Buying A Home? Consider A Buyer's Agent!

Listen up potential home-buyers! 

Yes, take a break from all the gloom and doom on CNN.  Remember you had just made the decision to buy a new home, right!  Okay, now what?  Well shopping for a new home can be scary. The next question that come to mind is: Whom can you trust?  How do you pick an agent?  Will they stick it to me?  How will I know if I'm getting the biggest bang for my buck?  How much house can I really afford?

All these are great questions and exactly what you should be considering.  You know, I love this industry and I have had the opportunity to meet some really great agents who were very professional and serviced their clients needs.  But, I have also met some that left a lot to be desired.  As a result,  some folks are deciding to for go using a real estate agent to buy their next home.  Then there are some folks that it never even dawned on then to use or even look for an agent!   

Now that brings me to this point.  If you have made the decision to buy a home, it is a big deal.  In fact, purchasing a home is the single biggest expense for most folks.  It is a complicated process that requires financial and legal expertise.  So let me ask you this, "If you got into some legal trouble and had to go to court, what do you think your chances would be of getting through that ordeal without representation or basically going it on your own."  Exactly my point!  You need the experience of a professional that works with these transactions on a daily basis who can help you manage this process.  Not to mention the stress that is associated with home-buying. 

Does that describe your situation?  Then may I suggest using a buyer's agent.  This agent can give you some protection and fully represent your best interest in a traditional real estate transaction. 

Now first you should know that typically real estate agents traditionally represent the seller, not the buyer, and they get a percentage of the sale price. Therefore, it's in their best interest (and the seller's) to set as high a price as possible. The higher the sale price, the higher the agent's commission.  Now a buyer's agent represents the buyer interest and of course negotiates for the best price on the house.  Additionally, it should be noted that the buyer's agent gets paid by the seller at closing (a co-op fee) for bringing a buyer to the seller. 

Now the Seller's agent will do everything within the limits of the law to assist you and get you to buy a house. No problem!  In fact, that's their job as the seller's representative.  A buyer's agent will help you get a more realistic picture of the home, the neighborhood, and the offer price you should prepare for submission.

Sounds good so far, right? But hold on!  Before you put a buyer's agent in charge of your home-buying decisions, keep in mind what are the limits of this professional.

A buyer's agent can help you get a fair price, but he or she cannot promise you any bargain. Often, the buyer's agent has just as much a stake in the price of the home you buy.  As I mentioned, the buyer's agent gets paid a percentage of the sale proceeds, just as the seller's agent does. That doesn't automatically create a conflict of interest, but it does mean that your agent really would want you to buy a house.

Additionally, a buyer's agent cannot absolve you of the responsibility of understanding your mortgage and buying an affordable house. Agents will often defer to lenders' decisions about the amount of money you can borrow and the monthly payment you can afford. In the worst case, an agent will take advantage of that information to sell you a home at your maximum price, with monthly payments that you can afford now but not later, when the mortgage rate adjusts.

It's up to you to make sure you're comfortable with your mortgage's current and future monthly payments. Just because you can buy a big expensive home just because the bank will lend you the money, doesn't mean you have to buy it. You're the expert on your personal finances. After all, you pay the bills, not your agent.  A buyer's agent also cannot promise that if you take a less-than-optimal mortgage to get into a home, you'll be able to refinance later. That decision's up to the lenders.

Overall, having a buyer's agent can be very helpful. As long as you understand what a buyer's agent can and can't do for you, you'll feel more comfortable about the process and potentially get a better deal in the end.

So, if you are looking for a polished professional, please give me a call at 678-640-2275.  Oh, and don't be afraid to ask for references