate time with Seller, Agents, Buyer, Inspector
  • Review Notice of Unsatisfactory Conditions with Buyer
  • Help Buyer negotiate Inspection Objections
  • Help Buyer with repair estimates or a credit at closing
  • Copy of Inspection Notice to file
  • Verify prior to closing that all repairs have been made
  • Get copies of repair receipts

THE APPRAISAL: The bank will assign an independent appraiser to appraise the property. We will coordinate time with all parties, I will do a market analysis and prep for value. Verify appraisal has been completed and note any conditions. Discuss options with you if appraisal is low, and schedule final inspection if there were any conditions.

  • Set up appraisal
  • Coordinate time with Seller, Agents, Buyer, Appraiser
  • Do current CMA for appraiser
  • Meet appraiser with CMA
  • If VA, make sure CRV ordered and completed
  • Track Appraisal Deadline
  • Verify appraisal completed and satisfactory
  • If appraisal low, discuss options with Buyer
  • Discuss any conditions on appraisal with Buyer
  • Schedule final inspection on appraisal conditions, if applicable
  • Verify all conditions met prior to closing

TRACKING THE LOAN PROCESS: I will verify all of your information with your Lender. I will also verify that the processing of the loan is moving forward according to schedule, that the Lender has all of the information needed, and continue to keep track of loan and credit deadlines.

  • All paperwork to Lender
  • Make contact with Lender and verify Buyer information
  • Loan Application Deadline
  • Buyer's Credit Information Deadline
  • Disapproval of Buyer's Credit Information Deadline
  • Existing Loan Documents Deadline
  • Existing Loan Documents Objection Deadline
  • Loan Transfer Approval Deadline
  • Contact Lender often to ensure processing of loan approval is on track
  • Notify Buyer of loan approval
  • Confirm that we are not liable for lender non-performance

IF CONTRACT FALLS: We will be upset for just a little while, and then we will begin the process again. We will need to fill out all of the paperwork necessary to get earnest money released. Then we return to After Buyer Agency Signed.

  • Fill out all necessary paperwork
  • Get Release of Earnest Money forms signed
  • Get earnest money back for Buyer

CLOSING PREPARATIONS AND DUTIES: You and I will do a walk thru of the property, figure out the approximate amount you will need to bring to closing, confirm dates, mail outs, and POAs with our Closer. Verify property insurance, possession, financing details, and make sure Closer has all paperwork. I will verify closing figures. You will bring a Cashier's Check. We will have a good time.

  • Schedule walk through with Buyer, Buyer's Agent, Seller
  • Verify with Buyer approximate monetary amount needed
  • If mail-out, verify correct mailing address
  • Confirm mail-out with Closer
  • Title Deadline
  • Title Objection Deadline
  • Survey Deadline
  • Survey Objection Deadline
  • Document Request Deadline
  • CIC Documents Objection Deadline
  • Off-Record Matters Deadline
  • Off-Record Matters Objection Deadline
  • Right of First Refusal Deadline
  • Property Insurance Objection Deadline
  • Coordinate Possession Date and Possession Time
  • Prepare disbursement authorizations
  • Notify Title Company of any Amend/Extends or date/money changes
  • Last minute bills and receipts faxed to Closer including HOW, if applicable
  • Make sure Closer has all addenda, correct price, rents, or applicable credits
  • Discuss closing figures with Closer
  • Check final figures for accuracy
  • Call Buyer and discuss final figures
  • Remind Buyer to bring picture ID
  • Discuss Buyer's need for Cashier's Check
  • Deal with all last-minute crises
  • Check file for any unsigned documents
  • Coordinate this closing with Buyer's sale and resolve timing issues
  • Request HUD from Lender/Title Company at least 24 hours prior to closing
  • Contact Buyer and review HUD
  • Have a "no surprise" closing so that Buyer can obtain possession after closing (yeah, right :) )

POST SALE: Our office will scan and store your file, make sure that the real estate sign and lock box are removed, and make sure that you have a copy of the HUD-1 (closing document) for next year's tax return. You will now be faced with the daunting task of moving in. Congratulations! Wasn't that EASY?

  • Enter sales data for County Records
  • Scan entire file to disc
  • Store hard file at outside location
  • Copy HUD-1 and put in pre-addressed envelope
  • Mail out disc of all paperwork to Buyer
  • Mail out HUD-1 to Buyer the following year for taxes
  • Gift to client
  • Ask for referral

COVER LETTER:

Why Should A Buyer

Use A Realtor?

There is no out-of-pocket cost to the Buyer when using a Real Estate Agent

Too often, Buyers and Sellers are not aware of the services that a Realtor provides in the normal course of a transaction. Regrettably, Realtors generally assume that their professional expertise, knowledge and hard work are understood and appreciated by those with whom they work.

