I recently completed and was awarded the designation Seniors Real Estate Specialist (SRES®) by the Seniors Real Estate Specialist Council of the NATIONAL ASSOCIATION OF REALTORS®(NAR). The SRES® designation became an official member of the NATIONAL ASSOCIATION OF REALTORS® family of designations in June 2007.

The designation was originally developed 10 years ago to focus on the needs of home buyers and sellers aged 50 and over. It has been reported that in five years 40% of the U.S. population will be age 55 or older. By earning my SRES® designation I have an understanding that seniors have very specialized needs when it comes to purchasing and selling property and have received extensive education on topics such as: tax laws, probate and estate planning. I can also offer you relevant information on current market trends as well as valuable resources regarding real estate transactions.

I am excited by be your Seniors Real Estate Specialist for the Venice Florida areas, providing you with a customized approach to your specific 50+ real estate needs.

Contact Kari A. Battaglia, PA GRI SRES® , licensed Realtor® in Venice Florida at 941-270-1851 to list your home, answer general questions or to help you search for homes for sale in Venice Florida. I currently serve customers in Venice Florida, Englewood Florida, Nokomis Florida, South Venice, Laurel, Osprey and Casey Key and Manasota Key communities. As a private landowner, I also have Tennessee properties available in the Chattanooga area. Call or email me to receive a list of Tennessee properties available for sale. Contact me by email at Kari@DiscoverVeniceRealEstate.com. Need information fast, call me direct at 941-270-1851. Copyright©2009. By Kari A. Battaglia PA. All Rights Reserved. DiscoverVeniceRealEstate.com – FREE MLS Search, Buyers guide, Sellers guide, Community Info/Links

We are finally ready to buy a home in the Auburn, Opelika, Al area and we want the best deal.

Some friends of ours just bought a home and they paid full price after the home was on the market for three months. We have waited a long time to buy a home and we want the best price. What should we do?

Answer:

Buying a home is a major event, both emotionally and financially.

It will usually affect your finances more likely than any other investment. On the emotional side, you are determining where you will live for the next several years, if not the rest of your life.

You and your REALTOR® have been house hunting for several weeks, looking at tons of homes for sale. This process helps you, the buyer, to understand what the real estate market has to offer in your approved price range. Then suddenly your dream home appears. This is very exciting. Next, the buyers frequently ask their Realtor what she or he thinks the initial offer price should be.

When you are preparing your offer, you already know the seller’s asking price. However, more research of the seller’s situation could prove to be helpful in determining the best offer price.

The seller’s motivations may be a key factor, such as job transfer, buying another home, divorce, seller retiring, etc. All this information can be useful.

For example, a seller just received a job transfer out of state and wants his family to join him immediately. If the buyer could be flexible with a quick close of escrow, then that seller may take a lesser price than they normally would have.

Please be aware if you offer too low, the seller may be insulted and respond with an impossible counter offer … or not respond at all. This is a thin line unless you are willing to walk away from the home completely and find another home.

The idea is to always keep the ball rolling, by having counter offers going back and forth with the seller and buyer no matter how small the changes may be.

Please know that there is a large possibility that the seller’s emotional attachment to the home may be a factor. These emotions may apply even if you are working with a track subdivision home rather than a custom home.

The key is to try and figure out the amount that is slightly less than what the seller was hoping to get, but close enough that he may get nervous about losing a possible strong offer.

Ask your Realtor to provide you with a current CMA (Comparable Market Analysis) on similar homes near the neighborhood, which have recently sold, and also the pending sales. A pending sale means that there is an accepted offer on a home but there may be contingencies not completed and the property has not passed title to the new owner. Therefore the agreed upon sale price will not be disclosed until the home closes escrow. This protects the seller in the event the pending sale is not completed and the home needs to go back on the market.

Your Realtor will locate this CMA information through the local MLS (Multiple Listing Service). The MLS service has most all the data of all the homes for sale, homes sold, pending sale homes, expired homes and off-the-market homes.

If for some reason a particular home was not found in the MLS, your Realtor can obtain the information through the county recorder’s office.

