Follow these Steps-Get prequalifiedYour lender will look at your income, credit scores, revolving debts, obligations such as child support as well as the type of loan you choose. Other factors that impact how much home you can buy is the down payment; smaller down payments mean higher monthly payments. Last, the interest rate and terms (30-year, fixed or adjustable rate) will determine what you can afford in monthly payments. Make your wish list - Decide where you want to live and how many bedrooms and baths you will need. Consider lifestyle - condominiums offer shared amenities, with little responsibility. Single-family homes offer more space and privacy, but much more exterior and yard maintenance. Hire a real estate professional - Your real estate professional should be expert in the area where you want to live and familiar with the type of home you want to buy. Your agent has house-by-house experience in your neighborhood and can offer the best advice on homes in your range. Select your home - No home is perfect, so do not let minor flaws influence you. Think long-term. Which home best suits the activities and needs of your household now and in the years ahead? Do not buy more than you need or can comfortably afford. Make an offer - Your offer depends on the current market. If a home has been on the market a long time, you can ask the seller for a price reduction, but if it is new on the market, the seller is unlikely to accept a low offer. Ask your real estate professional for advice. Get an inspection - A home inspection is a professional third-party opinion of the home’s condition. The inspector will point out the age of systems, and large and small repairs that are needed, so you will know what you are facing as the next owner. Get an appraisal - The bank appraisal determines market value. If the home does not appraise for the purchase price, the bank will refuse to make the loan unless you renegotiate with the seller. If it appraises, the lender will move toward closing. Go to closing - Once final negotiations are complete, the parties to the transaction meet at the escrow office. This could be a title company, real estate attorney, or whatever is customary in your area. All paperwork is signed by both parties. The lender pays the seller, minus any liens against the home such as the seller’s mortgage. Once all the disbursements have been made, you get the keys to your new home, according to your agreement. Congratulations! You are ready to move into your new home.
Have the Advantage - Get PreapprovedOne of the first things you should do when you decide to buy a home is get preapproved by a lender. Preapproval Letter A preapproval simply means that you are financially prepared. You have already shared your financial information with a lender by providing your work history, bank statements, and student loan and credit card statements. The lender has checked your credit scores, income-to-debt ratios, down payment source, work history, income streams, and has made a preliminary decision to loan you X amount at Y percentage rate. The lender will provide you with a letter of preapproval, so you will know exactly what your interest rate will be and how much you can spend. Advantages There are many advantages to getting preapproved by a lender. Interest rates cannot be secured without applying for a loan, so getting preapproved means that you have an advantage by getting your interest rate locked in. Now you can shop for a home with confidence, knowing you are buying within your affordability range. You will also find that being preapproval gets respect from sellers. They know you are serious and have begun the loan process. While you do not have to present your preapproval letter to the seller, you can allow your agent to share the name of your lender to confirm that you have been preapproved. Closing Keep in mind that a preapproval is not a guarantee that your loan will close. Before closing, your lender will check your credit a second time, to make sure you have not added more debt or allowed a current debt to go unpaid. If the lender finds a blemish, you must take immediate action to fix the problem. Once you write a purchase contract for a home and your offer is accepted, notify your lender immediately, so the approval process can continue.
