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Tag: Real Estate Agent

Why Do Real Estate Agents Ask If You’re Pre-approved?

Posted on by Carsonland

Have you ever walked into an open house, or called a real estate agent about a listing, and within minutes, they’re asking you if you are “pre-approved” for a mortgage?

If you haven’t, then you have never walked into an open house or called an agent. Or at least enough of them…

Just wait. It’ll happen.

And you’re going to feel like it’s pretty pushy for them to ask that.

It’s like a joke.

It makes you feel like telling real estate agents this knock-knock joke…

You: Knock-knock.

Real estate agent: Who’s there?

You: Nunya.

Real Estate Agent: Nunya who!?

You: Nunya business if I’m pre-approved or not! Just show me the house, and I’ll get pre-approved if I even like the house. I can definitely get approved for a mortgage. Probably way more than this stupid house anyway. So, stop asking if I’m pre-approved.

Try it…maybe the agent will laugh! Or, maybe not. Depends…

But it’s no joking matter.

It depends on the agent. Agents have different personalities. They all come across different ways. They all handle how they meet, greet, and chat with consumers in different ways. There’s no one way to “be”, as a real estate agent.

But every single real estate agent should be asking you if you’re pre-approved. But many do not. Because they feel like it is a bit pushy and forward. Because he or she worries about offending you. But they shouldask…

…because it’s entirely relevant for them to know.

…because it’s entirely important for you to be pre-approved.

It might come across as a pushy, or invasive question. Maybe that is because of how an agent asks the question. Or when the agent asks the question. Or, simply because you don’t know that it’s a question that should be asked.

But it is not a joking matter.

And you should expect the question, be prepared to say that you are pre-approved, and…you should actually want the agent to ask you that question.

It’s not like a first date.

If you were going on a first date with someone, and one of the first things the person asked about was how much money you make, and can you afford the date, you’d feel like that was pushy and weird.

Rightfully so. You don’t go in for a kiss the minute you meet each other, let alone ask for a hand in marriage. There’s some build-up.

Beyond that, there’s some time that needs to be spent together before probing questions about finances are asked. That kind of stuff comes way after even the first kiss, because finances are a pretty private, intimate subject. Even more intimate than a kiss…

Which is why it seems so invasive when an agent you’ve just met asks you if you’re pre-approved. It feels like they’re asking you some pretty private, intimate stuff that’s none of their business.

But asking for a pre-approval isn’t like going in for a kiss. It isn’t a marriage proposal. And it isn’t probing on the part of the agent.

It is a necessary question, and an important piece of information for the agent to know. And for you!

Why does an agent ask you if you’re pre-approved?

Agents aren’t asking you if you’re pre-approved because they’re looking to size up how much you can spend. (At least not most agents…)

They want and need to know that you are serious, and qualified to buy a house.

And they certainly have their reasons for wanting to know…

  • Real estate agents need to make sure they’re working with someone who can actually buy a house. They don’t get paid until and unless the person they’re working with buys a house. So, this is a matter of being careful about who they spend their time with. It might sound selfish…but you can’t fault them for that. They’re in business. Nobody cuts them a paycheck. And showing people houses is not a public service or charity work. Even working with someone who is pre-approved doesn’t guarantee them that they’re going to make any money. But at least it’s an indication that the person they are working with can do something.
  • Agents also need to know how much you’re pre-approved for in order to advise you as well as possible. Picture an agent showing you houses for weeks, and months. You finally find “the one”! You get all excited about the house, and you want to make an offer, only to find out then that there’s no way you could afford the house. This leads to heartbreak and aggravation…for both of you. It doesn’t do either of you any good to go through all of that only to find out you can’t afford the houses you were looking at…or even buy one at all.
  • And, to a degree, this is a safety precaution. You might not believe this, but agents are in a pretty risky position. If they just say OK to every person who calls and asks to go see a house, with absolutely no proof or verification of who the person is, that puts them at risk. Sure, a pre-approval won’t necessarily stop an evil person from doing something, but this is a pretty basic precautionary request.

Why you should want an agent to ask if you are pre-approved.

Even if you have just started browsing for a home just a little bit, and haven’t gotten pre-approved (yet)…at least expect the question. Don’t be offended when you’re asked if you are.

In fact, pay closer attention to the agents who do ask if you’re pre-approved! The ones who ask make it easy for you to find a great agent to work with.

Because if they’re asking that question, it’s a good sign that they are thorough and thoughtful about how they do their business. That’s the type of agent you want to have on your side when you’re buying a house — one who’s careful from the get-go. One who pays attention to the details. One who isn’t going to waste your time any more than their own. Or allow your heart to be broken when you fall in love with a house you can’t do anything about.