Once you and your Realtor have gathered all the information, she or he will help you make comparisons. A few comparisons may be price of other sold homes, condition of the home, age, square footage, location, views, size of yard, upgrades, improvements, location flaws, work needed, etc. You and your Realtor will need to also take into consideration the current market trends and competition of other homes for sale in the area.

Then the buyer must figure out the terms and what price you are willing to pay for the home. Your real estate agent’s job is to negotiate a lower than asking price and terms which would make you happy. Yet, if you are willing to pay market value or a few thousand dollars over market value or if you are only willing to pay a set amount and then walk away from the selected home, please tell your Realtor. This information will help with their negotiation tactic and strategies.

While your Realtor can advise you and provide you the necessary data, the ultimate decision on what you offer is yours.

Realtors spend a fair amount of time thinking about what you need, and even more time thinking about what you want. The two lists may not always match, but anyone in a service industry tries to line them up the best they can. My last column focused on many of the things that Realtors are doing to make the arduous selling process easier on the homeowners. Now, in a radical and bold step, I will share with you what you can give your Realtor for the holidays.

Sellers:

1. Know your home. Be specific about the maintenance and improvements you’ve made to the house. Don’t make us guess about septic pumping, painting, remodeling, plumbing and heating, maintenance or upgrades, roof replacements, insect treatments — keep records of everything and disclose whatever you are told will get you in trouble if you don’t.

2. Listen to the CMA. This is code for “Competitive Market Analysis,” and it’s the decoder ring for an appropriate listing price for your house. Lots of sellers whiz through the detail in this document like a novel they don’t want to read, they just want to know the ending. It should take about 30 minutes to go through the details, and it will help you understand the Realtor’s rationale for the price.

3. Do what he/she tells you. If your doctor prescribed a treatment for an illness, or a regimen for preventative care, would you ignore it? Never mind, let me provide another example. If your attorney advised you to do something would you say “no, my friend had the same situation and he did it this way?” You hire professionals to give you direction based on their experience and knowledge. Maybe you’ve pitched your tent in the Reagan camp of “trust, but verify” which is not a bad place to dwell, but don’t dismiss ideas you don’t like right off the bat just because it involves work or expense for you. Listen honestly, and then try to figure out a way that you can compromise, if necessary.

Buyers:

1. Make a list and check it twice. Know what you want and write it down. It helps to have a list that consists of : “must have,” “really want,” “would be nice” and “in your dreams, baby.” We know you may end up with a house that is completely different from what you’ve initially set out to look for, but that’s OK. The more specific you are in the beginning, the more you will learn what’s available at what price and how you need to adjust to find what you’re looking for.

2. Use your X-ray vision. While we will harp endlessly about the need for staging, neutralizing, de-cluttering blah, blah, blah…some people just won’t, or can’t, do it. So put on your blinders and seriously — visualize the home that has good bones, a great location, perfect size and the right flow, without the purple walls, 10,000 family pictures and life-sized stuffed grizzly bear. More people miss out on a good opportunity because they can’t overlook the décor of a house, even though they don’t realize that’s why they’re passing.

3. What goes around comes around. Like the kid who grew up to be big and strong and retaliated against his older brother’s earlier beatings by stealing his girlfriend in high school, buyers were beating up on sellers this year and occasionally “stealing” their houses. In truth (and you’ve heard me say this before) a house is only worth what someone is willing to pay for it. However, if you insist on throwing salt into the wound and picking the seller clean right down to the cutlery, said seller may just tell you to take your salt shaker and go homeless. I personally believe in fairness and have seen that it makes for more successful transactions than not.
www.ScottELangley.com
ScottELangley@remax.net

One of the most exciting aspects of buying a home is looking at different properties in your price range, and seeing houses in various sizes, conditions, and styles. It’s the best real estate education of all.

How many to see
How many homes should you plan to view before you make a decision? That’s up to you, and will depend on the neighborhood, the market, and your specific requirements. With all the homes on the market at any given time, the key is to focus your efforts on suitable properties. Your Realtor® will help by eliminating homes that don’t meet your criteria – and tracking down those that do.

