I’m thinking of buying a house without a real estate agent to save money. Is this a good idea?
The buyer does not pay a fee or commission to their agent. This fee is paid by the seller. Therefore, you will not save money with regards to the agent commission should you choose to buy without representation.
Competent buyer representation can save you money and countless headaches that can occur during a real estate transaction.
What is a Buyer’s Agent?
In most real estate transactions there are two agents, representing two parties. There is the Listing Agent who the seller hired to offer their home on the market, and there is the Selling Agent, the agent who procures the buyer to purchase the property.
A Buyer Agent relationship is created when it is agreed to, in writing, between the Selling Agent and the buyer.
Once established, the Selling Agent is now the Buyer’s Agent and has a fiduciary duty to represent you, the buyer, during the transaction.
Can I be notified of new Toronto homes as soon as they come on the market?
Yes. If you are working with me this has already been configured for your search criteria. If not, you can quickly, with no-obligation, create your own, automatic search using our website.
Simply use any of our search methods and click register to create an account.
Login to your new account. Once you are logged in, simply perform a property search using our website. When your search results appear, click ‘Save Search’ Once saved, our server will perform this search daily and email you any new listings.
Our search encompasses every home listed by every real estate agent throughout Toronto and surrounding areas. Using our system, you can create an unlimited amount of these saved searches.
How much off listing price should I offer on a house?
I will pull comparable listings for properties similar to the one you are considering. The comparative listings will include homes recently sold and those currently on the market. Using this data, I will be able to advise you on the fair market value of the property.
What happens if the property doesn’t appraise for the price I offer?
Your offer will be contingent on obtaining financing. Early in the search stage I can help you in getting pre-qualified for a mortgage if financing is required.
If you are pre-approved, but fail to actually receive loan commitment, there are a few options. One option is to walk away from the transaction. The second is to renegotiate the contract price to the appraised value, and the third is for the seller to pay the difference.
Your mortgage broker and I will assist you during this process, should it arise.
Are all mortgage companies basically the same?
No. It is critical that you do your research when choosing a mortgage company and mortgage broker. I can provide you with companies and representatives that I have previously worked with, and have a proven track record in the industry.
You are under no obligation to use any of the recommendations. Talk to your friends, family and co-workers. Do some research on the Internet? Fees and interest rates vary greatly.
Is it necessary to get a home inspection, or can I save money here?
You must get a home inspection. A home inspection only costs a few hundred dollars. Never let exterior looks or emotional attachment, prevent you from protecting your investment.