And if you want to get some really good attention and service from the best agents you come across, don’t even let them have to ask if you are pre-approved…

Get pre-approved before you even start looking. And let the agent know you’re pre-approved before they even ask. You’ll set yourself apart from almost every buyer the agent has ever met.

 

* Article Provided by the Lighterside of Real Estate

4 Mistakes To Avoid When Selling Your Home

Posted on by Carsonland

Selling your home is, in a nutshell, a complicated process. There are a million factors to consider: when to sell, how to sell, and how much to sell for, to start. In order to successfully sell your home, it’s important to avoid the many potential pitfalls along the way that can threaten to bring the selling process crashing down and cost you immeasurable time, money, and hassle.

Here are 4 mistakes you’ll definitely want to avoid when selling your home:

Over or Underpricing

When selling your home, it’s imperative you price it in a way that’s in line with your current market. If you mis-price your home, no matter what way you look at it, you’re leaving money on the table: if you underprice, you’ll sell your home for less than it’s worth. If you overprice, you won’t be able to compete with other homes and your house will sit on the market, costing you time and money.

Before you list your home, do your research to understand what’s going on in your local market. Get to know the average listing price of comparable homes in your neighborhood and look at the price where most homes seem to be closing. You’ll want to price your home in the same range to both stay competitive and ensure that you’re getting the best price for your home.

Not Investing In Repairs

Many homeowners neglect to invest in minor repairs on their home, presumably since they’re selling the house and figure the new homeowners can take care of it. But listing your home as a “fixer upper” and not investing in the necessary repairs can drive down the value of your home and end up costing you a significantly higher amount of money than just handling the repairs yourself.

Prior to listing your home, evaluate any areas that might need repair. Does the exterior need a fresh coat of paint? Does your plumbing need to be replaced? Is there landscaping work that needs to be done? Getting these repairs out of the way before you start showing your property will end up getting you higher offers and will save you money in the long run.

Not Staging Your Home

Staging is an essential part of the selling process. By staging your home properly, you’re showcasing your property in the best light and maximizing its appeal to potential buyers.

But many sellers (particularly first time sellers) decide to skip the staging process. They either show their home as is or, if they’ve already purchased another property, move all of their things out and show the home empty.

Both of these scenarios can have a negative effect on potential buyers.

If you show your house as is, with all of your furniture, decor, and personal belongings, your house will look lived in – by you. It’s going to be hard for potential buyers to picture themselves in your home when pictures of your family are staring back at them from every wall surface.

On the other hand, if you showcase your home empty, it can be challenging for potential buyers to picture the home as a liveable space. It will seem cold and impersonal, which can hurt your chance at selling.

If you want to sell your home, invest in proper staging that highlights the best parts of your property and makes your home feel attractive and appealing to potential buyers.

Trying To Sell On Your Own

With so many potential mistakes that could prevent you from selling your home at the highest possible price, the biggest mistake you could make is trying to navigate the process on your own.

Working with an experienced real estate agent who understands your market and the selling process is invaluable. Agents handle the entire process from beginning to end and can help you avoid major mistakes on the way. They know how to price your house to sell and how to get your home from listed to sold in as little time as possible.

Do yourself a favor – if you’re considering selling your home, don’t try to do it on your own. Get the right support by partnering with a qualified real estate agent.

There are a lot of mistakes that can be made on the road to selling your home. But if you know what to look out for, you can avoid those mistakes and get your home sold quickly, easily, and profitably.

 

*Article provided by the Lighterside of Real Estate

4 Behind-The-Scenes Ways Your Real Estate Agent Supports Your Home Sale

Posted on by Carsonland

When you hire a real estate agent to sell your home, there are obvious things you notice them doing to help your house sell. Things like: hosting open houses, bringing potential buyers on home tours, and marketing your property in multiple ways to make sure it gets enough exposure.

But when it comes to adding value to your home sale, that’s just the tip of the iceberg. A huge percentage of your agent’s job takes place behind-the-scenes, and they’re working around the clock to get your house sold — even when you’re not looking.

Here are 4 behind-the-scenes way your real estate agent is working to get your house sold:

1. Performing market research

When it comes to pricing your home, your agent doesn’t just pull a random number out of a hat. Your agent’s recommendation is a result of extensive market research to ensure your home is priced in a way that’s attractive to both buyers and you, the seller.

Agents pull data on comparable properties in your area (from both the MLS and any public databases) for the past 12 to 18 months. They research how each home was priced and how the price correlated to the average time the property sat on the market before coming up with a CMA (comparable market analysis) to determine the market value of your property and suggest a listing price.

All the insights gathered from your agent’s behind-the-scenes research are crucial to pricing your property correctly — and wouldn’t be possible without your agent’s hard work.

