April 29th, 2008 5:19 PM by Manuel Couto, CRS, CRB
ok,
The wonderful thing about a blog is that it allows a reader, and a writer, a glimpse into a small window of what they both may or may not see.
Eh? I have the wonderfully hard job of being a Realtor in todays' market. Mind you, a Realtor has to follow a strict code of ethics and belong to the National Association of Realtors. But what the general public does not realize is that right now, an experienced REALTOR should be worth his/her weight in gold. They probably have been through a market like this and know where it should be going... when it gets there will be anyones guess, but experience counts.
What do I mean? Well, I have been doing this for over 26 years and yes, I have seen a similar market where the phones just did not ring. It's here again (ok, let's add in a bad pun and say I don't hear the phones ringing). But the phone calls that do come in are from interested and excited buyers. Buyers that need the direction of the Real Estate industry and the Mortgage industry to get the best programs and rates.
AHHHH, there lies the problem with the inexperienced Realtors and Mortgage People (anyone remember that horrible commercial..."I can sell your home?") Right now Realtors and real estate agents are hungry to sell you homes, and bankers are hungry for you business... but in many cases NO ONE KNOWS HOW TO PACKAGE THE LOANS AND OFFERS!.
Geeze louise! If buying a foreclosure or short sale or other home that needs work, look for an experienced Banker that knows how to do a REHAB loan and not do the deal as a regular loan. You may have the best credit and documentation in the world, but if the house does not qualify, YOU ARE NOT GETTING A HOME, OR A LOAN.
It hurts to say don't believe someone when they say they can work it out.. but heck..do you need that extra stress? The rates on most of these rehab loans are just about equal to regular rates..and you can get some money up front to fix up the house. (NO, DO NOT go over your head in bills, be safe and cautious, especially in todays world.). www.FeedThePig.ORG is a GREAT site to run numbers and to learn basic financial responsibility, but I'm changing the subject.
Look for an experienced REALTOR when shopping for home. If your Realtor has limited experience or no experience in a market such as this, make sure that they have a strong support system (office staff and banker contacts that do have experience). In some cases, an less experenced Realtor may serve you better because they have the dedication and drive to learn and to treat the Real Estate Market as a business.
Either way, DO NOT BE AFRAID of shopping for a home ("But the price may drop and I would have paid too much, what happens if the price drops more, but I don't want to spend the money") Yep, I've heard it all before and all you have to remember is that:
1. They're not making land anymore
2. You need a place to live, it may as well be yours with low prices, high inventory and low interest rates, this may be the opportunity of a lifetime
3. If you were really worried about prices dropping, you would not be driving a new car!
My resume is posted on my site and shows the courses that I have taken to better help my clients and customers.