Real Estate Tips - Buyers Steps to Success!

• Use the services of an experienced Realtor.
Many times buyers avoid using the services of a Realtor under the mistaken belief that it costs them money - or that they will be able to negotiate a better deal directly with the seller or seller's agent. This can be an expensive mistake. If you are negotiating directly with the seller or seller's agent, you may not be taking advantage of the best deal available in the marketplace today! You can have your own Realtor, a Buyer Broker or Purchaser's Agent, who will use the experience gained through hundreds of successful negotiations for your benefit - at no charge to you! Back to top

The seller pays the commission to your agent and for his or her own. Real Estate is a unique business, where an agent with one day's experience and no sales experience gets paid the same as an agent with several years experience and hundreds of successful sales. An experienced agent can help you avoid many pitfalls, and make your home buying an enjoyable, stress-free adventure! Back to top

• Know who the agent is really working for.
It is important for buyers to know and understand for whom the agent is actually working. The agent may be working as a sub agent - representing the seller's best interests during negotiations - or as your agent representing your best interests during negotiations. If you are not sure who your agent is working for - ask for clarification. Your Realtor must fully explain. When negotiations commence, you'll want to know whether the information you divulge will be used for the seller's benefit or for your own. Back to top

• Recognize different negotiating styles and strategies.
Many buyers think the way to achieve a fair purchase price is by offering low. This is the strategy of the buyer who is not in possession of all the facts essential to negotiating the best possible deal. Many times that type of strategy will polarize negotiations and lead to inflexibility on part of the seller - or worse yet - failed negotiations. If you have chosen your Realtor wisely, the most effective strategies for this particular situation will be revealed to you. Experience can mean a better deal at the negotiating table with a minimum amount of hassle. Back to top

• Have the home inspected by a competent home inspection company.
Buying a home is a major purchase usually made after spending just half an hour looking at the home. Isn't it worth ensuring you will not be surprised later with deficiencies costing thousands? Your Realtor can recommend several companies for you to choose from,and will ensure the appropriate clause is part of the offer. Back to top

• Knowing and understanding your rights and obligations
as set out in the Offer To Purchase. It is important to understand completely the terms of the Offer to Purchase. Wrong assumptions, poorly written or missing clauses and not understanding how the clauses affect the purchase can lead to increased costs or a void contract. An experienced Realtor can explain the agreement to you and help you to fulfill your contractual obligations. Back to top

• Don't let emotion blind reason.
Buying a home is an exciting time and while usually an emotional decision, it's important that they be validated by facts and reason. An experienced agent will help remove the emotion from the negotiating process and provide you with the information you need to make sound decisions. Back to top

• Take the steps to be financially pre-qualified, and have an interest rate guarantee before looking at homes.
Knowing how much you can comfortably afford will ensure you are looking in the right price range and prevent you from buying a home that will strain you financially and emotionally. Having an interest rate guarantee will protect you in times of fluctuating rates and ensure that your initial projected payments do not suddenly escalate, resulting in extra interest charges. An experienced Realtor can help you initiate this process and can also recommend alternative sources of financing. Being aware of these mistakes will help ensure you receive best value for your dollar when the time comes to buy your home!

Back to top

Real Estate Tips - Sellers Steps to Success!

• Base asking price on market value rather than needs or emotions.
Sellers often base their price on what they paid for, or have invested in their home. This can be an expensive mistake. If your home is not priced competitively, buyers will reject it in favour of other larger homes for the same price. The buyers who should be looking at your house will not see it because it is priced over their heads. Back to top

The result is increased market time, and even when the price is eventually lowered, the buyers are wary because nobody wants to buy a home that nobody else wants. This can results in low offers and a buyer's unwillingness to negotiate. Everyone wants to realize as much money as possible from a sale, but a listing priced too high often eventually sells for less than market value. Back to top

• "Showcase" your home
Sellers who fail to make necessary repairs, who don't spruce up the house inside and out and fail to keep it clean and neat chase away buyers as fast as their Realtor can bring them. A property that is not clean or well maintained is an indication that there may be hidden defects resulting in increased cost for the buyer. Buyers always build in a large margin to cover the cost of repairs andwhen offering on such a property. Sellers are usually better off doing the work themselves ahead of time.Back to top

• Don't over-improve the home prior to selling.
Sellers often spend thousands of dollars doing the wrong upgrades to their home prior to offering it for sale in the mistaken belief that they will recoup this cost. Do upgrade your home for your personal enjoyment, but if you are thinking of selling, you should be aware that only certain upgrades are cost effective. Always consult with your Realtor prior to committing to upgrading your home. Back to top

• Choose the right Realtor for the right reasons.
Many homeowners list with the agent who leads them to believe that their home will sell for the highest price. You need to choose an experienced agent with the best marketing plan to sell your home. In the real estate business, an agent with many successfully closed transactions usually costs the same as someone who is inexperienced. That experience could mean a higher price at the negotiating table, selling in less time, and with a minimum amount of hassles. Back to top

• Leave the "Hard Sell" in the closet!
Buying a home is an emotional decision. Buyers like to "try on" a house and see if it is comfortable for them, and that's hard to do if you follow them around pointing out the improvements you've made that are important to you. Good Realtors let the buyers discover the home on their own, pointing out only features they are sure are important to them. Many sales are lost by overselling. If buyers think they are paying for features that are not important to them personally, they'll reject the home in favour of a less expensive home without those features. Back to top

• Take the first offer seriously.
Often sellers believe that the first offer received will be one of many to come. There is a tendency to not take it seriously and to hold out for a higher price. This is especially true if the offer comes in soon after the home is placed on the market. Experienced Realtors know that more often than not, the first buyer ends up being the best buyer. Many sellers have had to accept far less money than the initial offer later in the selling process. The home is most saleable early in the marketing period, and the amount buyers are willing to pay diminishes with the length of time a property has been on the market. Many sellers wish they could find the prospective buyer who made the first offer. Back to top

• Know your rights and obligations.
The contract you sign to sell your property is a complex and legally binding document. A contract written improperly can allow the purchaser to void the sale, or cost you thousands of dollars. Have an experienced Realtor who knows the ins and outs fully explain the contract you are about to sign to you or have your lawyer review it before acceptance. Back to top

Back to top | Back to start of Seller's Steps to Success