What to Know About Your Credit Report?Credit Bureaus Consumer credit information is obtained and stored by three credit bureaus: • Experian • Equifax • Trans Union Corporation Each bureau produces a separate credit report, based on your acquisition and payment history with credit cards, student loans, home loans, car loans and any other credit. They also record bankruptcies, civil judgments against you, and liens against your property. FICO Score Each report produces a score, called a FICO score. This is a summary or snapshot of your credit that is used by lenders to quickly determine if you are a good candidate for a loan and what interest rate you will pay based on your creditworthiness. Unfortunately for consumers, credit reports are often full of errors. They may inadvertently post a negative mark by transposing your social security number, or they may fail to remove negative items that have been paid or resolved. All negative marks will lower your credit scores. It is your responsibility to look at your reports and make sure they are accurate. You can visit annualcreditreport.com once a year to get copies of all three credit reports. If you find an error that needs to be repaired, take action immediately. It can take weeks for an error to be removed from your report, so start immediately. If you show your lender proof that the negative mark is incorrect, they will likely proceed with the loan but insist that the credit bureau post the correction before closing. The best way to protect your credit is to use it and pay off your debts quickly. Keep accounts that you have had a long time open and use them occasionally. Again, quickly pay them off. Tips for Keeping Your Credit Scores Higher • Don't close credit card accounts. Keeping lines of credit open is beneficial to your income-to-debt ratio and will help you keep your FICO scores higher. • Don't max out or consolidate credit cards. Credit card companies like it if you only use about 30% of your available credit on your card. You are better off having small balances on multiple cards than a large balance on one card. • Don't apply for new revolving credit, consolidate or transfer balances. It is tempting to buy new furniture for your home, but do not open that account until after your loan closes. You do not want “inquiries” to be raised in the scoring algorithm. • Don't change jobs right before you apply for a home loan. If you must change jobs, changes within the same field.
Are considered more favorably in scoring. • Do pay all bills on time and with at least the minimum payment due. Lenders like on time payment histories. • Do pay down your debt. Lower income-to-debt ratios are attractive to lenders. Start by reducing credit card balances first, beginning with the balances with the highest interest rates. Revolving credit is considered riskier debt than installment loans such as student loans or car payments. • Do shop lenders simultaneously. Credit score software considers several inquiries from mortgage lenders as normal, but if you space rate-shopping out over weeks or months, it could impact your credit score. Remember, mortgage lenders are most interested in your ability to repay the loan. The most important factors are job and debt payment history. Job security (long-term employment in the same field) and on-time credit payments are the best ways to build and protect your credit. Buyer Tour Harjeet Sandhu DreamHouse Realty Ltd. Cell: 780-233-3100 firstname.lastname@example.org | www.harjeetsandhu.com 9Home Features That Matter Most When choosing to buy a home, you are buying more than just a house. You are buying: • Location - access to the neighborhood's amenities. • Condition - the building quality, style, repair of your home. • Affordability - owning a home that functions for the size and needs of your household more affordably than you can rent. A Back-to-Basics Economy In 2012, bigger was not better, and over-the-top home features were undervalued in the new back-to-basics economy. Today's homebuyer is "very focused on affordability", says John Burns Real Estate Consulting. Consumers prefer smaller homes and are less willing to pay for extravagant features such as outdoor kitchens and media rooms. High-end home sales over $500K have dropped by more than half since 2007, from 13% to 6% of all new home sales, while homes under $200K rose from 33% to 42% of all transactions. Homes under $300K account for 75% of all new homes built today. Homebuyer preferences are growing for single-story homes with greater accessibility for older people and flexible floor plans that allow aging parents or boomerang kids to have a second master suite. Most Wanted Features According to a recent study, nearly three quarters of home buyers look for homes that are energy efficient and use sustainable materials. The most desirable home features include: • Green/energy efficient • Building a custom home • Water views • Mountain views • Suburban home • Near the beach • Cottage in the woods How Important Is Square Footage? MLSs use it. Insurers use it. Appraisers use it. Tax Assessors use it. When it comes to real estate, there is no avoiding square footage as a measure of a home's value. But how much is square footage worth to you as a homebuyer? Knowing the square footage can be helpful, but it should not be the main tool to determine your offer price. Square footage measurements are not exact, nor are they taken the same way by every person. For example, your local tax assessor or appraiser may determine square footage by measuring the outside of the house. A real estate professional, on the other hand, typically counts only indoor living space to determine square footage. Real Buyer Tour Harjeet Sandhu DreamHouse Realty Ltd. Cell: 780-233-3100 email@example.com | www.harjeetsandhu.com 10estate listings for single-family homes do not include square footage for covered "outdoor" spaces, including porches, verandas, balconies and porte-cocheres. Yet, in high-rise buildings, square footage quotes often include balconies. Further, some elements