Realtors are engaged in a "helping" profession, and as such, are eager and ready to serve potential clients wishing to purchase a home. But there are some guidelines which should help these potential clients through the process (and there is a process) without going into time wasting "rabbit holes."
1. If you are intending to get a mortgage to purchase a property, ask your Realtor® to recommend a lender.
2. Use a recommended lender who is local and understands your local and state real estate taxes, withholding and escrows.
3. Ask a Realtor® who is familiar with the geographical area (community, county) for advice on community amenities that may not be evident online.
4. Check to see if your Realtor ® regularly blogs about the area or type of home in which you are interested i.e. condo, farmland, suburban houses, estate houses, foreclosures, short sales, Historic Homes!
5. Be completely honest with your Realtor®. The truth will come out in the end anyway, so might as well not waste anyone's time.
1. Decide to hunt online for a lender. Why? I had an out of state buyer contact an out of state lender who used their local tax structure to estimate money needed for closing and got it totally wrong because they did not understand Delaware collects property taxes yearly, not semi-annually, coming up with only half the amount of money needed to pay escrows at closing. Result:train wreck!
2. Ask your local Realtor® friend to show you houses in another part of the state 2 hours away unless they regularly service that area.
3. Decide your Realtor® does not need to know your financial situation, whether or not you first need to sell another property in order to buy, your employment situation, whether you are relying on a friend or relative's money for part or all the purchase price, or if there will be a "silent" co-owner of the property. All of these situations may disqualify you for certain types of mortgages.
4. Tell your Realtor® the house is "for a friend." If it is, that person needs to be the one who is pre-qualified for a mortgage and comes to all appointments.
5. Neglect to tell your Realtor® you have had a foreclosure in the last few years or have a warrant out for a PFA or they are looking for YOU! We do not want to be in the middle of a criminal situation!