I Want to Buy a Home. Where Do I Go From Here? - Part 3

From the Desk of Don Draughn, Mortgage Professional

Website: http://ahfmortgage.elliemae.net/ddraughn

In Part One of this series, we looked at how important it is to Find Out What is on Your Credit Report. Once you know what is there, you can either move to the next step - obtaining mortgage pre-approval or working on any credit issues that may keep you from obtaining pre-approval. This is very important to your success in purchasing your new home in today's "credit crunch" climate.

In Part Two, we discussed the importance of Obtaining Mortgage Pre-Approval before you start looking at homes you might want to purchase. Without a Pre-Approval, you don't know how much home you can afford so you might wind up falling in love with a home that is out of your price range and wasting your time in your search not to mention sellers and real estate agents may not take you seriously.

Today, we are going to look at why you should:

Select A Buyer's Agent

The Buyer's Representative, also known as the Buyer's Agent, works for and owes a fiduciary responsibility to the real estate buyer and has the buyer's best interests in mind throughout the entire real estate process. Follow is a list of things that a Buyer's Agent will do for you.

• Evaluate the specific needs and wants of the buyer and locate properties that fit those specifications
• Assist the buyer in determining the amount that they can afford (pre-qualify), suggest and encourage the buyer to obtain pre-approval and show properties in the price range for which the buyer is pre-approved and in the locale desired by the buyer.
• Assist in viewing properties - accompany the buyer on the showings or preview the properties on behalf of the buyer to insure that the identified specifications are met.
• Research the selected properties to identify any problems or issues to help the buyer make an informed decision prior to making an offer to purchase the property.
• Advise the buyer on structuring an appropriate offer to purchase the selected property.
• Present the offer to the seller's agent and the seller on the buyer's behalf.
• Negotiate on behalf of the buyer to help obtain the identified property - keeping the buyer's best interests in mind.
• Assist in securing appropriate financing for the selected property.
• Provide a list of potential vendors (e.g. movers, attorneys, carpenters, etc.) if these services are needed.
• Most importantly, fully represent the buyer throughout the real estate transaction.

As you can see, a good Buyer's Agent can and will do many things for you that you will probably not be able to do for yourself. It puts you on an even platform with the seller because the seller has an agent already in most cases. The fact is the seller's agent works for the seller. An agent that I have worked with wrote an article addressing this very fact.

Her name is Amy Testa of Auburn Sherlock Homes Real Estate, Inc.. In this article she says, "When you buy from the agent who has the property listed you are their customer not their client and they are acting as the Seller's Agent. This means that they are working in the best interest of their client, the home seller, not you the buyer. What this means is for the buyer is less chance of successful negotiating. Since the Seller pays the Real Estate commissions every home buyer should have their own Real Estate Agent who would act in their best interest. This agent would be considered the Buyer's Agent and they work in the best interest of the buyer. It's basically free representation so you should take advantage of it." Her article is entitled "Don't Buy From the Sign" and you can read it for yourself by clicking HERE.

Another good reason I think you should "hire" a Buyer's Agent is because that agent can give you personal service. Another agent that I have a very high regard for is Amy Petrone of Re/Max Realty Group in Pittsford, NY. She has this to say about how she does business, "Some agents have a "team" in place. I choose not to work using the "team" approach because I feel that no one can offer personal service like I can. Therefore, I only take on as much business as I can handle effectively. You always get what you signed on for: Me!! One of my specialties is working with the first-time home buyer. I know how stressful buying a home can be. That's why I work with these buyers from start to finish. I'm there for them every step of the way. And, I can offer recommendations for mortgages, attorneys, home inspectors, you name it! A good referral is worth its weight in gold!"

If you would like more information regarding Choosing the Right Realtor, check out my article by the same title by clicking HERE. It has some great information in it that is sure to help you in your search.

The next segment in this series will be entitled "View Homes the Fit Your Pre-Approval". Be sure to look for it soon.

I hope you have found this series helpful so far. Let me know what you think. I would be happy to hear from you. You can email me at ddraughn@ahfmortgage.net or you can call me (585) 425-5811. Happy House Hunting!!!

Don Draughn is a Professional Mortgage Consultant and a Sale Manager at Affordable Home Funding, Inc. located at 900 Perinton Hills Office Park, Suite 970, Fairport, NY, 14450. His phone number is (585) 425-5811 or Toll Free (877) 223-0480 ext. 111.

REGISTERED MORTGAGE BROKER - N.Y.S. BANKING DEPARTMENT

Loans arranged with 3rd party providers. Borrowers must qualify.