How do we choose a real estate agent?
Question of the week: How do we choose a real estate agent?
Answer: Let’s start our answer with another question.
What skills will be most beneficial to you in your real estate transaction?
Knowledge of the market, in general and to the area where you are looking to buy or sell.
Knowledge of the legal requirements of residential real estate sales; forms, disclosures, fiduciary requirements, seller disclosure requirements, contract completion and clauses.
Good working relationships with affiliated services you will be using, such as lenders, escrow companies, title companies, inspectors, home services, depending on if you are buying or selling, contractors from plumbers to landscaping.
Wrapped into all of these is communication. The real estate industry is essentially a communication business that works best when everyone involved in a transaction, buyer, seller, agents, lender, escrow, title, appraiser, inspectors, all communicate openly, honestly, expeditiously, and respectfully.
Finally, putting you and your wants and needs above their own. This comes back to honest communication. Ane agent who says “you can’t get what you want in this market/area/your abilities” is much preferred to an agent who says, “no problem…” Too often clients working with no-problem agents take longer to buy or sell their home than clients working with agents who address the issues that may limit or prohibit you from getting what you want and show you the compromises needed to get what you need.
Where to find such a person? Primarily through your network of friends, family, neighbors, co-workers, professionals such as attorneys, accountants, financial advisors.
Some entering the home buying or selling market find agents through open houses, or calling about a home they see for sale. If meeting an agent “cold,” ask for two or three references from recent transactions.
Before signing a contract with an agent, meet with them and interview them. What do they enjoy about the business, what is their view of a “good transaction,” how do they communicate, what do they see as your biggest hurdle(s) to the desired sale or purchase.
During an interview you will determine if there is “chemistry,” which is very important as buying and selling your home is typically a very emotional and stressful situation. It is your primary asset, you may be committing most or all of our savings, there are deadlines, details such as having to move, setting up utilities, transferring mailing addresses, possibly relocating children to new schools, issues that may come up that while solvable add stress. As such, you will want to be working with someone you trust, you respect, you know will be open with you, and that you like. You don’t have to be best friends, but you do need to get along and not dread making or getting a call.
Two keys to a successful real estate transaction are a good agent and a good lender, make sure you have both in hand before starting your process.
To schedule an initial meeting by phone or Zoom, click here for my calendar, please feel free to forward to a friend or family member!
Have a question? Ask me!
Ooops! Last week I predicted this week’s release of 1st quarter GDP would exceed the consensus expectation of 2.2%. I missed, but so too did the consensus. The “miss” was well below my prediction (close to 2.5%), and below the 2.2% consensus on Wall Street, the data showing 1.6% growth in the quarter. The 1st quarter growth in the economy was extremely slower than the prior quarter that grew at 3.4%. A slowing economy is positive for lower rates, but…
Prices not shrinking. The Federal Reserves preferred inflation index the Personal Consumption Expenditure (PCE) rose 0.3% for the second month in a row, and the year-over-year index rose 2.7% in March, up from YOY increase of 2.5% in February. Inside the PCE report was data showing consumer spending was up a robust 0.8% in March, with wages outpacing inflation, increasing 0.5%. Instead of inflation approaching the Fed’s target of 2.0% it is moving further away.
The back-to-back GDP and PCE reports are concerning for economists and investors as a slowing economy in a period of high inflation results in stagflation. Stagflation is a very challenging economic phase to get out of as there are limited remedies that can be put into place by a central bank. The best way out is an increase in investment by businesses to grow the economy, draining money from salaries and retail like purchases. Essentially growing the backbone of the economy while seeing limited demand and spending from consumers to tame inflation. A delicate tap dance that can take a prolonged period of time to conclude.
Rates for Friday April 26, 2024: Early week dip in rates as a result of the poor GDP growth were reversed with the PCE inflation data. As a result rates are flat from last Friday.
FIXED RATE MORTGAGES AT COST OF 1.25 POINTS LOCKED FOR 45 DAYS FOR PURCHASE TRANSACTIONS:
30-year conforming 6.875% Flat
30-year high-balance conforming 7.625% Up 0.125%
Please note that these are base rates and adjustments may be added for condominiums, refinances, credit scores, loan to value, no impound account and period rate is locked. Rates are based on 20% down with 740 FICO score for purchase mortgages.
The worst part of my lame-knee status keeping me pretty much home bound for the next month is that my beloved Phillies are on a Southern California road trip to San Diego today through Sunday, then coming to Anaheim for three games against the Angels. Were it not for the new engineering in the right knee I would see at least two games of each series.
Sacrifices one doesn’t realize they have to make as a result of medical procedures.
Have a great week,
Dennis
Past Weekly Rate & Market Updates can be found on my blog page at my website www.DennisCSmith.com/my-blog
