What’s the difference between a Listing and Buyer’s Agent?

The Listing Agent represents the Seller’s best interest and is responsible for creating the activity necessary to obtain the best price, in the shortest period of time, with the least inconvenience to the Seller. The Buyer’s Agent represents the Buyer’s best interests and is responsible for making the Buyer aware of all listed properties that meet their criteria, getting their Buyer pre-approved for financing, and educating them on property values.

Should I work with more than one Buyer’s Agent?

No. In our area all real estate professionals are members of the multiple listing association and have access to the same properties for sale. Commit to one agent and expect superior dedicated service.

Who pays the commission and how much is it?

The commission is paid by the Seller and is based on the sale price of the listed home.

What is the MLS?

The Multiple Listing Service is an association to which property listings are submitted. Almost all real estate companies belong and share their listings. The MLS is the main database to obtain information and all members have equal opportunity to sell the properties listed.

What is earnest money?

Earnest money is a good faith deposit a Buyer makes when they make an offer to purchase a home. The earnest money is usually applied to the down payment and/or closing costs of the Buyer. However, if the Buyer breaks the terms of the contract by misrepresenting their financial status, failing to provide earnest money when due, or by failing to complete the transaction in accordance with contract, the earnest money can be lost to the seller. The earnest money is refunded to the Buyer if the seller does not accept the Buyer’s offer, the Seller cannot provide marketable title, the Seller fails to complete the transaction in accordance with the contract, or the Seller fails to complete any condition which the Buyer has made an express contingency in the agreement.

Do I need to have the home I want to buy inspected?

Yes. Even if the home appears to be in perfect condition, it is recommended that the Buyer hire an inspector to evaluate the condition of the property. The inspector will thoroughly examine the property and issue a detailed report. I provide a list of suggested inspectors to my clients as well as more detailed information about the inspection process.

What is an appraisal?

An appraisal verifies the value of the property by looking at other recent sales in the area. It is performed by a licensed appraiser who is selected by the Buyer’s bank or lender. An appraisal is primarily done to assure the lender that they are not loaning more money than the house is worth.

What is title?

A title search is done before a home sale can be completed. A title search ensures that the Buyer is getting all the rights to the property (title) that he or she is paying for. The title company insures there are no recorded liens against the property that will affect the marketability of the title.

What is escrow?

Escrow is the independent, impartial party who prepares and records closing documents according to the terms of the Earnest Money Agreement. The escrow company obtains all necessary documentation to clear title to the property and collects all required funds from the appropriate parties.

What is closing?

Closing is the point in time when the title is transferred and recorded with the County. It is also when the Seller is paid. It may or may not be the date the Buyer takes possession. Closing and possession are often different. Also note that closing is not the same as signing!