Buyers Checklist: Getting Yourself Ready to Get in The Game

Buyers Checklist: Getting Yourself Ready to Get in The Game

It always starts very innocently, you drive around on a Sunday, then you go from neighbourhood to neighbourhood saying, “hey this would be great to live here, how much do you think we could get for our house?”  After you hear about what the last comparable sold for, you are apparently looking at buying another house. It’s a great start, but times have changed, like going into battle, you must be prepared, its not like it used to be, its very stressful to find a house in this market. This is not your grandmothers buyers market.

Getting Ahead of yourself, and not preparing is setting yourself up for disaster, failure and disappointment. Even some agents I have come across do not know how to properly prepare their clients and get them ready to buy a house, the reason being is that they have not adjusted their mentality to this type of scarce market. If I had to describe this market I would say you must be a bully to win, and most sales people are sheep. Agent do not know how to turn on the aggressive switch and bring that mentality to their clients. Its not for everyone.
Here is a checklist of things you MUST do before even thinking about buying a house nowadays.

1. Interview an Real Estate agent, that is available at nights, and ask them how many properties they have purchased for their clients in a bidding war in the last year. Ask how many they lost.

2. Go to a mortgage broker and get a pre-approval, make sure you are approved without a mortgage condition. Have your mortgage broker do a closing cost sheet.

3. If you are selling your house, get an appraisal, get a home inspection on your house, and get an idea how much your house is worth so you can purchase a new property.

4. Put your deposit for the new house in an account that you can access right away, so when you are presenting an offer, you can make a draft and include it with your offer.

5. Decide on an area to purchase and have your agent put you on a mailer daily.

6. Go see houses as soon as they come out.

7. Make quick decisions. Houses are selling quickly, unfortunately, you don’t have too much time to make a decision. You either like it or you don’t, if you like it, put an offer, if you don’t, move on.

8. Bully Offer: A successful bully offer, is an offer that you submit before the offer date, and it is supposed to entice the sellers enough that they will relinquish all offers. Make it worth their time, and make it Great!

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Looking for A House is Not #1 Priority When hiring a Buyer Agent

Looking for A House is Not #1 Priority When hiring a Buyer Agent

The Real Estate industry has changed dramatically in the past decade. Not only has it changed, but the scope of it has expanded.

The one thing that was the Real Estate agents primary focus was to look for a house for buyer or investors. While this task is still there, it is different now.

Buyers have access, and do it your selfers are quick to know exactly what’s going on in the market around them.

The main thing is the sophistication of the market online. There are thousands of websites that crunch data and new listings at a moments notice. The information that was once only available to agents is available to everybody.

Yes, the sold statistics are not available online, and the boards are fighting the release of those stats, but I believe it will be available.

So then if all this information will be available, what do you need a Real Estate agent for? Nothing right!

Well there will always be some people that do not need a Real Estate agent. That’s fine, I always tell them to do it yourself, If I could change my own oil I would, or build my own house, but I can’t.

Here is the main few things to consider when thinking about hiring an agent or not.

Negotiations: A good Real Estate Agent is like a trained shark, to go in for the kill when its available. Knowing how to build a bridge between the seller, the seller agent and you. Buyers kill deals all the time when negotiating or are involved because they are very emotionally involved with their purchase and money.

Law: They know the laws that govern the sale of a property. They can find out if you can build that addition, or if there is a property near by, or if the seller agent is lying about something related to the house.

Infrastructure: A good agent will have lawyers, home inspectors, and other people that will help with your transaction getting done.

Paperwork: There is so much paperwork to fill out these days, they will do all of the paperwork, and make appointments etc.

Representative: The key here is above and beyond all of the others and is worth it alone to get an agent is that you have somebody representing you. Someone who is on your side, someone who is looking out for your best interest. You have someone to go for with professional advice. This alone is worth the agents weight in gold.

Experience: Agents are experienced in buying a property. You are hiring an agent who has bought a property numerous times a year. Most people only buy a property a few times in their lifetime, and while some people also buy a lot of properties, it probably doesn’t add up to the number an experienced agent has. Also agents also review other cases and speak to other agents, who might encounter a property like the one you are buying. This further adds to that experience, even if second hand.

Final Offer? Maybe Not!

Final Offer? Maybe Not!

Negotiating is a delicate process. There are always emotions that get into the equation. Of course there are emotions, its a big ticket item and a house usually has a lot of memories either good or bad in it.

A Real Estate agent is really a mediator between a seller-buyer and two agents. Sometimes that mediation cannot go anywhere because somebody comes in and says this is our first and final offer. While this maybe true in some hard headed people, it is usually not a final offer but more of a knock at the door.

Once a deal gets passed around a few times, one party comes and says this is their final offer, and it does have to end at some point, or else you’ll be negotiating dimes and nickels. The key to a good negotiator is to read when you can go back with a counter offer without getting the other party so upset that they actually walk away. If it comes to that, then forget it and you failed.

The best negotiation practice is to go lower on the price, but not too low that they don’t even look at your deal. You want to call this first offer a knock at the door. (Now my disclaimer is, this scenario is if there are no other offers) The next step would be to go closer to the counter you receive and then after that meet somewhere in the middle, and bang you have a deal.

Its a dance that your agent must know how to play and reading all the players cards like in poker is key to getting the upper hand. The question is, are you at the table with a good hand or just checking your way through.

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