by Jaime Tineo on February 8, 2010
If you’re like most home buyers, there’s an 87% chance that you started looking for a home on the web, according the National Association of Realtors® (NAR). And according to the National Association of My Personal Experience, there’s a high probability that you’re working with multiple real estate agents. Most home buyers don’t realize that every Realtor® who is a member of the WPMLS has access to all the homes for sale in Westchester County and even Putnam and Bronx County.
As a home buyer myself, I realized that the main reason buyers hop from Realtor® to Realtor® is trust . The agent you’re working with, and it might be me, has not given you a sense of comfort that would have you commit to that one agent. And understandably so! You just met the person once or twice. [click to continue…]
by Jaime Tineo on January 17, 2010
When negotiating to purchase a home, understanding what your ‘levers’ are can be a significant advantage to winning a the deal.
Most people believe that price is the only bargaining chip when purchasing a home. Although this may be true in most cases, it does not hold true for every case. There are “levers” that you can adjust in order to make the best and most attractive offer to the seller. In a seller’s market you often hear the expression “Highest and Best” when there’s a bidding war on a home. The truth is that most people only pay attention to the first part, and disregard the second. Sellers want the Highest and Best offer, not necessarily the highest offer. For example, if the asking price for a home is $500,000 and the seller receives 2 offers. Offer 1 is $490,000 with 5% down payment and 95% mortgaged to close in 90 days. Offer 2 is $480,000 with 50% down payment and 50% mortgaged to close in 30 days. And lets assume (which I hate to do) the house was vacant because the seller had already moved to their new home and was carrying 2 mortgages. Which offer sounds the “Highest & Best”?
Well, I hope you picked the 2nd offer! Why? Because selling a home is about probability. The probability that the home is priced aggressively enough to attract at least one offer. The probability that the home home shows well enough. The probability that once an offer has been accepted, that the buyer can close. The probability that the home inspector does not find something wrong with the home. The probability that the attorneys involved will not break the deal. The probability that the buyers will close in said time. The probability that the 2 real estate agents know what they’re doing, or at least one of them does. I could keep going. I’m as optimistic as the next Tony Robbins, but there are so many variables involved in a real estate transaction that you need to anticipate and plan for the unexpected.
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