such as stairways and closet spaces are also open to interpretation. If you are buying a home with a two-story foyer, is that foyer space also counted on the second floor? Another subjective measure is the price per square foot, this is determined by the number of square feet divided into the price of the home. High-end homes with expensive materials such as granite countertops and finishes such as hardwood floors tend to have a much higher price per square foot than more affordable homes. But what if those high-end features are 20 years old, and you are comparing them to other similar homes in the area that are brand new? Hallways, landings and stairs can add hundreds of square feet to any home, but is that space livable? An open floor plan may have smaller square footage but be much more pleasant to live than a larger home with too much space allocated to getting from one room to another. All this means that valuations based on square footage are and should be somewhat subjective. If you are confused about what you are paying per square foot for your next home, ask your real estate professional for interpretation. Buyer Tour Harjeet Sandhu DreamHouse Realty Ltd. Cell: 780-233-3100 firstname.lastname@example.org | www.harjeetsandhu.com 11Deciding Which Home to Buy Buying a home is a long-term commitment. The home you buy should fit your budget, yet offer the size, features and amenities you and your family want. Affordability Your monthly payments should be comfortable for you to handle, in relationship to your total obligations, about 28% of gross monthly income. A good guideline is for your mortgage payment and your debts to not exceed 36% of your income, including revolving credit, student loans, and child support. You should also be in the correct loan for your needs. A fixed rate is more expensive but offers more protection than an adjustable-rate mortgage that can reset to a higher amount, making your monthly payments higher. Do not forget to consider the monthly operating costs of the home as well, including utilities, HOA fees, landscaping, commuting, and other costs. Location is about convenience, and you will pay a premium to be closer to work centers, parks, shopping and transportation. You can buy a smaller home or a home in need of updates to be closer. To get a larger home or more yard, you may have to move further away from core city centers and compromise on commuting time. Features When considering potential homes, it's important to know the difference between what you need to have in your new home, and what you want to have. Use the needs list to begin narrowing your choices. While a front porch, a two-car garage, hardwood floors, and eat-in kitchen can add to the enjoyment of your home, they might be of lower importance to you than a fenced backyard or an unfinished basement area that you can grow into. If you frequently work at home, you will need a home office or at least a quiet designated workspace. Just make sure the home you choose allows room for your family to grow. Talk to your lender and see what you can qualify to buy, then talk with your real estate professional about the home you have in mind. With professional guidance, you should be able to find and buy the home of your dreams, where you will be happy for a long time to come. Buyer Tour Harjeet Sandhu DreamHouse Realty Ltd. Cell: 780-233-3100 email@example.com | www.harjeetsandhu.com 12How Much Home Should You Buy? Conventional wisdom says you should buy as much home as you can possibly afford and own it long enough to build equity over time. But that only works if you choose the right home. Choose Wisely To choose wisely, you must see as far into the future as possible. The trick with buying a home is getting as much as you can on your wish list without becoming house poor. House poor means you can afford your house payments, but you cannot afford to do much of anything else. Therefore, lenders have a conforming loan standard that they as benchmark for pre-qualifying you as a borrower. This is true whether you are a first-time home buyer or a millionaire move-up buyer. Typically, you want your house payment to be within 30 percent of your gross annual income. While you may be able to get a bigger loan with a smaller income, the 30 percent rule should keep your payments affordable enough that you can afford to buy furniture, pay off student loans, or whatever you may need extra money to do. Qualifying to buy a home is only the first step. You also want to be able to handle surprise expenses that come your way; this includes repairs, a spike in the cost of utilities, remodeling or ongoing maintenance costs. Talk to Your Lender The amount you qualify for directly effects the compromises you make in consideration for purchase of a home. If you factor in other considerations, you may find that living with a little less house is safer for you financially. You can always look for a smaller home in a better neighborhood, or if size is important, look for a larger home adjacent to your dream neighborhood. Can you possibly borrow more money and have it all with no compromises? Yes, it is possible, depending on your credit scores and your other debt obligations. You can always get an adjustable-rate loan, but in a low-interest environment like we have now, your annual adjustments will certainly be higher. Talk to your lender and see what you can qualify for before you go shopping for a home. Lock in your rate, so you can calculate your payments and obligations accurately. Be sure to add in what you will pay in property taxes by calculating the tax rate against your purchase price. Knowing what you have available to spend will help you determine how much house to buy. • How long will you likely live in the home and how large will your household be? • How many bedrooms and baths do you think you will need? • How much space do you require for hobbies or a home office? • Where do you want to live - near work, in a certain school district? • How important are amenities such as spa tubs and granite countertops?