Everyones tolerance levels are different. Some people like to view as many as possible. Those looking for a vacation home in Northwest Wisconsin may be traveling 2-3 hours or even more to get to the area of interest. If you are planning to tour properties in one day, then there may be only time to see 4-6 homes. If an overnight or weekend is planned, then many more homes and a broader area can be covered. Your Realtor will help you plan the most efficient tour to suit your needs and time constraints.

What to expect
Your Realtor® is happy to show you any house that’s on the market. Once you’re ready to view a property, here’s what you can expect:

Before:

• Schedule all visits in advance with your Realtor. The seller typically needs 24 hours notice, although many are flexible and willing to show with 2 hours notice.
• Plan to spend up to 30 minutes seeing each property. Allow for travel time, particularly when viewing properties in a few towns and even counties.
• Wear shoes that slip off easily.
• Try not to bring small children. They’ll become tired and bored, and without them, you’ll be better able to focus on the task at hand.

During:

• Pay attention to the home’s curb appeal, floor plan, and overall amentities.
• Take notes, ask questions, and make comments that will help your Realtor understand your needs and what you like and don’t like about the home.
• Be considerate of the owners, who may or may not be present during the tour.
• Relax and have fun!

Got an itch to buy, now that the holidays are almost over, and the $8000 tax credit extension expires in April?  Below are the lists of Middle Tennessee short sales and foreclosures:

Nashville, Brentwood, Franklin Foreclosure Homes

Nashville, Brentwood, Franklin Foreclosure Condos

The links above are for homes and condos starting at $100k, if you are interested in properties below $100k, please call (615) 509-7000 or email Josh@JoshAndersonRealEstate.com and I can email you the list, and answer any other questions that you may have about the short sale or foreclosure process.

“Insurance costs, tax bills and just plain, day-to-day living will dent a household budget differently depending on where that household is.  It can be a nerve-wracking fact for families moving across state borders.

As an aid for the budget-aware, Bankrate.com keeps a Cost of Living Comparison Calculator on its website.  The calculator asks 3 questions: (1) Where do you live now, (2) To where you are moving, and (3) What is your salary.  It then spits out a detailed, 58-item cost comparison list between the two cities.

Some of the key costs compared include:

• Everyday groceries
• Energy bills
• Routine healthcare
• Home ownership
• Clothes
• Sporting goods   “

So I went to the site and I entered data for the Oakland – Hayward area (I lived in San Leandro) and the Fresno area (since Merced doesn’t show up).   It was interesting.  I am well aware that  housing costs less, but why does lettuce, tuna, margarine, and milk cost more in Merced than in the San Francisco Bay area?

Why is the San Joaquin Valley so expensive?   Merced County is one of the poorest in the nation – so why are we paying more for basic expenses – or are we?

If you check out the prices before you move, you may be surprised at what you find.

You can contact Gary Eno at:

Gary M. Eno

Mason-McDuffie Mortgage Corporation

Senior Mortgage Consultant

209-658-2345 Direct

866-797-0770 Secure Fax

www.garyeno.com

As if the name “Music City” wasn’t enough, Nashville has officially been dubbed number 4 in the Top 10 Best North American Cities for live music by the Society of American Travel Writers, the world’s largest organization for travel journalists and photographers.

While Nashville has tons of live music venues, most are located in Downtown Nashville in an area called “Lower Broadway”.  This area has become a hot spot for new restaurants, bars, sporting and concert events, making the Downtown Nashville real estate market great for young professionals, or anyone else looking for a vibrant night life and walking-distance amenities.

A. Surprising as it may seem, the holidays may be one of the best times to buy or sell a house. Not only do houses look their best, but the people who look at them are real buyers.

The holidays separate the serious buyers from those who are just looking. With inventory usually low in the holiday season, there are fewer choices for motivated buyers, which can push up prices of houses on the market and sell places that might have languished for longer than a few weeks.

At year-end many people are motivated by low interest rates and fears that those rates might begin to rise after the first of the year and a lot of buyers are trying to get into a house before the end of the year to take advantage of the tax benefits. And, while January usually is the start of the season for corporate relocations, a lot of employees are hunting for houses at holiday times.

