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The Value Of Working With An Experienced Buyer's Agent
Dated: July 21 2021
Are You Working With An Experienced Buyer's Agent?
You Might Be Interested In the Information In This Video!
Today we will be talking about how using an Experienced Buyer’s Agent can actually save you hundreds of dollars during your purchase process and possibly save you tens of thousands of dollars during your ownership of the property that you purchase.
In addition, a savvy real estate agent can often point out problems with a property during the “looking” stage and help avoid properties with potentially serious problems thereby avoiding wasting time and inspection money on properties that might not meet the property condition standards for the property you are looking for and may not even meet the property guidelines for the home loan program you are using. Or, in the alternative, reviewing these repair problems before making an offer might be of considerable value when negotiating your purchase contract.
Hi, I’m Kyle Noe and I am with The First United Team with eXp Realty. Over the last 34 years I have found that an experienced agent can add tremendous value to the purchase process for the Buyer both during the buying process and also during the ownership phase for the Buyer. Many real estate agents who basically work as a “showing agent” may not have the experience to locate and evaluate potential problems with properties that they are showing, nor the confidence to point out the problems and discuss the details with the Buyer they are showing properties to. Of course, not all problems can be observed and pointed out during “casual” or “first time” showings, but many can be. However, if you have an experienced inspection team they should identify and point out the problems that exist. But, if the problems are identified before making an offer and completing inspections, that can save the Buyer hundreds of dollars in unnecessary inspection fees.
And, once again, an experienced Buyer’s agent can prove invaluable when evaluating problems with properties and negotiating repairs to be completed by the Seller. Depending on the Buyer’s own experience, recommendations from the experienced Buyer’s Agent can help the Buyer evaluate the potential risk with the repairs when making a decision on whether to proceed with the purchase or cancel a contract because of the repairs that are needed.
When preparing a contract and making an offer, an experienced Buyer’s Agents will evaluate the value of a property much like an appraiser would. It is important that you have a pretty good understanding of the potential value when structuring your offer. Many inexperienced Buyer Agents act more like an “order taker” and don’t offer much advice during the offer process. An experienced Agent will look for ways to strengthen a Buyer’s offer without any real costs. Sometimes there are “intangibles” that are important to the Seller and can make your offer the offer the Seller accepts, it happens!
Another thing that you may find is that some agents are more accessible and willing to help in a more timely manner than others. I find that it can be important during the offer process that the Buyer’s agent be accommodating, if at all possible. Sometimes an observant Buyer’s Agent will notice that the listing agent is looking for speed, or a quick response or turn-around. This could mean that the Seller has made a contingency offer and it is important to the Seller to get their home under contract quickly in order to keep their offer “safe” and not a casualty of a “kick-out” clause.
One of the most important things a Buyer’s Agent can do is to advise the Buyer regarding different financing options that the Buyer might be eligible for. Of course it is not reasonable to expect a Realtor to know about all of the different financing options that are available in their area, but the more a Buyer’s Agent knows about financing the more valuable that agent will be to the Buyer they are working with. A Buyer’s Agent that simply gives the Buyer the name of a few local Lenders or Loan Officers may very well find out later that the Buyer is in a loan with high Lender fees and higher than “normal” interest rates. The best way for a Buyer’s Agent to add real meaningful value to the Buyer’s home-buying process and outcome is to do their best to help the Buyer get the best financing plan available for their situation, including a review of the Special Financing options that the Buyer may be eligible for. Not all Lenders offer all of the different home loans that are available, and it’s important that an experienced Buyer’s Agent stay up with new home loan programs when they are announced.
Once the Buyer selects the home loan option that they feel comfortable with, they will be busy selecting home inspection companies, termite inspection companies, homeowner insurance companies, title companies, etc. It is always good when a Buyer’s Agent can recommend a good company that offers a thorough inspection at a reasonable price. And, with some of the differences that we see in homeowner insurance quotes, that is usually one area that an experienced Buyer’s Agent can make a significant difference in because the cost of the homeowners insurance affects both the total monthly mortgage payment as well as the closing costs. And you need to have a good, Independent insurance agent that has access to several good, competitive companies as well as other good companies that are out there.
Last, but not least, the best, most experienced Buyer’s Agent will continue to maintain a relationship with the Buyers long after the Buyer moves into their home. Buyers will have questions in the future, they might look for referrals to repair people, i.e. plumbers, heat and air technicians, etc. and make sure that their homeowner insurance agent still delivers a great policy at a competitive rate.
And, the Buyers will more than likely be selling their home and buying again in the next 5 to 10 years.
Once again, this is Kyle Noe with the First United Team with eXp Realty, and I work right here in the OKC Metro Area. If there’s ever anything I can do to be of service to you, or anyone you may know, please feel free to call on me at any time, you can reach me at 405-210-5319. I am here to help you with all of your real estate needs! I hope to hear from you soon.
- Kyle Noe with the First United Team with eXp Realty
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