The most exciting (and potentially stressful) time in the home buying process is when you have found the home that you want to buy, and you are putting together an offer that will both get you under contract and also ensure that you get a good deal. Your agent will be your guide and your resource as you craft the offer, wade through the negotiations, and then ultimately jump all the contractual hurdles to get to the closing table. Your real estate professional will help you draft the offer with a price, your intended financing information, estimated closing date and terms, including earnest money (a guarantee that you will perform as a buyer in good faith), and contingencies for financing, appraisal, and inspections. When deciding on an offer price, you should take into consideration the most recent market data for the surrounding neighborhood and comparable homes. Your agent can give you the information you need to answer questions like, what have other homes sold for, and how do they compare to the home you have chosen in terms of size, features, and amenities? Are there other offers on the table that you are competing against? Depending on how active the market is and whether there are competing buyers, you may structure your offer to entice the sellers to pick yours. If it is more of a buyer's market you may be able to include concessions (like a closing cost credit) that will benefit you. A pre-approval letter from your lender should accompany your offer, so that the sellers have confidence that your financing is in order and you can proceed to closing on the house. When you write the offer, you will also include an earnest money deposit, a percentage of the purchase price, as 'consideration'. After you initial, sign and date your offer, your agent will submit it to the sellers' agent, who will in turn present it to the sellers. The waiting is the hardest part. If you have not written in a deadline for response, the offer probably states that "time is of the essence". When you hear back from your agent, you may have more negotiations if the seller countered your offer. When both sides have agreed to and signed off on all terms and details, the offer is considered 'ratified', and you have a binding contract to purchase. Buyer Tour Harjeet Sandhu DreamHouse Realty Ltd. Cell: 780-233-3100 firstname.lastname@example.org | www.harjeetsandhu.com 74Making an Offer Today You're ready to write an offer on the home of your dreams. Your agent has gathered all the information that you need to write a reasonable offer. They have pulled up comparable and created a CMA for you that shows you side-by-side comparisons of similar homes currently for sale or recently closed. You will be able to accurately judge size, condition, updates, and other variables to arrive at an offer price that you can afford, and that the seller will accept. Your offer should be clear on the price, terms, dates, and contingencies that you want the seller to meet. Think Like the Seller Now it is time to think like the seller. Introduce yourself in a letter, so the seller knows who you are, what your goals are, and why you want this particular home. If your offer includes a contingency that may inconvenience the seller, be sure to mention why that is necessary for you. If you are relocating and need an early closing date, or have a home to sell, explain your position in the letter, but point out that you are prepared to compensate the seller with a high or full-price offer. The offer should be accompanied by a copy of the mortgage company's pre-approval letter, along with a cover letter summarizing your strengths as a buyer in terms of creditworthiness, ability to close, and the strength of your offer. If you're offering less to the seller than they're asking, you may need to explain your position by adding your agent's CMA to the offer, so they know how you arrived at what you feel is a fair offer price. If you are in a hot market, be prepared to compete with other buyers. You may even find yourself in a multiple offer situation. If so, craft your offer to be the most appealing to the seller. Your real estate professional will advise you to make your best offer first. Do not assume you will get a chance to rewrite your offer if it is rejected. The seller has the liberty of ignoring any offer and choosing only the best offer to negotiate. Keep Your Own Goals Firmly in Mind Believe it or not, the buyer offering the highest price does not always buy the home. Terms such as possession dates may be a determining factor. A seller who needs to sell but must wait until the end of the school year to move may be grateful for a lease-back clause that allows them to stay a longer while in the home after closing. The best way to position yourself as the buyer whose offer is accepted is to work closely with your agent. He or she can offer valuable input when it comes to making an offer and negotiating price and terms. Do not lose sight of your own goals. Buyer Tour Harjeet Sandhu DreamHouse Realty Ltd. Cell: 780-233-3100 email@example.com | www.harjeetsandhu.com 75Get a Home Inspection A home inspection