Holiday house hunting has become more and more popular in recent years. Many people take the week off between Christmas and New Year’s and the children have off from school. This is a great time to look at what is available, especially if you have to fly far from your present home to look.

People who put houses on the market during the holidays are ready to sell, not simply testing the waters and many sellers have gotten into the spirit of the holidays by offering financial incentives to buyers who write a contract to purchase during the holiday period.

And finally, the holidays themselves may be a reason why people look for houses at this time of the year. They see how cramped their house is with presents and a tree and decide it is time to get a larger one.

There are definite signs that the real estate market is beginning to improve. That means that prices will begin to rise again. So this is a great time to buy. Prices are still down, there is a lot to choose from and interest rates are low.

These are just a few thoughts about how you offer seller-financing in today’s difficult market. But if you want to consider this option, make sure you consult with an experienced attorney and your tax consultant before you make this offer.

I welcome all your real estate questions and will do my best to answer them. Just call me! Or, go to ArrowheadRealEstate.com and email me from there.

Happy Holidays!

The final walk through as we call then is your last chance to see the home you bought before it closes.

After a buyer’s offer on a home is accepted by the sellers, a month or so will pass, before there is a closing and the property changes hands. During the time the buyer doesn’t have possession of the property and does not get to see the inside.

A lot can happen in a month, items may get damaged from moving furniture, items may be removed that the buyer thought were included in the sale, or furniture may have been hiding a defect.

The walk through protects buyers, they get to look at what they are going to buy before they pay for it.

Buyers should ask for a final walk through before the closing.  This is pretty typical in the Nashville real estate market, but there have been times when I have had waive their right to a final walk-thru, but I wouldn’t recommend it.  If it’s impossible for the buyer to attend the final walk thru, it is possible for his/her real estate agent to perform the walk thru for them.

Please contact Josh Anderson if you have any questions about the Nashville real estate market, or are looking to buy or sell a Nashville or Middle Tennessee home.

With interest rates still low (but on the rise!) and the wonderful tax-credit of up to $6,000 for existing home-owners, (income limit of $125,000 for singles, $250,000 for couples), who WOULDNT want to own a home by the end of April? (To find out more, visit my website at: www.TheFastestGrowingCityinTexas.com or simply contact me directly).

Declarations that the recession is over are becoming more official. The Federal Reserve released a statement in late September that data “suggest economic activity has picked up following its severe downturn.”

Now, a recent survey of 43 leading economists by the National Association for Business Economics (NABE) finds that 81% of university, research, corporate and Wall Street economists say they believe the recovery has begun, with a 3% gain in Q-3 2009.

But, the recovery will be slow and painful for many for some time to come. The sectors at risk are labor and housing, says NABE.

About 54% of the economists agree that the 7.2 million jobs lost in the recession won’t be regained until 2012, while 38% predict job recover to take longer than that. The unemployment rate will reach 10% by the first quarter of 2010, before drifting back down to 9.5%.

And housing isn’t out of the woods yet, but it’s much closer than jobs. One-third of the surveyed economists say housing prices will bottom in early 2010, while about 25% say the bottom will be Q-4 2009.
The benefit for consumers is that the economists believe that the Federal Reserve will keep short-term interest rates (the rates at which FDIC banks borrow money from the Fed and each other) low through the end of the year, which should pass along to consumers in the form of low credit rates.
Despite the specter of unemployment, borrowing costs to own a home were at near-historic levels, in mid-October, below the 5% watermark for several weeks, further putting housing at the most affordable levels in years.

Housing prices will continue to be pressured by Alt-A and prime loan foreclosures, where people have lost jobs and can’t continue their house payments. Further, it’s unknown how many sellers are on the sidelines waiting for the market to improve before putting their homes up for sale.

Housing prices should rise modestly – 2% in 2010, says NABE.

-Amy S. Arey
Bill Griffin Real Estate
6801 Snider Plaza, STE 220
Dallas, TX 75201
214.901.1341-Cell
www.TheFastestGrowingCityinTexas.com

Travel and Leisure magazine have again named Nashville America’s Friendliest City in the publication’s annual ranking of 30 U.S. cities.  This year, Nashville also ranked second in the nation for live music and concerts and fourth for an affordable getaway.

