The home buying and selling season is fast approaching and I will be giving out a series of tips for home buyers and sellers in the weeks and months ahead-tips that will help you protect your legal and financial interests. Buying or selling a home is a BIG business deal composed of people, emotions, contracts and cash-all the ingredients for legal and financial pain if you don’t know what you are doing and most people don’t. When you are doing a real estate deal, you are surrounded by sales people who have an economic interest (called a commission check) to manipulate you into spending as much of your hard earned cash as possible. Keep your eyes on my column over the next weeks and months, especially of you are a home buyer, because real estate agents legally represent sellers and NOT buyers (.)
Here’s a few basic tips I like to refer to as the 10 commandments for home buyers and sellers.
1. BUYERS: real estate agents legally represent sellers, NOT buyerstheir job is to get the highest possible price for the property. They are not “your agent” and what you tell them may be used against you. Learn how to take control of the relationship.
2. BUYERS: avoid giving more than $100.00 when you write a purchase offer on a home. In this way, if you cannot complete a transaction you have less money at risk. Large good faith deposits do NOT guarantee you will get financing. Why risk your money?
3. BUYERS: arrange your home financing first, BEFORE you look for a home. Doing so gives you the same power as a cash-buyer. Our home buyer products show you how to use your pre-qualification to SAVE THOUSANDS when buying a home.
4. BUYERS: When you sign a purchase offer, make sure that you write above your signature the clause “subject to buyer’s attorney’s approval”. These 5-magic words can get you out of a bad deal if your attorney does not approve.
5. BUYERS: remember; a purchase offer becomes a legally binding contract when accepted by the seller. Fully understand the legal details before signing
6. SELLERS: avoid signing long-term listing agreements with any real estate agent. Keep the listing contracts limited to 90-day increments so that you can review performance.
7. SELLERS: Avoid signing a listing agreement with part time agents. Use only full time agents so that you increase your chances for more professional representation.
8. SELLERS: Interview multiple agents before signing a listing contract. Make sure that you write above your signature the clause “subject to seller’s attorney’s approval”. These 5-magic words can get you out of a bad listing contract if your attorney does not approve.
9. SELLERS: avoid signing purchase offers with unqualified buyers. Doing so removes your property from the market while waiting to find out you are dealing with a dud.
10. SELLERS: Make sure your agent presents you with an itemized marketing plan detailing the selling activities that will be performed during the listing agreement.
Planning on buying or selling a home? May I humbly suggest you visit our website? Smart Books Publishing specializes in representing consumers, people like you, who are planning on doing a real estate or business deal and you should know that this resource is available to you. Why? Because people are like lambs among wolves when buying or selling a home! Agents are trained in real estate principals, practices and some law. How much training have you had? Ever heard the term: caveat emptor? That’s legal jargon for “buyer beware” which is a fancy legal way of saying cheating is okay. The agents are on commission, the mortgage brokers on are commission and it’s a “good old boys club” which you are NOT a part of. Visit the site and get smart fast!
My E-Report: 101 Tips For Home buyers, Sellers And Money Borrowers will help you with more information regarding this article-go to smart Books website, send us an email requesting a copy and we’ll send it to your email address within 24 hours-absolutely free! (limited to first 20 responders-make sure you say you saw it on Ezine!). Another Ezine Exclusive! Until next time…
NAME: Jim Hart
TITLE: CEO Smart Books Publishing
SMART BOOKS WEBSITE: http://www.smart67.com
FREE PRODUCT: Yes! Article offer-free per email request.
PRODUCT: Consumer Books, Kits & Special E-Reports in the areas of Real Estate, Business and Personal Finance.
WEBSITE PAY PAL SECURE SELLER: Yes
WEBSITE SECURE CREDIT CARD MERCHANT: Yes
EBAY SELLER: Yes-User ID = jim12302
MEDIA INTERVIEWS Yes-See Bio for bookings.
So you are thinking about buying a home? Typically, people who are planning to buy a home, and especially first time home buyers, start by looking through newspapers ads and real estate magazines before calling a real estate company and talking to a real estate agent. And that’s where the problems tend to begin. As a homebuyer you must understand that real estate agents represent sellers (they have a legal duty to represent sellers) and not buyers (.) The only exception to this rule is in the case of “buyer broker representation” which I STRONGLY advise against using because it’s basically a scam designed to squeeze money out of both ends of a real estate deal, money from buyers and money from sellers. You see, the term “caveat Emptor” means “buyer beware”. That means the duty to protect your legal and financial interests in a real estate deal falls squarely on YOUR shoulders. If you make wrong decisions, sign stupid contracts and do less than an intelligent deal-it is your fault. In my mind, the term “buyer beware” is a fancy way of saying “cheating is okay”.
It all boils down to knowledge. Real estate agents are trained in real estate principles, practices, some real estate law and some (and I mean some) financing. How much training have you had? How much do you know about real estate law? How much do you know about real estate financing? What are your financial options? Are the loans being sold to you in your best short, medium and long-range interest? These are key questions you need answered. So here’s a few tips on getting your bearings in the right direction before you do anything.
Number 1-Get the home financing together first! This is the singular most important element of a real estate deal. Why? Because after the whirlwind of emotion of your new home passes (and it will) you will have a “mortgage monkey” strapped to your back for 15 or 30 years. You want the best interest rate you can get but you also want the best loan program to meet your personal needs. There are a ton of home loans on the market; 15 and 30-year conventional loans, adjustable rate mortgages (ARMS), Government loans like FHA, VA loans and there are gimmick loans like negative amortization loans, nothing down loans, etc. The point is that lenders are in the business of selling loans- that’s right they are selling you a loan and you are paying for it in the form of closing costs and interest rates. Nobody can get this information together for you except you (.) You are the one that will live with the loan and that is why you need to get your financing together first! My report gives you the steps you need to take to seek out the right loan for YOU.