is designed to give buyers a better understanding of the systems and overall condition of the home they are buying. Depending on the current market conditions, you may be able to include a home inspection contingency as part of your purchase contract, even if it is just for informational purposes. You may be able to negotiate some repairs to bring items up to code or to repair deficient problems. A few things to keep in mind No house is perfect. A home inspection should point out questionable conditions, code violations, and/or potential safety-related concerns in the home you want to buy. It should cover the exterior, porch, deck, foundation and walls, chimneys and roofs, windows and doors, attics, electrical components, plumbing, appliances, central heating and air conditioning, basement/ crawlspaces, and garage. You should attend the inspection. Walk through the home with the inspector so he or she can point out conditions to you that will go into the written report you will receive. Make your own notes so you can discuss the findings with your real estate agent. A structural home inspection may not be enough. Depending on what is covered in your home inspection, and what is customary in your area\ you may order several types of inspections - structural, termite, and environmental. Home inspectors may have differing qualifications. Make sure your home inspector is an expert, with a background in plumbing, HVAC, electrical work or general contracting, or is a member of a professional organization such as the National Association of Home Inspectors, Inc. (NAHI). Ask your inspector for credentials and certifications. Your inspector will give you a written report so that you can make informed decisions about what needs repair, and whether you or the seller will be responsible for handling them. Buyer Tour Harjeet Sandhu DreamHouse Realty Ltd. Cell: 780-233-3100 firstname.lastname@example.org | www.harjeetsandhu.com 76What to Know About Inspections One of the few expenses the buyer pays upfront when purchasing a home is the home inspection. This is an examination of the home's structure, systems, and built-in features. The home inspection provides the best opportunity for you to find out the true condition of the property. Don't Skimp on The Inspection Home inspection requirements are determined by state law. They can be extensive, and do not always cover the features you want investigated. For that reason, you may need to hire separate companies for a termite/pest inspection, a structural inspection, and a general inspection. A termite inspection typically covers only the main building on the property. If the home you buy has a detached garage, for example, the inspection might not cover it, unless you pay extra. This is important, because if the garage reveals termites down the line, you have no recourse with the seller or the inspection company. To examine the foundation, roof, and exterior condition of your next home, you need to hire a structural engineer to perform an inspection. The structural engineer will tell you if the foundation, roof, brick or siding need work or replacing. Oftentimes, a general inspection company can also provide a structural report for an additional fee. A general inspection covers the operating systems and fixtures inside and outside the home – plumbing, electrical, sprinklers, swimming pool filters, and so on. The inspector uses the latest state-mandated codes to look at the age and condition of these features for signs of leaks and inefficiencies. You can expect them to turn on every burner of your stove and every tap in the kitchen and baths. What to Expect Sometimes inspections can reveal expensive problems to fix. The inspector will tell you his or her opinion of the expected life of the roof or the air conditioning unit, which will help you plan your budget. You may require the seller to fix these items before you close, or you may ask for a reduction in the price of the home to allow you to fix the items yourself. While inspections are supposed to be detailed, they do not necessarily mean that the seller must fix everything, but you can require that they fix leaky faucets, broken handrails, and other items that may affect the terms of your loan. If you have an FHA or VA federally insured loan, your inspector will know those standards and point out any condition that does not meet them. This could delay your loan until the seller fixes those items and shows proof they have been completed. A home inspection can be several hundred dollars depending on how comprehensive it is, but do not let the cost deter you. Most lenders will not loan you the money to buy a home without an inspection. Take the time to make sure that the inspection meets your lender's requirements. Buyer Tour Harjeet Sandhu DreamHouse Realty Ltd. Cell: 780-233-3100 email@example.com | www.harjeetsandhu.com 77The Importance of Communication If the goal of communication is to understand and to be understood, then sharing information can only help your real estate professional do the best job possible for you. Your real estate professional should listen