If you’re looking to move to Nashville, let me help you make the transition easier, call me today at (615) 509-7000 or email at Josh@JoshAndersonRealEstate.com. I can send you Nashville homes or condos that fit your criteria!

With house prices dropped and many people looking to sell their homes to move into something more affordable and many people looking to take advantage of lower prices to buy into the housing market for the first time, there are many people who’re looking to hire realtors to help them in their home buying or selling endeavors.

One way to get a few names of agents who you might like to use to buy or sell a house is by asking people who you know that have bought or sold homes previously in your town or city. This isn’t to say that you should just use whichever agent your friend or neighbour has used, but it’s a good way to get some names of agents who you might want to look into.

Another good way to get names of agents, particularly if you’re looking to see your home, is by looking in your local papers to see which agents put a lot of effort into advertising homes that they’re selling. Ideally, when you’re selling your home you will want an agent who’s willing to put a lot of effort into marketing your home so that it can sell reasonably quickly.

Once you have an idea of who some potential realtors are that you’d like to work with, take a deeper look at them. You are going to want to hire a realtor who specializes in the type of home that you’re trying to sell or buy. If you’re looking to buy or sell a condo, you want a realtor who knows all the ins and outs of condominiums and the specific issues that can be a part of buying and selling them. Likewise, if you’re looking to buy a foreclosure or a short sale, you may want to look into using a realtor who has experience with these types of sales.

Another important aspect of realtor hunting is how much experience a particular agent has. By experience, we’re not just talking about the number of years they’ve held a licence, of course, but instead what they’ve done in the time that they’ve held that licence. There are some great new agents who’ve not been in the business for very long but have fabulous enthusiasm and are working hard to learn everything possible about the business; there are also some realtors who’ve been around for years and years who haven’t bothered to learn anything new since they started. Don’t judge a realtor’s experience by the number of years they’ve been in the business, instead ask them questions to find out what they know and how they feel about learning new things.

You will likely also want to hire a realtor who works full time at selling and buying homes with clients. While there are many good agents who work part time, it is a benefit to you to have your home sale completed in an efficient time frame which is more likely when you have a realtor whose main job is completing that in a timely manner instead of as a side-job.

Another thing that you’ll want to look at is an agent’s ratio of homes listed to homes sold; while it may be impressive that an agent has sold a lot of homes it is more telling if he or she has sold a large percentage of the homes that they’ve listed. Some agents don’t list a large number of homes but they sell most, if not all, of the ones that they do list.

To get the best results, whether you’re looking to buy or sell a home, it is always in your best interest to do your research and make sure that your realtor is someone who you can work with and will help you achieve the result that you’re hoping for. Don’t be afraid to do your homework and hire the best possible agent for your needs!

ScottELangley@remax.net

www.ScottELangley.com

As we approach New Years, it seems that everyone forgets about house selling or buying.

This means it is an excellent time to do just that. Think about it: Come spring, everyone and their brother will be listing and looking to buy a house.

That is when there is the greatest amount of competition in selling your home or buying the home of your dreams.

Add to that the fact many people are on vacation over the holidays and REALTORS aren’t as busy, either.

Another fact about listing your home in winter is that only serious buyers will brave the weather to look at potential homes, which eliminates the “tire kickers.”

This year, there is an added incentive to move on house selling and buying. The federal homebuyers tax credit has been extended to include written binding contacts to purchase that are in effect on April 30, 2010. The house purchase has to be closed by June 30, 2010. Included in this offer are first-time homebuyers who can get up to a $8,000 tax credit and current home owners who want to “move up” or “downsize” and receive a $6,500 tax credit.

Current homeowners wishing to take advantage of the tax credit must have owned and occupied a primary residence for five consecutive years during the last eight years. The new home does not have to cost more than the existing home, making this a perfect opportunity for downsizing.

First-time homebuyers cannot purchase a home from a close relative, which includes a spouse, parent, grandparent, child or grandchild. The amount of the tax credit for first-time buyers is 10 percent of the purchase price, up to a maximum of $8,000.