2. Gathering relevant information for buyers

A critical part of the home selling process is providing accurate and complete information to potential buyers. But most of the information buyers want isn’t something you, as a seller, will have ready and available.

Your agent gathers all the information a potential buyer might want to know so that if and when they request it, it’s ready to go. Agents research things like the average utility usage of your property for the past 12 months, a breakdown of the home’s floor plan, and a list of all available electricity and gas vendors in the area to make it available to buyers, which saves you a ton of time and hassle.

3. Phone calls and scheduling

As part of their marketing efforts, your agent likely has your property listed on both the MLS and multiple public forums in order to get your home in front of as many potential buyers as possible. And while the increased exposure is great for driving interest in your home, someone needs to manage all the inquiries, follow up with interested buyers, and schedule viewings.

And that person is your real estate agent.

When your agent calls you to schedule a tour, that’s just a small part of the process. Before they called you, they’ve already answered email inquiries, fielded multiple phone calls, talked to buyer’s agents, and weeded out people who aren’t serious about viewing — and potentially buying — your home.

The call you get to schedule the tour is the last step in a lengthy scheduling process — most of which your agent manages behind-the-scenes.

4. Managing the close (and all the logistics that go with it)

Now, once a qualified buyer makes an offer on your home — and you decide to accept it — your agent’s job goes into high gear. Now, that’s not to say that managing the close happens entirely behind-the-scenes; obviously, your agent is going to work with you to get the job done. There’s plenty of the closing process (from negotiating with the buyers to reviewing contracts) that you’ll get to witness up close and personal.

But there’s a lot more that goes into managing the close of your home then what you actually see from your agent.

They have to make sure the signed contracts are sent to everyone who needs a copy, including the lender, the buyer’s agent, the title company, and any involved attorneys. They have to file a status change with the MLS from “For Sale” to “Pending” and, finally, to “Sold.” They need to schedule the final walkthrough with the buyers and their agent.

Closing on your home? It’s kind of a logistical nightmare.

But luckily for you, when you work with a real estate agent, they take care of all the (many) details and logistics that need to be managed throughout the closing process, saving you immeasurable time, money, and frustration.

When you work with a real estate agent, it’s easy to see the value that they bring to the table during the process of selling your home. But what you see is just the beginning. The hours you see your agent putting in — the home tours, the open houses, the phone calls — are just a tiny fraction of the work they’re actually doing. Your agent is working around the clock to get your home sold… and the majority of that work takes place behind-the-scenes.

*Article provided by The Lighter Side of Real Estate

There is more to an OFFER TO PURCHASE than the Price!

Posted on by Carsonland

 

– Confirm proper municipal address, postal code & LEGAL DESCRIPTION for correct registration at land titles.

– Review POSSESSION DAY. Avoid weekends if possible as mortgage lenders & lawyers are often not available.

– Review all CONDITIONS. Buyer’s conditions are for the benefit of the buyer, & Seller’s conditions are for the benefit of the seller. Common conditions may be financing, inspection, review of condo documents, review of mortgage verification, review of title and restrictive covenants, lawyer review & sale of a buyer’s home.  A rural purchase would have a many additional conditions such as water, sewer & subdivision concerns. Rule of thumb is that for either a buyer or seller, any concerns can be dealt with by adding a condition to satisfy.

– Discuss TERMS of an Offer.  Examples:  having the water cistern filled, the septic tank emptied or having the carpets, furnace & ducts professionally cleaned prior to possession.

– Review the amount of the DEPOSIT and when it needs to be received & the rules around the return or keeping of it.

– Review the CHATTELS (objects that are in the house and on the property), included or excluded.

– Review security alarm contracts & if you can/must assume the contract & any additional lease agreements that may be in force for appliances, furnaces.

– Review the REAL PROPERTY REPORT section & discuss the option of TITLE INSURANCE if needed.

– Lastly. If an Offer is written subject to selling the buyers home or if you are the buyer who needs to sell their home, review the time agreed upon to allow this to happen & any potential benefits and drawbacks of this type of sale.

 

Best practice it to get an experienced real estate agent to help you draft & negotiate an effective Offer to ensure a smooth closing!

How to Ensure a Smooth Real Estate Purchase

Posted on by Carsonland

Take the time at the beginning of the process to sit down with a trusted real estate agent to share your wish list. This is a great question and answer period and an essential first step!

Share your expectations with your real estate agent and sign a commitment agreement that you will be working together as teammates to find your new home.

Obtain written confirmation from your lender of the amount you qualify for.  Having it in writing prior to writing an offer can put you at an advantage in a multiple offer situation.

Listen to your real estate agent’s counsel & recommendations. Be coachable!

Ensure you have insurance in place on your new purchase as your lender & lawyer will require.

Use a lawyer that specializes in real estate law to finalize your transaction.