to your dreams, goals, and hurdles that must be overcome. By the same token, you should be ready to hear and act upon the expertise and information they bring to you. With this knowledge, your real estate professional has a better grasp of who you are and what you want to achieve. Without it, they may be working at cross purposes to your needs. The key word is sharing. Share information about yourself and ask your real estate agent to share information as well. Consider how they received their training, their specialties, and how knowledgeable they are about the marketplace where you are buying or selling your home. Goals: Consider your long-term goals. What is your objective in buying or selling your home, is it an investment or a longterm occupancy? Where are you planning to move? How soon? Interests: Consider personal interests and its locations. Do you want to be near work, near a specific school, or near certain amenities? What are the interests of the other members of your household? Which are the priorities when it comes time to select a home? Challenges: Given the current lending environment, even those with good credit face challenges when buying or selling a home. Do you have a home to sell before you purchase? Have you checked your credit scores? Do you have a down payment? Have you been prequalified by a lender? Lifestyle and Preferences: The type of home you purchase can make a difference to your personal comfort. Is there a type of architecture you prefer? How many bedrooms and baths do you think you will need? Do you prefer one- or two-story homes? Or three? Do you prefer a walkable community? There are pros and cons to every choice you make. Exploring both sides of any question or consideration can help you to utterly understand that you are buying more than a condo or a single-family home - you’re buying an environment for the next few years at least. Good communication can help you meet your goals and avoid disappointment. Your real estate professional wants you to be as happy and satisfied with your choices as possible. Ask your real estate professional as many questions as you want. Ample communication will increase your likelihood of making the best choice possible for your household. Buyer Tour Harjeet Sandhu DreamHouse Realty Ltd. Cell: 780-233-3100 firstname.lastname@example.org | www.harjeetsandhu.com 78Negotiating with Sellers How Do You Negotiate to Get What You Want? You have found the right home, but it's a little out of your price range, or you need to move in a little sooner than the seller wants. How do you negotiate to get what you want? Sellers and buyers should expect to negotiate some parts of the purchase offer. Your agent and the seller's agent are experienced negotiators who will keep requests reasonable, nonemotional and on track. To put yourself in the best position to negotiate, make your offer strong from the beginning. Provide Support for Your Offer If you offer below the seller's asking price, support it by showing how you arrived at the number. Your agent can provide you with a comparable market analysis, so you have a better idea of what homes like the one you are buying are selling for. Negotiations Based on Financing Strong offers come from preapproved buyers. Get preapproved by your lender, so the seller knows you have already begun the loan process and know how much you can afford. If you have a financing contingency and have not begun the approval process yet, your seller has no reason to take your offer or negotiations seriously. Find Out What the Seller Wants Ask your agent to contact the seller's agent to find out more what the seller wants as far as terms, as well as what the seller is willing or unwilling to do. The more your offer matches up with the seller's needs in terms of move-out dates, closing date, etc., the more likely your offer will be accepted, or at least countered. Find out when the house will be vacated, if it is not already, which may tell you if the seller is under pressure, perhaps making two house payments. Also, you will want to review a seller's disclosure of the condition and improvements to the house. Find out if any further repairs or improvements are intended by the seller. Beat the Competition Your agent must find out if other offers are on the table. The seller may be less likely to bend on price or repairs if there are other offers. Limit Contingencies Sellers want clean, uncomplicated transactions, with as few "ifs" as possible. If you have a contingency such as a home for sale, it puts you at a disadvantage, but sometimes they simply cannot be helped. You may have a house to sell, or you may be transferred by your company and your purchase date must coincide with your start date. Explain in a letter to the seller what your contingency is and how it can be resolved. If your closing is in a week, it is reasonable to ask the seller for an extended closing. But if you have not put your home on the market yet, there is no reason for the seller to negotiate on this point. Buyer Tour Harjeet Sandhu DreamHouse Realty Ltd. Cell: 780-233-3100 email@example.com | www.harjeetsandhu.com 