BTG Real Estate

5 Mistakes homebuyers make when searching for homes

temp-post-image

Consumers and Real Estate Agents have never been further apart in the home search process. Nowadays with the “believe everything you see and read” mentality on the internet we created a series of problems to solve for each individual by the time they realize they do need a professional to help. Not just a licensed agent mind you, but a real professional. Here are 5 (of many) mistakes homebuyers make when searching for their next home.

5. They think all Agents are the same.

Even worse, they think all agents jobs are easy and there is no real reason to have an agent passed gaining access to a home. YIKES! Ok, so here is the rub – Their partly right. 80% of Real Estate license holders do not, in any way, have the professional acumen to professionally represent someone in the purchase process. Homebuyers get to excited to get out and look at homes and forget that they are about to spending hundreds of thousands of dollars and therefore should slow down and make sure they are protected. In most cases the Homeowner unknowingly turned down the Professional Agent they should work with because that Professional wanted them to sit down for a consultation and even ask them to get their Pre-Qualification fully in place before viewing homes. The homebuyers skips this because of their enthusiasm to “just get out there and see homes” and works with the first agent that will jump out and open some doors. This is the first domino that falls that subsequently puts the homebuyer at a disadvantage every step of the way forward. More on how this consultations sets you up for success on our website here.

4. They don’t make themselves a prepared and educated buyer

There is a totem pole of quality buyers that any good listing agent looks for when representing the client that is selling the home. Buyers may think they are on the top of that totem pole because of some reason they feel is relevant. (i.e. good credit, money in the bank, solid job, etc etc. You’d be surprised). In the Real Estate market, good listing agents only care about what you can prove up front, not what you promise to prove later. Many clients come to us after losing out on a house they loved or because they keep finding houses that are already under contract. Don’t miss out on your dream home because you weren’t disciplined enough to prepare properly to purchase such a large asset. These are just a few of many things sellers and agents look for before accepting a purchase contract.
Did your agent present the offer cleanly and professionally. – This sets the tone for the transaction to come. First impressions are important. We’ve seen many great buyer’s miss out on the house they wanted because their agent was either inexperienced and/or arrogant in their approach.
Is all of your supporting documentation fully completed? – Is your mortgage prequalification fully documented? Is your proof of funds attached for your down payment or cash offer? How educated and prepared are you for the inspection period, appraisal period. In other words, are you ready for this transaction? A good agent will show the listing agent what a quality buyer you are…. IF you are.
How well does your Lender communicate? Lender issues are the #1 reason transactions fall apart. (Followed closely by Buyer mis-education). Just because you have a friend in the mortgage business doesn’t mean you should use them. This person can make or break the transaction on their communication and due diligence alone. More on this in our blog.
Do you understand where on the totem pole you exist? There is nothing worse than a buyer that doesn’t understand the reality of their situation. They fight the facts tooth and nail and end up going through 3 or 4 different agents before finally getting a house they really don’t want. Then they blame everyone else. Just silly…. More on the totem pole in our blog.

3. You haven’t met with and interviewed a professional agent up front. (BEFORE anything else)

You’d be quite surprised how absolutely important this part of the process can be for any homebuyer. First of all, a Professional Agent won’t likely represent a buyer without this upfront consultation for too many reasons to get into here. Even better, this gives the homebuyer an opportunity to interview the agents that will be responsible to educate, protect, set expectations, and negotiate on their behalf. ABC…. You may think your working with an ‘A’ Agent when in fact your working with a ‘C’. You don’t know your working with a ‘C’ until you meet a ‘B’…. See where I’m going here. This is important because the right agent can save you the house of your dreams, money, time, stress, and much more. Not properly vetting an agent is one of a few main reason why consumers are not happy with agents in general. It’s important to know that less than 10% of Real Estate license holders would actually qualify as a professional. The rest have a hobby…at best.

2. You working with multiple agents at one time and you’ve convinced yourself that there is value in doing so.

This really is just coming from a general distrust for agents, not based in actual fact. Rightfully so I might add. The average consumer has a 90% chance that they will land with 1 (or more in the case) agents that really shouldn’t represent anyone on the purchase of an asset worth hundreds of thousands of dollars. Here is the thing though, it doesn’t matter if it’s 1 or 5 agents your working with if none of them are qualified to do the job that needs to be done. Solution – See #3. Once you’ve danced with some of the license holders, it will be quite easy to identify the pro AND they will do the work of 20 agents in less time. How? They are business people. They understand the value of leverage, systems, processes, and negotiations. They understand how to represent the client in a way that’s advantageous to the client reaching their goal. No excuses: they represent the buyer for free in most cases. The seller pays them a commission for bringing a qualified buyer to close on the home.

1. Everyone is money hungry

Zillow, Trulia, Realtor.com, Redfin, etc, etc, etc… You name it, they are all in the business making money off of people that visit their sites. All of these sites have figured out a way to manipulate the consumer market into giving up their contact information. They then sell that contact information to agents. The real gem here, is that none of them are accurate enough for a serious home buyer to depend on. Brilliant marketing manipulation though. They can convince you that a “premier” agent is the way to go. The only qualification one of those agents needs to have is a check book. Write one of these sites a check for big money every month and they’ll tell everyone your great. You don’t actually have to be. More on this in other blogs as it’s one of the worst forms of influence and a big contributor to the disconnect between consumers and agents.

If you are looking for professional representation, feel free to visit the buyer’s section of our website. You can browse additional information about the process and how to properly prepare yourself. If you are serious about purchasing in the next 1-2 years, please do not hesitate to reach out to us for a consultation. It’s free, and can make a huge difference in your experience. BTG Real Estate is a no pressure team. Our goal is to be a trusted professional resource for our communities so you can feel confident about reaching out to us without the pressure of having to ‘buy now’! Let us help you prepare to be the best buyer you can be now or in the future.

GET IN TOUCH

480-626-5034

Inquiries@btgrealestate.com

2077 E Warner Rd Ste 110,

Tempe, AZ 85284