Number 2-Get an attorney specialized in real estate transactions (.) People tend to see a lawyer AFTER they have a legal problem. Be smarter than that-see an attorney first and get representation, buying a home is a big business deal right? I cannot emphasize enough the importance of having a lawyer to review your legal documents before you sign anything (.) Not to hype the report but it has some tips on this issue.
Number 3-Avoid real estate agents until you are strategically ready to talk to them. Remember; agents are trying to sell you a property-and they are not your agent-they are salespeople on a commission and they have a legal duty to not only represent the seller but to get the highest possible price on behalf of the seller. People get hurt everyday in real estate deals and don’t even know they are bleeding. Why? Lack of information.
My E-Report: 101 Tips For Homebuyers, Sellers And Money Borrowers will help you with more information regarding this article- go to smart Books website, fill out the form requesting a copy and we’ll send it to your email address within 24 hours-absolutely free this week! Another Ezine Article Exclusive! Keep reading, theres’ more to come! Until next time…
Smart People Read Smart Books!
Copyright © 2006
James W. Hart, IV
All Rights reserved
NAME: Jim Hart
TITLE: CEO-Smart Books Publishing
SMART BOOKS WEBSITE: http://www.smart67.com
FREE PRODUCT: Article offer-per request.
PRODUCT: Consumer Books, Kits & Special E-Reports in the areas of Real Estate, Business and Personal Finance.
MESSAGE: IF YOU DON’T LIKE OUR PRODUCTS, SEND THEM BACK. HAVE YOU EVER TRIED TO SEND A HOUSE BACK?
WEBSITE IS A PAY PAL SECURE SELLER: Yes
WEBSITE IS A SECURE CREDIT CARD MERCHANT: Yes
MEDIA INTERVIEWS Yes-See Bio for bookings.
To buy home first time is an exciting & a little confusing as well. You are
to under go physical, mental and financial exercise before buying home. To avoid disappointments, there are some key points you are to keep in mind before coming to property scene.
Home Purchase Loan
While buying home - You are to consider your budget first. How much you have
as bank deposit and how much your lender is willing to give you? Your lending
amount will be entirely upon your income, debts, savings etc. Before lender
gives finance to you he will definitely see how much your income is stable?
Changing jobs frequently in the past will give negative impact upon your credit
history. If you are to buy some car also, postpone this idea for some time, as
your debts for car will effect upon your amount of lending for house. Because
buying house is a big investment. There are different types of mortgages
available in the market : fixed interest, variable rate, 25 year duration, 35
year duration etc. If you are not sure about which is suitable for you, ask your
independent financial adviser. He will help you to come out from this problem.
Survey the area before buying home
Now after setting your budget, you are to survey the area suitable to you to
buy a house with this budget as well. As rates in some areas may not be up to
your reach. So start hunting with real estate agents, newspapers & of course
directly go to the signboards “For Sale” where owner wants to sell directly.
While selecting your dream home, many things you are to keep in mind:
- - Legal Formalities of your new home
Checking legal documents of the house is very important to avoid getting
cheated. If you are unaware of these formalities, take help of real estate
agent or any legal advisor.
- - Home location should be near to your workplace
Don’t take house very far from your work place. Ask neighbors also about
purchasing that house. Drive yourself to that place and see what is happening
in night (means any loud sounds or music which may be disturbing). See views
from front back, left right and of course in night and daylight.
- - Sewerage system of new home
Daylight in the house, sewerage system and rainwater outlets are of utmost
importance while surveying any house to purchase. See if rooms are well
lighted, gutters & sewerage system is maintained. Provision of rainwater
outlets are outwards from house. Any pits in back yard or front yards. - - Building standards of your home
Make sure that your dream house meets building standards and there is not
any nasty or hidden expenses in the brickwork. See roofs also, if all are
intact. Doors & windows are in good condition. Paint of the house is not
chipped. Flooring of the house, if wooden, it may not be stained, sometimes
stains are covered under the bed or carpets. So visit to a vacant house is
necessary. - - Resale value of your home
You are not going to live in this house for rest of your life. If you want
to sell it in future, what may be the outcome. Everybody wants some plus after
some time. If it can be sold without any hitch. If there are any negative
points for reselling that house. Otherwise you will be struck with that house
for long time. - - Repair expenses of your home
If some major repairs are to be done, who is going to bear the expenses?
Seller or buyer. Settle down all these things on paper to avoid any
disappointments. - - Renovation costs of your home
Your prospective house meets your requirements? Are you able to change it
according to your needs? Suppose any tree is there and can you cut it if
required. You can get a Home Improvement loan too to cover up renovation
costs. - - Make an Offer
Imagine yourself in that house after making your necessary changes. How
you would feel? If you think it fits into your budget and your needs, go
ahead, make an offer and settle all papers legally.
Marc Sylvester is a freelance writer and a
House Loan expert. Visit
MyhomeAdvise.com to get tips and
tricks on how to get equity home loan at lowest rate.
recent entries
- Home Buying Process 15 Tips for First Time Home Buyers
- Understanding Debt Coverage Ratio
- Living Anywhere in Retirement
- Business Startup Loans Start Your Dream Business Project
- Home Loans When You Have Bad Credit
- Combine Mortgage Prepaying and Equity Lines of Credit and Save Thousands
- Take Finance at Easier Terms On Opting For Secured Home Loan
- Avail Finance On Better Terms At Bad Credit Loans
- Benefits of Home Equity Loans with 80-20 Piggy Back Home Loan Purchases
- A Perfect Match For Your Pocket - Cheap Secured Loans
© Copyright 2006 Home Loans. All rights reserved.
Edit here in the footer.php