Realtor Representation

Did you know it is FREE to have a Realtor represent you as the buyer in the purchase of a home? That's right, the commission that a Realtor makes comes from the SELLER of the home you buy, so it is to your greatest advantage to hire the right Real Estate Agent to help you buy a house. This is true whether you are purchasing a home in which people currently live in and are selling OR a brand new home that you get to design and build in a new community. It is imperative that you are represented by Real Estate Professional so that your best interest is taken into account.

What makes a Real Estate Agent the "right" Real Estate Agent? When looking for a professional in any field, you owe it to yourself to ask the right questions and learn about that professional's business prior to committing yourself to their services, right? When you were looking for a pediatrician for your child, did you just go with the first one you found, or did you look into a few of them to find out how they provide care and what their services included? When you were looking for a restaurant to take your visiting family to, did you look up the menu and service reviews of a few of them or just go to the first one you drove by? In this day and age, we as consumers demand top-level service, and don't you think you deserve that when you are investing into the purchase of the most expensive thing you will ever buy, AKA a house? I hope you agree that the obvious answer to that question is YES!

When interviewing a Buyer's Agent, someone who works with a buyer to find a home, there are some great questions you can ask to ensure that you are hiring the right professional. After all, buying real estate is investing in your retirement portfolio, right? You want to make sure that you are investing your hard-earned money into a property that will gain appreciation over the years so that you can have a return on that investment. A professional Real Estate Agent will understand the seriousness of what is being asked of them when they are hired and will protect your money by using their knowledge gained from running their Real Estate career like a business rather than something that is going to gain them a commission check. Here are some questions you will want to ask a Realtor prior to hiring them:

1. Is Real Estate your full-time or part-time job?
Many people start working in Real Estate when the market is great. It is easy to get into Real Estate considering you only have to take a course and pass the state licensing exam. This results in a lot of people doing Real Estate as a side career to gain some extra cash in addition to the salaries the earn from their full-time jobs. The problem with this is that they are not running a Real Estate business; rather, they are chasing a commission check. Who would you rather hire, someone who is fully invested in a Real Estate career and knows the market inside-and-out because of the sweat equity they have in the industry or someone who sells a couple houses each year so they can pay for their annual family vacation?

2. How many buyers did you help purchase a home last year?
This question gives you a frame of reference as to how successful they are. If they are able to sell multiple homes per month, that likely means they have business systems in place that allows them to efficiently assist their clients and get the job done. This will also give you an idea of how many hours a week they work and if you can be guaranteed that they are working hard for you behind the scenes.

3. Are you a single agent, or do you work as part of a team?
Working with a Realtor that is part of a team can provide great benefits. As a Buyer's Agent on a team, it is unlikely that they also list homes for sale; therefore, you can be assured that they are working very hard for you as a buyer without having distractions of needing to tend to listings and the sellers of those listings as someone else on the team would typically be responsible for that aspect of the business. In addition, if scheduling time to see homes is difficult for you due to work or your partner's schedule, being represented by a team can give you flexibility as someone will always be available to show you a home when your schedule can accommodate it. Some teams even have transaction coordinators who assist with buyers once they are under contract. This is where things get very detail oriented with specific dates and contingencies, so it is wonderful to know that someone's sole purpose in the team's business is to ensure that your legally binding contract is being tended to 100%.

4. Do you require a pre-qualification from a lender prior to looking at homes?
A Real Estate Professional who knows the market well understands that they are providing a huge disservice to their client if they show them homes before the buyer has spoken with a lender and gotten pre-approved for a loan. As a client, your time is precious, and your Realtor should value that and not want to show you homes without knowing what your budget clearly is. Also, almost all offers require a pre-approval letter prior to the listing agent even presenting the offer to the seller since the seller needs to be assured that the buyer will be financially capable of purchasing their home.

5. How do you find homes that will meet my needs and wants?
A good Realtor will want to have a Buyer's Consultation with you where they will get to know you and your family to truly discover your motivation for moving and understand exactly what you are looking for in a home. After a lot of questioning and listening, that Real Estate Professional will be able to put together a customized search of homes for you that best meets your needs and wants.

