Debunking Some Common Real Estate Myths

There is a lot of misinformation out there when it comes to real estate and how a Realtor operates. We’re here to clear the air.

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The world of real estate is full of misunderstandings and misconceptions. Today we are debunking some of the most common real estate myths we hear from clients regularly. Here they are:

1. Agents want you to pay a higher sale price so they can get a higher commission. Realtors are professionals, so when they ask you to pay close to, at, or even above list price, it’s because they know the property is worth that much. In today’s market that has such low inventory, some homes are only on the market for a few days. A lot of times, these homes will sell over asking price if they are receiving multiple offers. Give your professional trust and know they are going to do their part.

A strong agent is worth their commission.

2. Listing my home at a lower commission will increase the profits from my sale. Like many things in life, you get what you pay for with a Realtor. When you hire a professional, don’t focus on their commission first.You want to hire someone for the experience they bring to the table, the negotiation skills they have, and their track record of helping people sell homes. Top agents don’t discount their commission for a simple reason. If they are willing to discount themselves, how willing are they going to be to discount your asking price? A strong agent that knows how to market your home has confidence in themselves and their abilities. You don’t necessarily make more money with a lower commission because you’re getting a worse agent most of the time.

3. Realtors get kickbacks from lenders and inspectors. Not only is this not true, in some cases it is illegal. In certain states, it’s against the law for lenders, inspectors, or other individuals to give kickbacks to Realtors. When you get a recommendation from your Realtor, it’s likely they have already worked with, had success with, and established a working relationship with your Realtor.

These are just a few of the myths we hear all the time. Next time, we’ll be back to cover even more of them. Until then, if you have any questions for me at all, don’t hesitate to give me a call or send me an email. I look forward to hearing from you!

How to Get Your Offer Accepted

Multiple offer situations are becoming more and more common here in Texas. I’ve got some advice to share with you that will help you get the home you want if you find yourself in a situation like this as a buyer. 

Selling in the greater Houston area? Get a market analysis report

Purchasing in the greater Houston area? Get full MLS access

Don’t wait to see what other people are going to offer. In a multiple offer situation, the seller has a ton of options. They can counter every offer, reject every offer, or accept one right off the bat. Go with your gut and put your offer in right away.

To make your offer stand out among others, there is a lot you can do. One thing would be offering a good sales price. A lot of times I tell people that if they really like a house, they need to put their best foot forward. That goes with earnest money too. Put down a minimum of 1% to show the buyer you are serious. Another thing you can do is shorten the number of days in your option/inspection period. Sellers will know you are more serious if you ask for five days as opposed to seven or 10. 

"Put your best foot forward if you like the home."

A qualified professional will be able to help you make your offer desirable in additional ways. They can advise you on what kinds of terms to offer in regards to the sale price, earnest money, option fees, closing costs, asking for a survey or not, and many other aspects of the contract. A good agent will research and ask the listing agent questions ahead of time to make sure the offer you present is the most desirable. 

If you have any questions for me, don’t hesitate to ask. I am always here to take your call or respond to your email. I look forward to hearing from you.

We’ll Help You Get the Best Loan Possible

If you’re out there looking to buy a home and want to get approved for a mortgage, reach out to your local Realtor first. As a local expert, Realtors like myself have access to lenders who can help you with a home purchase much better than a big bank can. 

It’s not necessarily true that larger institutions can serve your needs better. The big banks are like general practitioners of financing. They will be able to tell you what you need, but might not know all the options you have. Our lenders are more like specialists. They are masters of the trade and when an issues come up, they are better equipped to handle them. 

"With the larger banks, you’re just another number."

Larger institutions are quick to issue pre-qualifications. They get your name, credit score, and basic info. They don’t get any official documentation. That’s ultimately not good for you. A mortgage lender will take this same first step as a big bank, but they will take that extra step to collect documents ahead of time so it’s much less likely that you’ll default or not be able to afford your mortgage.

An additional benefit to working with one of our lenders is our relationship with them. With the larger banks, we’re just another number. We don’t necessarily get the same person on the phone each time so we can ask specific questions. With my preferred lending partners, I can call and ask them about your specific situation, and give them specific properties to run the numbers so you know what you are bringing to closing. You can go in with your eyes wide open and know what you’re getting into financially.

If you have any questions, give us a call or send us an email. We would love to hear from you.