The most important services we offer our Clients are often performed behind the scenes. I can show you a hundred homes (I sincerely would rather not!), but the job for which we get paid does not really start until you have identified a property on which you would like to make an offer. Without a Realtor, too often the transaction is placed in jeopardy. Because people can go to the internet and look for houses, some believe that getting from the internet to the closing table will be a breeze. With professional help, it will be much more of a breeze than if you areunrepresented.

A typical transaction requires hundreds of details to be met. The level of skill, knowledge, and attention to detail that your Realtor will provide will be a very important part of the process that you are getting ready to embark on. It is estimated that on any given deal, the Realtor must placate, on average, 71 people from the first encounter to the closing table - experience counts.

Following are scores of typical actions that will happen on your deal. Some may take minutes, some hours, some may take days, and some may not even be needed. Each transaction is unique and varied, and you need someone who knows how to navigate the waters of today's complicated real estate process. The Buyer receives the services of the Agent for free (generally), so why would you not want to be professionally represented in this very intense process?

If you enjoyed this post, be sure to SUBSCRIBE to my blog by clicking on the green Victorian below. What Realtors Do for Buyers was written by Mimi Foster

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If you would like to search for Homes for Sale in Colorado Springs,

please contact your Colorado Springs Realtor

 Colorado Springs Realtor Mimi Foster 

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Selling homes throughout Colorado Springs, Old Colorado City,
Manitou Springs, and surrounding areas
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Rainer
88,890
Mega Team Real Estate
Realty ONE Group Alliance - San Mateo, CA
San Francisco and Peninsula Real Estate Concierge

Great Article! Thanks for reblogging :D

Feb 17, 2017 07:18 AM #1
Rainmaker
109,362
Julie Larson Realtor® Sarasota FL 941-882-0322
PalmerHouse Properties Florida - 941-882-0322 | Serving Sarasota, Manatee & Charlotte Counties - Sarasota, FL
When you're thinking of moving...ThinkSuncoast.com

I got tired just looking at that list of Mimi Foster's!!! Good thing we just jump in and do what needs to be done instead of thinking about all of it!!!  

Feb 17, 2017 08:26 AM #2
Rainmaker
3,136,479
William Feela
WHISPERING PINES REALTY - North Branch, MN
Realtor, Whispering Pines Realty 651-674-5999 No.

Realtors do more for our clients than they will ever know.  WE don't just collect a check and many times we don't get paid what we are worth

Feb 17, 2017 11:21 AM #3
Rainmaker
1,240,387
Grant Schneider
Performance Development Strategies - Armonk, NY
Your Coach Helping You Create Successful Outcomes

Hi Thomas - Mimi has really laid this out.  It is a great info piece for buyers to see the value of a real estate agent 

Feb 17, 2017 11:25 AM #4
Rainmaker
530,466
Kasey & John Boles
Jon Gosche Real Estate, LLC - BoiseMeridianRealEstate.com - Boise, ID
Boise & Meridian, ID Ada/Canyon/Gem/Boise Counties

Mimi is one of my favorite bloggers on AR.  Her blog is always worth a read and a reblog for sure. -Kasey

Feb 17, 2017 03:31 PM #5
Ambassador
680,910
Mimi Foster
FALCON PROPERTY SOLUTIONS - Colorado Springs, CO
Voted Colorado Springs Best Realtor

Thank you, Kasey & John Boles and the team at Jon Gosche Real Estate, LLC ! I very much appreciate your kind words.

Feb 17, 2017 07:15 PM #6
Ambassador
680,910
Mimi Foster
FALCON PROPERTY SOLUTIONS - Colorado Springs, CO
Voted Colorado Springs Best Realtor

Thanks for the reblog, Thomas! It really is exhausting just reading this list, isn't it? I keep these handy on my computer and have no problem sending this list out when I take on a Buyer or a Seller. 

Feb 17, 2017 07:16 PM #7
Rainmaker
128,890
Diana White-Pettis
Exit Bennett Realty - Upper Marlboro, MD
GRI, CDPE, CNE, WHC Upper Marlboro Homes for Sale

Thanks for reblogging this fantastic article!

Feb 17, 2017 07:51 PM #8
Ambassador
1,986,433
Debe Maxwell, CRS
www.AtHomesCharlotte.com | The Maxwell House Group | RE/MAX Executive | (704) 491-3310 - Charlotte, NC
Charlotte Homes for Sale - Charlotte Neighborhoods

LOVE Mimi AND her lists!  Okay, I love everything she writes!  Great one to re-blog, Thomas J. Nelson, Realtor, CRS!

Feb 17, 2017 09:53 PM #9
Rainmaker
1,802,414
Sharon Tara
Sharon Tara Transformations - Portsmouth, NH
New Hampshire Home Stager

Talk about detail! OMG!  Great reblog!

Now how anyone could buy without an agent, especially after reading this, I have no idea!

Feb 18, 2017 12:45 PM #10
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Rainmaker
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Thomas J. Nelson, Realtor,CRS,e-Pro

Co-Host of Mail-Right's: Real Estate Agent Podcast
Referrals & Sales-free Help / Info Here.
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