79Negotiating After Inspections If your offer is accepted, negotiations may not be over quite yet. During the inspection process, your inspector may reveal something unexpected that needs to be fixed. Negotiate a repair or improvement is when the system is unsafe, or a major repair is needed to make the system operate effectively. If the repair is minor, you may want the seller to fix it, but that could also be a risk. What if the seller received a back-up contract at a higher price? He could use your request for repairs to get out of the contract. Keeping negotiations to a minimum is best. Every time you open negotiations, your purchase contract is no longer in play, so pick your battles carefully. Buyer Tour Harjeet Sandhu DreamHouse Realty Ltd. Cell: 780-233-3100 firstname.lastname@example.org | www.harjeetsandhu.com 80Don't Go House-hunting Without Me! When an agent contracts with a seller, they negotiate commission fees to cover the costs of paying the buyer's agent. Buyers often do not realize that most agents are paid at closing, and that they will not be out any upfront money to hire their own agent. As a Buyer, You Should Have Your Own Agent Today, more and more buyers are hiring their own agents to multiply their chances of finding the right home at the best price. Buyer's agents’ network with other agents to find the homes best fit for your needs and wants. They learn which homes are coming onto the market well before the general public. Many homes are bought and sold without a sign ever going into the yard. As a buyer, it is wise to hire your own agent to represent your interests. If you go house-hunting without your agent for any reason, you must make sure that the seller's agent understands that you have representation. If the seller's agent does not understand that you have representation, your agent's ability to represent you properly can be put in jeopardy. How It Works Here's how it works. All agents showing open houses or builder homes have a registration log. When you enter, you sign your name and the name of your agent. If your agent is with you, he or she will do the signing. This reinforces your agent's responsibilities in representing your interest in that home. What if you go to an open house or builder model home tour and never mention that you have an agent? If you decide to buy the home that you are looking at, the seller's agent has the right to refuse to pay your agent's commission. Without the seller's agent co-pay, your agent cannot represent you. You will be subject to the seller's terms, which are in the seller's interests, not yours. If you are shopping for homes without your agent, or using multiple agents to find a home, your agent will eventually hear about it because agents’ network to get more homes sold. Your lack of commitment to your agent could have consequences. If you choose to shop for homes without being represented, be aware that you are in competition with other buyers who are. The sellers that you will be negotiating with also have their own representation, so you could miss out on a jewel of a home by simply not having an agent looking out for you. A Highly Motivated Agent Good agents build their businesses through repeat clients and referrals. They are highly motivated to do the best job possible for homebuyers. They understand that buyers eventually become sellers and "move up" buyers. It is about building a relationship of trust. Take advantage of that. Do not go house-hunting without your agent. Let your agent do the best job possible for you. Buyer Tour Harjeet Sandhu DreamHouse Realty Ltd. Cell: 780-233-3100 email@example.com | www.harjeetsandhu.com 81Why Choose Me Now that we have been able to discuss what you are looking for in your new home, I would like to share a little bit more about myself and the services available to you when you choose me to represent you. I differentiate myself from other agents by making myself accessible and providing expert local guidance to make the home buying experience a memorable one. I have found that most agents do not have a plan for working with buyers, they just wing it. I like to be diligent, study the market, and understand your needs so that we do not waste each other's time looking at homes that are not a fit for you. As you very well know, buying a home can be stressful, so here is a list of the things that I am going to do to eliminate that stress and ensure that I am providing you the highest level of service:
Making an Offer
1. I only work with a small number of great clients at a time, to ensure a personal touch.
2. I preview daily and weekly previewing on your behalf.
3. I contact best agents for their "coming soon" listings getting you early notice.
4. I use the Yikes Marketing Letter to find off market homes.
5. I research bank owned and notice of defaults (if available).
6. I will door knock in the communities you like to find you a home.
7. I will only show you property that matches what you want.
8. I will negotiate aggressively on your behalf.
9. I will work with your lender and our affiliates to ensure a smooth transaction and close.