The Fayette Citizen-News Page
Wednesday, June 14, 2000
What homebuyers don't know can really hurt them

Homebuyers, there are things your agent may never want you to know.

“Your agent may not always tell you the absolute, unvarnished truth, especially if it isn't in the seller's interest,” says Richard Roll, president of American Homeowners Association (AHA). “That is why it makes sense to hire a buyer's broker.”

Here are some of the biggest omissions agents make:

“You can use other agents.”

If you haven't signed an exclusive agreement with one agent, why limit yourself? Take a few agents out for a test drive.

TIP: Don't sign an exclusive contract until you're sure about the quality of service you're going to get.

“You are the only buyer biting on this house.”

If you are the only buyer involved, you'll be the last to know. Most agents will never disclose that you are the only one on the hook. Why? Because you might offer less money (result: their commission goes down).

TIP: Unless you are using a buyer's broker, forget finding out about this one.

“This house has been empty for a long time (and for good reasons).”

Why turn you off before you even take the tour? This is another reason you may want to hire a buyer's broker. A buyer's broker is free to disclose any home's defects or drawbacks, including stigmatized properties.

TIP: Do your own research when you suspect a home has a sordid past.

“I'm not doing everything I can for you.”

Who would admit they are neglecting a client?

TIP: Look for an agent who scours the homes and neighborhoods for important information, such as school information, crime rates, long-term property values, etc.

“My fee is negotiable.”

Broker's fees are NOT set in stone. Brokers' fees typically run 6 percent of the final sale price. But nothing says you can't bargain for less, to bring your costs down.

TIP: Keep the agent's fee in mind as a negotiable cost.

“The seller can kick in closing costs.”

Did you know that you can ask the seller to help pay for closing costs?

TIP: Sometimes a small amount of money can close the deal.

“I am talking to the seller.”

Unless you using a buyer broker, your agent could disclose anything you say to the seller.

TIP: Keep quiet about how high you are willing to go.

For more information on any aspect of buying or selling a home, go to http://www.ahahome.com or www.realhome.com, the web sites for American Homeowners Association.


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