Why you NEED an Agent when Buying a Home
Buying a home is an exciting time and one that requires preparation if you would like for it to go well. If you do not take the necessary steps and do your homework, it may cost you financially later and result in future headaches. That is where a good real estate professional on your team is a great asset and will help you avoid costly mistakes.
Most homes that are being sold will have an agent representing the seller, which is frequently referred to as a listing agent. Their main responsibility is to make sure the seller’s best interest is being protected.
So how do home buyers make sure their best interests are being protected? Keep in mind – unlike in many other U.S. states, Alabama law employs a rule known as caveat emptor for the sale of used residential property. Caveat emptor is Latin for “let the buyer beware,” which means that the seller has no actual duty to advise the buyer of issues with the property’s physical condition during the sale. That is why it is extremely important to hire a buyer’s agent when purchasing a home.
Since a buyer’s agent is looking out for a buyer’s best interest, their job is to ensure the buyer gets the best possible deal and also to make sure that many important factors are checked out prior to making the final home purchase. Here are some of the top 10 reasons to hire a buyer’s agent when purchasing a home:
1. It’s free to hire a buyer’s agent
One of the best reasons to hire a buyer’s agent to represent you is that it is free! There are very few circumstances where it costs money to hire a buyer’s agent. Since 99.9% of the time it’s free to hire a buyer’s agent (the exception can sometimes be a For Sale By Owner), it’s an obvious reason why a buyer should have representation in such an important financial decision. The listing agent represents the seller’s best interest. You should have someone looking out for your best interest too. It’s important, however, that you don’t just hire any buyer’s agent. There are certain things you should expect from a real estate agent when buying a home.
2. They are trained to know what to look for when viewing homes
Whether this is your first home or tenth home, chances are that you don’t physically look at houses on a daily basis. Successful agents are physically looking at dozens of homes each and every week. They learn there are certain red flags to look for when buying a home. An experienced buyer’s agent who looks at houses day-in and day-out will be able to identify potential problems within a house relatively easily.
3. They understand and can explain the local real estate market
Every real estate market is different. Real estate markets can differ from town to town and even from neighborhood to neighborhood. It is extremely important when buying a home that you understand the local market. An experienced buyer’s agent will be familiar with the values of different areas and make sure that you understand timing and make sure you don’t overpay.
4. They can help you find good financing
There are many types of financing plans to choose from which can be very confusing. One thing a buyer’s agent can help with is helping you evaluate and secure the best financing for your circumstances. It is strongly recommended that a buyer use a local lender because they will also understand the market, be familiar with any local rules or regulations and utilize a local appraiser who would also be familiar with the local market.
5. They have access to new listings and can notify you as soon as they hit the market
Buyer agents have access to years of data in the Multiple Listing Service, including up-to-the-moment notifications of new listings that hit the market. This can be a very strong tool in the toolbelt of a home buyer in a low inventory market where homes are hard to find.
6. They know how to prepare a good real estate contract representing the buyer
Even if you are buying your tenth house, it’s unlikely buyers are familiar enough to navigate a real estate contract. A buyer’s agent knows the ins and outs of real estate contracts and can guide buyers through the vital information they should understand before signing.
7. They explain the process of a real estate transaction and make sure deadlines are met
In addition to the standard sales agreement, there are many different forms and agreements that are signed during a home purchase. A buyer’s agent can explain every form and make sure that all deadlines are met.
8. They have access to experienced professionals you may need during the transaction
During the course of a real estate transaction there are several professionals that are needed. A mortgage lender, home inspector, real estate attorney and a handful of other professionals will most likely be needed. A buyer’s agent will have a pocketbook full of recommended professionals that you can interview and give consideration.
9. A buyer’s agent will negotiate on your behalf
One of the most important benefits of hiring a buyer’s agent is that you will receive a negotiator on your behalf. Depending on the house and the current market, having a top notch real estate negotiator can be critical. Without an agent, a buyer will be required to negotiate on their own behalf.
10. A buyer’s agent will help you verify that all repairs have been completed as agreed.
An agent will help verify that requested repairs have been completed by licensed professionals and that you have receipts and any warranties that should be provided.
Final thoughts, there are many reasons to hire a buyers agent when purchasing a home. These are just a few. When you hire a buyers agent, your hiring a professional to look out for your best interests during one of the largest purchases you’ll ever make.
If you would like to know more about the benefits or steps for hiring a Capstone agent to help you make this important decision, contact us today!
