Steps to Buying A Home
Go to Steps to Selling Your Home

The first step to buying a new home is to understand legally who the real estate agent represents. For this, you need to understand the concept of agency.

Understanding Agency

In the traditional brokerage system, all the real estate agents are on the seller's side of the transaction. Under this system, all real estate brokers and their agents (including the agent who sells you the home) are agents for the sellers and have a duty to represent the seller's best interests, including:

Negotiate for the highest price possible, and
Structure the transaction to the Seller's advantage.

Buyer Agency Brokerage System

Under the buyer agency brokerage system, the selling real estate broker (the agent who sells you the home) is the agent for the buyer and has a duty to represent the buyer's best interest, including:

Negotiate for the lowest price possible, and
Structure the transaction to the buyer's advantage.

Dual Agency Relationship

A dual agency relationship results when the buyer-client wishes to purchase property that is listed with the same company (an in-house listing).

The broker/salesperson becomes a mediator for both buyers and sellers. In this case, the broker/salesperson cannot disclose:

Price seller is willing to accept
Price buyer is willing to pay
Personal confidences that may put one party at a disadvantage.

Designated Agency

A buyer or a seller with a designated agency agreement is represented only by agents specifically named in the agreement.

The named "designated agent" acts solely on behalf of his or her client
Eliminates dual agency in most instances
CMW Real Estate, inc. practices designated agency

Agency Disclosure Form

The agency disclosure form is signed at first meeting. The form explains each of the following terms and requires that you choose one.

Seller's Agent
Buyer's Agent
Dual Agent
Transaction Coordinator
None of the above.

More . . .

Determine price range. Helpful to talk to a mortgage lender for pre-qualification or pre-approval. (good link here)

Discuss what housing needs exist and your wish-list

Compile list of available properties which may suit your needs in your price range.

Schedule appointment to view properties.

Write purchase agreement (offer) on selected property. An earnest money deposit of 1% should accompany the offer.

The purchase agreement will be presented to seller (typically by listing agent for property) and price and terms will be negotiated.

Once an offer is accepted by all parties the buyer has a 10 day opportunity to conduct inspections.

Buyer makes formal mortgage application within first 5-7 days.

Buyer may choose to have an attorney review documents prior to closing.

Closing generally occurs 30 - 45 days after the formal mortgage application.

Possession of the property or occupancy date is negotiated as part of the purchase agreement.

Steps to Selling Your Home

Go to Steps to Buying A Home

Intial home tour with #firstname# #lastname# to gather information and history of the home.

Bobby returns with a listing presentation including a competitve market analysis, pricing discussion and marketing plan.

Formalization of listing agreement with explanation of Home Seller's Disclosure, dispute resolution, completion of listing forms.

Place the For Sale sign.

Submit listing to Multiple Listing Service.

Your property could be a featured listing on Bobby's Web Site; using interior and exterior photos of your home showing its special features.

Install a lockbox to aid in showings.

Tuesday following listing, include home on office tour of new listings.

Create and print customized promotional material for your home including color photos and highlighting your home's best features.

Hold timely Open Houses if appropriate.

Constantly monitor and record showing and Open House results.

Advertise the property in the appropriate publication.

Follow up with feedback after agent showings.

Steps to Buying A Home Go to Steps to Selling Your Home