The last article I wrote was for sellers so this one is for buyers. As we all know, there are two sides to all transactions, two groups of emotions, two realtors; today we will cover the buyers' side. I have seen hundreds of different situations, greed and mistakes, including my own.
It's my hope this will save all some money, time and frustration as buying and selling real estate can be very easy and a great transaction for all involved if everyone allows it to be.
Buyer's Agent: Use a buyer's agent only. The seller has his own so and so should you. Make sure your agent listens to what your wants and needs are and be specific. Make sure before you make an offer, he tells you how many price reductions have been made and how long this home has been on the market. That information will tell you a lot about the seller's motivation, if any.
Make a Reasonable Offer: Stupid offers will get rejections or stupid counter offers, which are well deserved. Being reasonable at all times will save you money in the long run.
Financing or Cash: Have your financing preapproved before you make an offer. After the offer is accepted, show proof of funds for the closing. If you have a good realtor, he will not show you property if you don't have the necessary preapproval papers.
Do a Home Inspection: Neither you nor your realtor have the ability to do this, so use an extra set of eyes from an expert home inspector. Again, use a seasoned inspector rather than one with less experience.
Be Flexible on Closing Dates: Many times flexibility will save a buyer thousands of dollars. If possible, and if needed, consider short rent backs after closing or even longer ones if it will benefit both parties.
Be Considerate In Your Demands: Don't be stupid, stubborn, or overly picky on your demands.
Don't Worry About Pennies: Trying to save pennies may lose you dollars.
Try Off-Season Purchase: If possible, buy in the off season. There is no need to put yourself in competition with other buyers. Buy when there are the most listings. Your realtor should check your local MLS for the amount of qualified inventory available or lack of it.
Interest Rates And/Or Closing Costs: They may be more negotiable in off peak seasons. Unless you have a good reason to use an out of town lender, it's always much better to use local lenders. You and I do not have enough time to read the fine print on TV, so why send the money out of town for less service? Also, when possible use local appraisers.
Buyer Notes: Make a nice friendly, honest note telling the seller what you like about their home and neighborhood. It should be in writing as it's more personal. Your realtor will give it to the sellers when they present your offer.
Realtors: Hire one that will service your needs in a friendly and fruitful way. There are good realtors, bad realtors, stubborn realtors, realtors with egos, non-friendly and friendly realtors. If your realtor is not respected by other realtors, I would fire them. Always make sure you have an option to fire your realtors if you are not happy with them. Who likes arguing?
Conclusion: These are a few nuggets above (and there are many more) which can save you thousands of dollars for each transaction of real estate you make in your lifetime. For many, this could be a great addition to a retirement. Why not you? It's easy!
Thanks again for reading. If you have further questions or articles you would like to read about in the future, please call me! The call is free and so are my ideas!
If you have any real estate questions about buying and selling, feel free to call me. It may save you time and money! (928 533-4455)
Remember, my favorite sayings: "Experience Isn't Expensive, It's Priceless!" and, "Selling A Home Is Easy, Doing It Right Is The Key!"
Lee Amble, Realtor/Consultant
National Realty Of Prescott
Lee's Cell: 928 533-4455
Jan's Cell: 928 533-4488