Representation
When
you're ready to think about buying or selling your property, you
need to ask yourself the following questions: Do you have the
time, energy, sources of information, and contacts to do the job
yourself? If you were one of the 'do-it-yourself' people, would
the results be as good or better than they would be if you had
professional assistance? Would it have gone smoother? Would it
have given you more personal time? Would you have purchased for
less, or sold for more, if a real estate agent was involved? Read
the following information and learn how a real estate agent can
help you understand everything you need to know about a real estate
transaction.
The
Buying Process
The
process of buying a home or investment generally starts with determining
your buying power; that is, your financial reserves plus your
borrowing capacity. If you give us some basic information about
your available savings, income and current debt, we can refer
you to lenders best qualified to help you. Most lenders-banks
and mortgage companies-offer limited choices.
Finding
your next home
Once
you know how much you can and want to invest, the next step is
to find the properties that most nearly fit your needs. This is
the time to choose professional real estate licensee. Sometimes
the property you are seeking is available but not actively advertised
in the market, and it will take some investigation by your agent
to find all available properties.
Due
Diligence
With
a negotiated agreement in hand, it is time to complete the evaluation
of the property. Depending on the area and property, this could
include inspections for termites, dry rot, asbestos, faulty structure,
roof condition, septic tank and well tests, just to name a few.
As your agent, we can assist you in finding qualified responsible
professionals to do most of these investigations and provide you
with written reports. You will also want to see a preliminary
report on the title of the property. Title indicates ownership
of property and can be mired in confusing status of past owners
or rights of access. The title to most properties will have some
limitations; for example, easements (access rights) for utilities.
Your agent, title company or attorney can help you resolve issues
that might cause problems at a later date.
Closing
or Settlement
Finally,
there is the closing, or settlement, as it is known in different
parts of the country. Every area has its own unique customs. In
some areas, the title or escrow company will handle this process.
In other parts of the country, an attorney does it all. Again,
your real estate agent can guide you through this process and
make sure everything flows together smoothly.
How
Do Real Estate Agents Get Paid?
Real
estate agents or brokers are generally paid through the sales
commission paid by the seller when a transaction closes. Agents
have expenses and financial obligations just like you, so it will
be to your mutual benefit if you choose a real estate agent and
stick with that person. The agent will respect your loyalty and
respond with a sincere commitment to you.
You
Be the Judge!
Real
Estate transactions involve one of the biggest financial investments
most people experience in their lifetime. Transactions today usually
exceed $100,000. If you had a $100,000 income tax problem, would
you attempt to deal with it without the help of a CPA? If you
had a $100,000 legal question, would you deal with it without
the help of an attorney? Considering the small upside cost and
the large downside risk, it would be foolish to consider a deal
in real estate without professional representation.