Both the first-time homebuyers and the current homebuyers tax credit are only available on primary residences. In either instance, the homebuyer may own a secondary property, such as a cottage, as long as the current purchase is the primary residence.

As always, it is best to contact your Realtor, accountant or tax advisor before entering into a home purchase and claiming a tax credit. The IRS is intending to check on any possibility of fraud with this legislation.

ScottELangley@remax.net

www.ScottELangley.com

This Cape Cod real estate market update captures the activity that has occurred in the past week.  Joe Arnao gives you the details you need to make prudent decisions for selling or buying Cape Cod real estate.

The Cape Cod real estate market usually heats up in the Spring. However, recent activity indicates that the season may begin earlier in 2010 than in previous years. Low prices, good inventory, low mortgage rates and tax incentives will allow many to get their piece of Cape Cod real estate.

The Spotlight Town of the Week is Eastham. The Cape Cod National Seashore Park begins in Eastham and covers much of the land. This makes the available property very valuable. Owning a Cape Cod real estate in Eastham is a dream for many. Entry prices start at $110,000.00 for condos and $230,000.00 for single family homes.

Understanding your local market is important. Cape Cod real estate is no different. Work with a Realtor who understands the market in detail. Whether pricing a property for sale or looking to buy, it is important to know the Cape Cod real estate market trends.  Sales data, competition and upgrades are all important in evaluating the value of a property.

It is truly only worth what someone is willing to pay for it. The value of Cape Cod real estate tends not to fluctuate quite as much as other parts of the State and the Country. Stay informed and you will be able to negotiate a better transaction.

Since the media, family and friends are helpful, easy ways to get information about the market, most people seem to rely primarily on this. However, are you getting the complete story? The full picture? The media reports with extremes, dealing with generalizations due to the amount of coverage they have to provided, and lets not forget their goal is to get your attention and create the number one station with shock and awe type news. I would not throw away these resources to gain perspective on the market, but I would caution you to use these resources in conjunction with the experts in real estate who have made this their life vocation, especially in the midst of such constant shifting in the market.

Fear seems to be the number one drive amongst buyers and sellers today. However, this same fear has the very potential to make you lose out on an incredible opportunity in our market. There is always opportunity when there is a shift…you just have to identify what it is. Real Estate is a cyclical business. What goes down always comes back up. This is neither the first nor the last time. It is a myth to think you can buy and sell every 3 -5 years and expect to make an abundance in cash flow on both ends. This is a completely unrealistic expectation, and you will set yourself up for failure at this unattainable goal. The truth is real wealth comes from a combination of appreciation plus debt pay down.

When selling right now expect to lose or break even, but then know that the seller will pass this savings on to you as well.
The market expectation and perception have failed you. The continuous lie that society seems to feed us in all aspects is that you can get something great for nothing. This is not the rule to life, only the exception. The biggest gains are those held onto over a period of time.

How to know when to buy:

Establish on a sheet of paper your wants in one column and your needs in another. When you walk into a house, go over this list and see if it fits. Then imagine that someone else came right in and bought it right then and you had to go on your way and look for something else…Can you live with it? Would you rather I’m glad I did buy or wish I had?
Waiting for a home to drop is the biggest mistake. It usually will either be picked up by another buyer or the 10-20k drop in price will be eaten up by the shift in interest rates that are volatile right now.

To visit my website or search for homes in YOUR market or obtain a FREE market evaluation if you are thinking of selling your home and want to know what homes in your neighbhorhood are selling for as well as how long they are on the market, log onto: www.TheFastestGrowingCityinTexas.com.

Recent statistics from the Toronto Real Estate Board indicate that current active MLS listings are way down (approximately 47% percent down) from those of a year ago. Low interest rates, combined with a ‘wait-and-see’ attitude of many Canadian sellers, have resulted in a situation very different from the market in many U.S. cities. Reports of bidding wars in some prime Toronto neighborhoods, and even in some suburban neighborhoods, have confounded the experts, and many buyers and their agents have felt frustration in losing out in what turns out to be an irrational bidding war with other buyers. There is nothing more frustrating to any buyer, or their agent, than finding the perfect house, and then losing it to someone else who bids a higher price.

