REALTORS(R) For Buyer's : Are They Free and What Are They?

Ready to house hunt? Think you can't afford a REALTOR^® or that you really don't need one? What do they do anyway? Here is how they can save you from serious transaction litigation and save you time and money?

It's a jungle out there: Prepare for a flurry of paperwork, stampedes of buyers competing for the same digs, and other challenges, before you get your hands on those house keys.

The Truth: The process can be complex and stressful—especially if you are a first-time buyer. Having a REALTOR^® pro by your side can make all the difference. You might have heard of buyer's agents, selling agents, listing agents, REALTORS^® and so on. 

You're a buyer, so what is the difference between a buyer's agent and a REALTOR^®? 

A real estate buyers agent is not a REALTOR^® , but a REALTOR^® is also a buyers agent. Confused? A real estate agent is someone who has a professional license to help people buy, sell, or rent all sorts of housing and real estate. Once they pass their exam, they’ve earned a license, the title of a “real estate agent,” and they might join a brokerage where they can begin working with home buyers, sellers, and renters. 

In order to become a REALTOR^®—a licensed agent with the ability to use that widely respected title—an agent needs to be a member of the National Association of Realtors® (NAR).

As a member, a person subscribes to the standards of the association and its code of ethics.

Essentially, the NAR holds us to a higher standard, I am a REALTOR^® with Premier Properties in Tomball, TX. Membership in the NAR also comes with access to real estate market data and transaction management services, among other needed professional benefits to help buyers and sellers.

True to their name, REALTORS^® help real estate buyers navigate the real estate market; they can also save you tons of time and money on the road to your new home.

Benefits of using a REALTOR^® when buying real estate

As a REALTOR^® I will guide you through the home-buying transaction and be at your disposal for any questions or concerns. Here are some of the things I can do:

• Find the right property. After determining what my clients are looking for and what they can afford, I will schedule appointments with my clients to tour homes that fit the bill. I will also explain the ins and outs of various properties and neighborhoods, to help my clients decide which home is right for them, by explaining the pros and cons of various options. This also includes new home construction.
• Negotiate the offer. I will advise clients on an appropriate price to offer. I will then write up the offer in a contract along with all of the other state required forms needed in Texas. Then I will send them to my clients electronically for them to sign with explanation of each document. Next, I will present it to the seller's agent. Then I will negotiate on your behalf and write up the contracts for you. This is where my 60k+ hours of practiced experience in negotiating deals can save you money and help you avoid pitfalls like a fixer-upper that's more trouble than it's worth.
• Recommend other professionals. I am able to refer you to reliable mortgage brokers, real estate attorneys, home inspectors, movers, and other real estate professionals, if needed. This can also help expedite each step of the process and move you to a successful real estate sale all the faster.
• Help overcome setbacks. If the home inspection report or appraisal brings new issues to light, I will advise you on how to proceed with the transaction, and then act as a buffer between you and the sellers or their broker. If negotiations become heated or hostile, it's extremely helpful to have an experienced professional who will keep calm and offering productive solutions.
• Keep up with contingencies in your contract. Your contract will have several contingencies that are all time sensitive. These contingencies are what protect you from losing money and from litigation. I will keep up with all of the contingencies within your contract and protect you throughout the process and keep you from accidents that lead to litigation. I also keep in close contact with the title company and your mortgage lender every step of the way to make sure everyone is on the same track and closing is on time.
• Walk through the home and support you at the closing table. A few days before closing I walk through the house with my clients so we can go through the repairs the seller agreed to complete before closing. If there are repairs that were left incomplete, I will go to the seller's agent on your behalf and obtain satisfaction for the incomplete repairs. Finally, when the entire process is over, I will sit with you at the closing table to make sure everything goes smoothly. 

The REALTOR^®/buyer contract

Once you agree to work with me as your REALTOR^® , you will have to sign a contract called an "Buyer Representation Agreement," outlining my services and compensation (more on that next). 

This contract also means that I will be your sole representative and that you won't work with other REALTOR^® or go build or purchase new construction without me.

Important information to know. Without this representation agreement the REALTOR^® showing you a home, whether it is their listing or not, by law is representing the seller. They cannot tell you sensitive information that the listing agent may have divulged by accident to them. They can however tell the listing agent anything you have told them about your own situation. Get this agreement before you visit any homes!

How much do REALTORS^® cost for all of this?

You don't need to worry about the expense of hiring a REALTOR^®. Why? Because the seller pays the commission for both the seller's and buyer's REALTORS^®. It is written in the listing agreement between the seller and their own REALTOR^®.

In most cases, the commission is the equivalent of about 6% of the homes sales price, which is split evenly between both REALTORS^® (on a $200,000 home, that would be $6,000 apiece).

Cost to you as a buyer: $0.00

The Builder Representative said I don't need a REALTOR^® .

Don't ever let a builder representative (sales counselor) intimidate you into believing you don't need your own representation. It is free to you even when you build a home or buy an inventory home. Going at this process alone is like walking into court as a defendant without representation and allowing the prosecuting attorney to speak and plead your case on your behalf. Just not a good idea. Remember, we don't just open doors, we protect you all along the way.

If you are ready to begin your home search, please contact me or another professional REALTOR^® .

My contact information is TomballMemorialLiving@Gmail.com or call me at 832.419.0916