It's a BUYERS Game! Are You IN or OUT? (Part 1)

Yes, we've got some economic challenges in front of us. And they are changing everything, or so it seems. From the way we live, drive and even, the way be buy real estate. The rules of the game called, "Let's Buy A Home" have changed. The bigger question is, "Are You IN or OUT?"

I read somewhere in as little as 5 years from now, we will look back to this time and say "Wow, that was the best time for the first-time buyer (or in my opinion, ANY Buyer) to have bought a home." The housing market is not going to put up a big flashy neon sign, or have a newspaper headline!

Economics and statistics will tell us months after we've hit this "bottom" we are all looking for, and it will be well behind us. Take note, did the news, government, whomever just tell us we've been in a recession since LAST December, yet many are just now feeling the pain?

So, as in any game, do you know the rules? In the next few posts, let's talk about some of the "rules" of "Let's Buy a Home" so you, the buyer can be IN!

Let's break this into a few parts:

 

Part One:  How to Choose Your Real Estate Agent

Part Two: Buyer's Brokerage (Agency) or "Who's Working for Who?"

Part Three: Buyer's Check List

Part Four: What to Ask When Buying a Home, and finally

Part Five: The Purchase and Sale Agreement (We'll just touch on parts of this lengthy agreement, but give you a better understanding of what it is.)

So....Let's Jump Right In........

How To Choose Your Real Estate Agent

Do you need a real estate agent? Well, you're asking the wrong person since I'm a Broker, of course I'll say YES! But a better example would be a phone conversation with your auto mechanic as he says "Ok, now remove the top left bolt from the exhaust manifold using a ratchet wrench #9c." Ahhh, would you not feel more comfortable about the safety and reliability of your car with him/her doing that instead of you?

The first key to selecting your agent is, do they know the area where you want to live? Or better yet, do they know an area you DON'T know about and never would have without their help? If you are looking for a high-rise condominium for example, and the agent is not familiar with the area, or even the building, you might miss out on features important to you, or buy a unit, not knowing what future construction may happen around you. An agent that knows the market (inventory) and is involved in the community will best help you make an informed decision. All agents are NOT created equal!

In our next post, we'll talk about the brokerage agreement and agency.

 

Next, spend some time with the agent. AND NO, I don't mean riding around in their car or walking the street to look at homes. Sit down in their office (it may or may not be of concern to you where their office is...) or maybe at a local coffee shop or restaurant in the area where you want to look. (2 Goals here....1) Get to know your agent and they you, and 2) you get to see the neighborhood "in action!"

This time should be spent learning more info about the agent. (NOTE: If the agent you have selected is on top of their game, you should already know MORE about them through their website, blog and other social media sites like Facebook, LinkedIN, Twitter, Delicious and others. If you're not familiar with these sites, be sure to check them out!) But more importantly, the agent should be getting to know.....YOU!! Learning more about what you want in your home and neighborhood, your lifestyle, family, job and more. While you might be hesitant to "open up" to this person, remember, the more they know about you, the better job they can do for you to win "Let's Buy A Home!"

But just in case you haven't learned everything about your agent from the sites above, here are a few other important questions to keep in mind:

• How long have you been licensed? (Are they new to the game as well?)
• What percentage of your business is working with buyers? (Many agents work with BOTH buyers and sellers...nothing wrong with that but you don't want a listing agent if you are buying)
• How familiar are you with the area where I want to purchase (mentioned above)
• Do you have references of other buyers you've worked with? (You may have found this info on their website, blog or other social media site)
• Should I consider foreclosures or bank owned properties? What about a For Sale By Owner?
• How will you communicate with me during the "game?"
• Do you have other service providers (inspectors, mortgage, moving, etc) to help me?
• How do you get paid? (Another point will cover later)

In my next post, we'll talk about Agency, what it means, and the Buyer's Brokerage Agreement (as used in Georiga). Important information for you to know how you can, or will be represented in your home purchase!