In a market such as this a pre-planned strategy is vital, as decisive action is required in both the search and the offer process. Patience is often also required, as more time is often needed in finding that perfect home. Once the desired home is found, you will need to be ready to make an offer based on the seller’s time frame parameters, so ’sleeping on it’, consulting with friends or family, or viewing multiple times, may not be possible.

In this type of market, an experienced, expert professional Buyer’s Agent is worth their weight in gold.

Here are some tips in how to get the house you want in a low-inventory environment:

1.) Use an Expert Professional Full-time Realtor who is knowledgeable about the neighborhood

In a market where the better homes are snapped up almost immediately, there is no better contact to have than an experienced, professional, full-time Realtor, working for you. Going it alone, despite all of the information available online, will place you at a disadvantage when there is competition among buyers, and a good realtor will use all their skill and experience to get you the house that fits your needs.

2.) Sign a Buyer Agency Agreement with your Realtor

When the benefits are properly explained, savvy buyers will be eager to sign a Buyer Agreement with their agent. The key principle at work here is that, if a Buyer Agency Agreement is not signed between the buyer and their agent, then by default, the agent is working for the Seller! You must remember, it is the Seller who is paying the commission, and it is only through the entering into a Buyer Agency Agreement, where the agent becomes legally bound to act in the best interests of the Buyer. While some buyers are reluctant to ‘tie’ themselves to a Buyer Agent, what must be remembered is that the agreement also ‘ties’ the agent to the buyer. Once the agent is working for you the buyer, everything they do must be in your best fiduciary interest, and there is a long list of obligations that they are obliged to make to you.

3.) Have your agent set up a Buyer Contact system, whereby the MLS system e-mails you automatically with new listings in your price range and area, as they come out.

Most big city Multiple Listing Services provide a contact system where the computer e-mails the buyer with every new listing that comes out in the geographic area specified, in the price range and type of property requested. It is like getting an RSS feed from the Real Estate Board itself, and the service is free and is easily set up by the Realtor. These updates are delivered into your inbox daily, and are automatically generated. When you see a house which interests you, simply contact your agent to view.

4.) Get Pre-Approval from your Lender, and make sure that you understand all the terms and conditions of the loan commitment.

Nothing could be more important, or simpler to action, than a pre-approval from your bank, mortgage broker, or lending institution. This service is free from almost all lenders, and will typically be good for a period of anywhere from 60 to 120 days. Once you have the pre-approval in place, then you know how much you are qualified for, and how much you can offer on any property. If you are a first time buyer, your agent can connect you with lenders who can help. If you suspect that there could be difficulties from past credit issues, get these cleared up through the pre-approval process. Often, a minor credit issue can be cleared up with a simple explanation. Credit approvals can be verbal, but it is always better to get them in writing.

5.) Be prepared to view homes as they come on the market

Once again, in a seller’s market, when inventory is low, it is imperative to act quickly when the new listings appear. If you wait for the weekend, or for a convenient time, the house may be gone. Be prepared to make time for showings as they come out.

6.) Have an offer strategy when multiple offers are a possibility

Discuss with your agent how you will deal with competing offers. Experienced agents know strategies which will help you to come out on top when you have to compete. Have a price ceiling in mind. Your agent will know how many other offers are competing, but they will not know what the other offer prices, terms, or conditions are. How high will you go? You need to discuss this beforehand. There are plenty of ways to make your offer stand out, apart from the offer price; make sure you give the largest good faith deposit possible. When there are two nearly identical offers, and one contains a larger deposit, the seller will naturally accept the one with the larger deposit. Make sure your agent contacts the listing agent, and determines the most acceptable closing date for the seller – and then match it. Only include conditions which are absolutely necessary. Once again, your agent, if they are experienced, will check with the seller’s agent to see which conditions are o.k. to include.

