I received a call last week from previous client of mine letting me know they had referred me to a family member looking to buy a home. I would be working as the co-operating agent representing the buyers.
After a brief discussion and a few emails I set up a property search and by the weekend we had a short list of places to see.
I booked 5 showings all within $30000 of each other. The showings were going well, then we walked into the 4th home on the list. The property was stunning, miles above any of the others we had seen that day. There was a busy open house and the listing was only 2 days old.
My clients were talking offer the moment we walked out the door and wanted to know what to do next...
Have you ever been shopping for a pair of shoes, jeans, maybe a TV and find what your looking for in the first store you go into to? For some reason any time I buy the first thing I see I end up seeing it or something better on sale for a wicked price 2 days later and feel sick to my stomach. When I don't buy that perfect item and hunt the rest of the day to be sure nothing better is out there it's always gone by the time I return.
Now that's just a pair of jeans or shoes... making that mistake with a home hurts a lot more.
Prior to going out with my clients that day I told them that even if they find the perfect home on our first time out I would insist on showing them several more homes just to be sure and avoid buyers remorse.
If you fall in love with the first home you see (and it's not set up for multiple offers) this is what you or your agent should do:
1. Register an offer on the property immediately (especially if its a new listing with a very busy open house)
2. Include at least one condition (3 day financing or inspection clause will work)
3. Submit the offer with a certified check/money draft and book appointments to view other comparable listings within the conditional period.
The aim is to get the property off the market by binding the sellers to an agreement you can walk away from within 2 to 3 days should something else be found. Don't go looking at more houses without first tying down the one that feels right. The premise is you've fallen in love with a home but want to protect yourself from your own ignorance, it's the first home you've seen not the 15th.
Make sure your deposit is certified because if you choose to walk away certified funds are released sooner than non certified funds and most people don't have two deposits sitting around.
Now that everything is tied up and you've secured the property go have a look at similarly priced properties currently listed.
In my opinion an agents job is to protect and advise his/her clients and provide the proper strategy for each deal. The general paper work, the showings etc... not exactly rocket science, protecting people even when it may come at a financial expense is how an agent is supposed to earn their keep.
I booked 6 showings in the immediate area, all comparable in size, style, and age, within $30000 of the desired property. It took us 2 hours and in the end my clients were 100% sure they made the right decision. Every home we visited made the property they conditionally purchase look better.
We waived our conditions and the deal will close at the end of the month.
When it comes to Real Estate you want to avoid surprises, disappointment, and excitement. Always do your due diligence. Strategies exist to make sure your making the right move you just need someone with the knowledge to employ the proper strategy at the proper time.
Oh, regarding shoe shopping, ask the store to hold your desired item for a few hours and take a business card... My girlfriend Samantha taught me that.
Jimmy Vlachos - Core Realty Group Inc., Brokerage - 416-953-0781