6. How many homes do you usually show your clients?
If the Real Estate Agent has done their job properly, the average buyer will look at between 8 and 10 homes in person prior to submitting an offer. Your Real Estate Professional should be able to narrow your house hunt down and only show you those homes that will satisfy your needs and wants. It will get very overwhelming if a buyer sees 20+ homes all with different qualities and in different areas of town. Hire someone who will be able to pinpoint what you are looking for and save you time and frustration of having to search and search and search for that perfect house.

7. Do you negotiate on behalf of your clients?
Educating buyers on the nature of the current market is essential. For example, in the Orlando, FL market right now, homes are selling on average for 96% of asking price when priced correctly. Your Realtor should know this so that you as a buyer can know that there may not be a lot of room for negotiating a deal. Risking playing the negotiating game in this type of market can result in you being outbid by another buyer. Of course, your Realtor should always act in favor of you as their client, but providing a clear understanding of what to expect when it comes time to put in an offer is very necessary for a Real Estate Agent to do to save you time, energy, and potential frustration.

Hopefully you know by now that hiring the RIGHT Real Estate Professional is something you owe yourself. The services provided to you should be top-notch so that the process is as seamless as possible and so you end up in the home that you and your family can create memories in for years to come.

"Where the Magic of Disney meets your Real Estate needs."

Are you ready to start looking for the perfect home? Contact Jackie at 941-356-3956 or jackievoigt@kw.com now!

Cash or Financing?

One of the first question that might come to mind when thinking of purchasing a home is, "How am I going to buy it?" Wouldn't it be nice if we all had a plethora of cash to be able to spend on buying a house? Since a good majority of us do not, financing your home is the alternative. This tends to scare people because they assume that they need the coveted down-payment 20% of the purchase price before even exploring their options. Well, that couldn't be further from the truth!

Did you know that there are loans that might be catered to your specific needs? These types of loans are great because they are built for people of like financial situations and home buying experiences. The market is set up for buyers of different shapes and sizes to be able to own a piece of the American dream. Below are three types of loans that are great for first-time-home-buyers or those with not a lot of cash on hand:

-United States Department of Agriculture Loan (USDA)
Certain areas are classified by the USDA as rural, and if a home you want to purchase is in an area labeled as such, you can finance the entire purchase price of the home. You read correctly, the loan requires a down-payment of 0%! "Rural" doesn't always mean that your neighbor will be a cow or pig (in the literal sense, of course); rather, it means the area is not developed to the extent that would classify it another way. Click here to see the areas currently classified as rural. You may be surprised!

-5% Conventional Loan
This loan enjoys the same perks of the more well-known 20% Conventional Loan but only requires a down-payment of 5% of the purchase price of the home. The buyer is responsible for paying monthly private mortgage insurance (PMI) until they own 20% equity in the home, and then they are eligible to drop that payment. Although your monthly payments will be slightly more due to PMI, you can purchase a home without having a ton of cash on hand for a down-payment.

-Federal Housing Administration Loan (FHA)
This loan only requires a down-payment of 3.5% of the purchase price of the home. Talk about not needing much cash! The buyer is responsible for paying monthly PMI for the life of the loan. Although this may not seem ideal, it is a great alternative if you want to save your cash for closing costs, home repairs, furniture or other personal needs. If you can afford the monthly payments including PMI now, you can likely plan your budget accordingly for years to come.

There are plenty more types of loans out there that you might be eligible for that you haven't even heard of. For more information on obtaining a mortgage and starting the first step of the home buying experience, reach out to one of the hardest-working mortgage companies I know- Movement Mortgage, and tell them Jackie sent you! Their contact information can be found below:

Movement Mortgage
Paul Massey- 407-803-2748, paul.massey@movementmortgage.com
Jeff Donaldson- 407-421-0420, jeff.donaldson@movement.com

"Where the Magic of Disney meets your Real Estate needs."

Are you ready to start looking for the perfect home? Contact Jackie at 941-356-3956 or jackievoigt@kw.com now!