I have represented many buyers in my real estate career. Some have been really easy and joyous occasions and others have been downright frustrating. I am currently working with a buyer that is experiencing the downright frustrating part. I'm going to tell you some of the problems we are having so that you can know what you possibly could experience when looking for a house.
This client is a great client. They came to me on referral and they were already pre-approved for a VA loan. That is awesome. I love when a buyer comes to me already pre-approved. They also actively search my website for homes they want to see. Sounds like the perfect scenario right? Sounds like this should be a quick find and close? Think again. This has been anything but easy.
Here are some of the problems that they have dealt with so far.
- They want to have their closing costs paid, which means seller contributes up to 4% of purchase price. This isn't a problem usually, but for some reason, the houses they are putting offers on, the sellers don't want to contribute anything.
- They want a house that is fully furnished. This usually isn't a problem either. The area they are looking in is a vacation rental area. So, most houses come furnished. However, the VA Loan doesn't want you to mention furniture on the contract at all. After all, they are giving you a loan based on the value of the home, not the personal property. Most sellers are increasing their price to make up for the furniture that comes with it.
-My clients are willing to offer full asking price on some of these houses just so they can get their closing costs covered. However, I have to be the bearer of bad news and let them know that I don't think the house will appraise for the full price and I don't want them to waste their money on an appraisal and inspection.
-After 267 days on the market and no price reductions, I submit their offer only to hear back a day later that the seller accepted another offer. Really? After almost a year on the market, all of the sudden there is another offer?
-After finding a house that is priced low, they go over the asking price so that they can get their closing costs covered. We have a deal right? Wrong. Lower cash offer comes in but they can close faster than the 45-60 days that the VA is taking.
-Then you have the people who want cash and cash only.
-Then you have the people who want a minimum of a $5,000 escrow only.
With all of these problems, I AM STILL VERY CONFIDENT that I will find the right house for them. I think I'm pretty good. I don't know the exact numbers, but I would say that at least 90% of the buyers I work with, we find a house and close on it. If you stay with me, I WILL STAY WITH YOU.
Don't worry about how much time you are taking of mine or how much gas I am using up. This is my job. This is my business. As long as you are being a serious buyer, we will continue to push forward...no matter how long it takes.
So, for those of you looking to buy. It may be easy, it may be frustrating. No matter what. I'm here.
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