So let’s say you’re ready to buy or sell a home. Great! But I bet you would love to save some money in the process too. Saving thousands of dollars when buying or selling a home is possible simply by using the right Realtor. The right Realtor will know the ins and outs of the market and can get you more bang for your buck. Need an example? Well, here are six of them!
Knowing what you can afford can save you thousands!
Time is money. But money is also money. These are two things that the right Realtor will save you in the home-buying process. The right Realtor will sit down with you to determine your list of wants and needs and what you can afford. Whether you pre-qualify with a mortgage lender or do your homework to identify your target price point, the right Realtor should do most of the heavy lifting from here on out. Instead of making you filter through dozens of listings, or even worse, show you listings on the outer bounds of your budget, the right realtor will guide you to just a handful of listings that should meet your top priorities and stay within budget.
Comparisons are not just for the interview process.
Everyone knows that you should compare Realtors to one another but the same process also applies when looking at homes in a neighborhood. While you can easily look up “comps” (comparable homes with similar square footage, number of bedrooms, features, etc.) yourself, your Realtor should definitely be on top of this information. A good Realtor will be able to look at comps for your property to determine the right listing price that will get your offer accepted. On the other side of the fence, a good Realtor will steer clear (or recommend an appropriate offer) when a listing is above comps or comps are found outside of the neighborhood so that you don’t spend more money than you have to.
Speaking of offers…
When submitting an offer for your would-be dream home you may be quick to draw up the lowest offer possible thinking that will save you the most money. Often times that is the wrong way to go and it could lead to you actually spending more or even losing the property altogether. The right Realtors understand a seller’s motivation and guides their buyers to a fair, yet competitive offer. Bottom line, a good Realtor will know if a property has been on the market for a while, if the seller is cash-strapped, or a myriad of other factors that will affect a seller’s decision to accept or reject an offer. Choosing a good Realtor should help you put a realistic offer on the table and will directly impact what you pay and inevitably save!
Honesty is the best (and most cost-effective) policy!
An exhaustive part of the real estate process is reviewing and (gasp!) negotiating commission contracts with your Realtor. Although Realtors may provide you with a boilerplate contract, it is up to you to save where you can simply by asking. On the flip side, a good Realtor will do their part to be upfront with you and inevitably save you money. As more and more brokerages and Realtor contracts include transaction fees these days, a great broker will point out these additional fees ahead of time. Always ask about hidden fees but using an honest Realtor will ensure that you’re doing your due diligence rather than always needing to watch your back.
Work with the right Realtor that helps you spend wisely!
Great Realtors will help buyers find “hidden treasures” and while that may make you think of dollar signs the key thing to remember is that you can spend wisely to save down the line. Experienced Realtors help buyers see beyond the daunting nature of even the slightest “fixer upper” and give you a reasonable estimate of what you could spend in updating and/or repairing a property. Some buyers may pass on a house with immense potential simply because they cannot envision the possibilities or want to take on the challenge. But a great Realtor can navigate the road for an overwhelmed buyer by offering estimates of where dollars can be saved down the line versus spending top dollar on more “up-to-date” properties with higher listing prices.
A recommendation goes a long way!
Besides helping you find a “diamond in the rough” the right Realtor can also save you money by being a trusted resource. The wrong Realtor might make suggestions that could end up costing you money down the road while the right Realtor can save you thousands of dollars by uncovering expensive structural repairs ahead of time. The important thing to consider is that a good Realtor will never push you into a sale just for the sake of making a sale. If a client later finds that their Realtor did not advise them of the true costs of a home that mistake will directly affect their reputation and their likelihood of getting referrals from you.
Using the right Realtor is a very important piece of the process and while you may be prepared to shell out to buy your dream home you don’t have to. The right Realtor should easily be able to convince you otherwise!