7.) Understand the risks and liabilities of making a firm offer

Most offers contain at least one or two ‘conditions’, which allow the buyer to buy conditionally, and which allow the buyer an out clause in case the conditions are not met. Typical conditions would be those on financing approval, on home inspection, on condominium Status Certificate (if the subject property is a condominium), and on the sale of the buyer’s property (if the buyer also has a house to sell). When multiple offers are present, all these conditions create a disadvantage for the buyer. When there are identical or similar offers on the table from multiple buyers, the seller will naturally select the offer with the fewest conditions (the fewest risks for the seller). Many sellers in the Toronto area will pay for a professional house inspection themselves, and have it ready for the buyer’s perusal, thereby negating the need for a home inspection condition. Here again, an expert realtor can advise which conditions can be included on a competing offer, and which should be not included. The biggest risk for any buyer is to make an offer ‘firm’, with no conditions, specifically with no bank finance approval condition. Unless you are paying cash for the house, you must be sure that the bank approval will be forthcoming. Remember, the offer, if it is accepted by the seller, is a Contract, which must be fulfilled. Banks will approve you, the Buyer, but they must also approve the transaction. Banks will send out a bank appraiser to appraise the property, to ensure that the money loaned is for an amount appropriate to the value of the house. If you have bid higher than the appraised value (in a bidding war), then the bank may not approve the full loan amount. So it is very important to discuss these issues with your realtor and with your lender, to know exactly how high you can go.

8.) Make sure your agent does a thorough Competitive Market Analysis prior to making the offer.

This is Real Estate 101. Make sure that your realtor shows you the prices for recent sales of comparative properties in the neighborhood – this will give you a sense for what price the home you are interested in will go for. Remember, though, that no two houses are alike, and that adjustments need to be made, and that everything from condition, to location on the street, to time of the year will impact sales prices.

9.) Understand all the closing costs, so there are no surprises later.

Once you have successfully gotten the home of your dreams, there are closing costs for things like the Ontario Land Transfer Tax, and for your lawyer’s services. These amounts are due on the closing date (the day that you get the keys and take possession). Having an accurate idea of what these closing costs will be is something which your realtor can provide you with.

These are just a few of the many tips and strategies which an expert Realtor can provide you with, when you are buying in a competitive market. Using them wisely can make the difference between getting the house of your dreams, or watching it go to someone else.

Randy Selzer is a dedicated Realtor who has been helping people to enhance their lifestyles through the buying and selling of fine real estate in the Greater Toronto Area since 1993. Randy is also a fan and a student of Web 2.0 and social media networking. Get expert real estate tips and advice at http://www.twitter.com/randyselzer and free E-books and more at http://www.randyselzer.com/

 This is a great, easy to understand video about renting vs. buying a home.

If you decide that home buying is the right thing for you, the next question is what type of home is right for you.  Check out my article on the pros and cons of single family homes, condos, & PUDS.

Please let me know if I can answer any questions about the home buying process, or about the current Nashville real estate market, Josh Anderson (615) 509-7000 or Josh@JoshAndersonRealEstate.com.

1. Research before you look. Decide what features you most want to have in a home, what neighborhoods you prefer, and how much you’d be willing to spend each month for housing.
2. Be realistic. It’s OK to be picky, but don’t be unrealistic with your expectations. There’s no such thing as a perfect home. Use your list of priorities as a guide to evaluate each property.
3. Get your finances in order. Review your credit report and be sure you have enough money to cover your down payment and closing costs. Then, talk to a lender and get prequalified for a mortgage. This will save you the heartache later of falling in love with a house you can’t afford.
4. Don’t ask too many people for opinions. It will drive you crazy. Select one or two people to turn to if you feel you need a second opinion, but be ready to make the final decision on your own.
5. Decide your moving timeline. When is your lease up? Are you allowed to sublet? How tight is the rental market in your area? Are you selling your current home? All of these factors will help you determine when you should move.
6. Think long term. Are you looking for a starter house with plans to move up in a few years, or do you hope to stay in this home for a longer period? This decision may dictate what type of home you’ll buy as well as the type of mortgage terms that will best suit you.
7. Insist on a home inspection. If possible, get a warranty from the seller to cover defects for one year.
8. Get help from a Realtor®. Hire a real estate professional who specializes in buyer representation. Unlike a listing agent, whose first duty is to the seller, a buyer’s representative is working only for you. Buyer’s reps are usually paid out of the seller’s commission payment.