Why A Realtor Is Important
In this turbulent real estate market everyone is trying to get the best deal possible on a new or previously owned home, and sometimes that means attempting to fly solo without a Realtor. Experienced real estate investors with many deals under their belt are usually very savvy and can get deals closed with little, if any problems. This can be a major mistake, and can lead to frustration and heartache if attempted by the inexperienced.
A Seasoned Realtor not only knows their respective market but are also connected with a network of other pros to help them (and you) get to the closing table without a hitch.
This network including but not limited to, quality builders of new custom homes, lenders to finance your home, title companies, home inspectors, etc., are chosen by each Realtor from many past experiences, and gives them the edge needed to give their clients a low stress rewarding experience.
Some clients are under the illusion a Realtor just makes too much money. Let me tell you they earn every penny! For every “easy deal” that comes their way, there are many more that are a struggle all the way through to the final closing and signing of the documents. And please know that each Realtor does not always make 6% on every sale! The real estate commission can be split four ways between the agents involved and their brokers, or a resulting percentage of the commission goes to the home office. Many times they have to get right in the trenches, helping to do other peoples’ jobs to get things done on time. The client is usually unaware of the “behind the scenes” activities, and only sees a small percentage of what the Realtor does for them.
If you want to see how “easy” it is to sell real estate just look at how many agents have let their license expire in the last two years. Kudos to those who have hung in there and adjusted to this ever changing, challenging market.
An experienced Realtor keeps up with real estate laws, constant flux in the housing market, all the different subdivision covenants, and many other ever changing issues to make sure their clients are protected and taken care of.
Help narrow down what you may be looking for ahead of time (your agent will help you with this), be realistic about what you can afford and by all means go take advantage of this market. Whether house hunting through the assistance of a Realtor or directly with a Custom Home Builder, it is always advisable to contact a lender to determine what you can afford in a new home. This will make the entire house hunting experience less stressful by not having to walk away from a potential dream home you can’t live without, only to learn from your lender it is out of your price range.
The Treasure Valley, located here in Southwestern Idaho, has some of the finest quality custom builders in the country that are proud to be marketed by professional real estate agents waiting to help you.
Thanks to all of the agents for their hard work!
Contact me if you should need a referral. Happy house hunting!
You Get What You Pay For
The single most important thing to remember when comparing bids from different builders is to compare materials used and any allowances given, apples for apples.
When it comes to residential construction, most problems and misunderstandings arise from clients accepting the lowest bid on their project without looking closely at the details, only to later find themselves frustrated and disappointed with inferior materials and substandard workmanship. As most of us have experienced, sometimes paying just a little more for something would have actually saved you money in the long run.
Ask a lot of questions and don’t make a decision until you’re satisfied with all the answers. I am very transparent when it comes to pricing. When I give you a bid you’ll know everything it includes, right down to the hardware brand and style.
Watch Out For Square Footage Quotes
This is by far the number one question I am asked.
In the last several years or so, the majority of buyers and real estate professionals have used this number to determine a home’s perceived value when comparing similarly sized properties. With so many variables involved, including but not limited to, lot price and location, style of home, materials used, amenities chosen by the buyer and many other factors, the average 2,500 square foot home price can vary tens of thousands of dollars.
Some builders advertise a low square footage price to attract potential clients to an initial meeting, only to have them be disappointed to find that the materials used and allowances given would not even meet my minimum standards. I simply won’t conduct business in this manner. My homes usually include most of the amenities some other builders consider upgrades or extras. Building trust begins with the very first handshake and I would prefer to have my clients know when I build their home they’ll receive true value for their hard earned money by getting more than they expect…not less.
Keeping The Client In The Loop
Another factor for knowing what is happening on any given project is how well the builder keeps you informed, and if you can find him at the job site on a frequent basis. Getting references are always key in determining the builders’ mettle for keeping and working with his clients in a cohesive manner.
In doing a recent build job for a client of mine, I made myself available to them on a consistent basis as is commonly my practice. I was at the job site everyday so my clients would in most cases catch me there at any given time. A relative of theirs went with another builder based on a much lower bid. Since both houses went under construction, my clients have expressed to me time and again how pleased they are, and have learned through this process you literally do get what you pay for, and their relative has had a very stressful and frustrating experience with his home. His builder made himself available very little to him. In some cases the builder didn’t know how to accomplish certain aesthetics of the home so he could not include them in home options for an upgrade. My clients’ relative now only wishes I had built his home as well. With such a huge difference in price, the other builder has no choice but to cut corners with materials and craftsmen.
How interested do you think the builder is going to be to come to the job daily to make sure the job is done right when he is losing money?
In some cases these type of builders can’t pay the final bills on the home, go in the red, and the poor homeowner ends up stuck with liens placed on their new dream home. This unfortunately can be the cost of choosing the builder with the lowest bid!
So the end to this story is when comparing homes for a build job, paying for a hands on, reputable builder will give you the home you desire and will save you money down the road while providing you with a truly enjoyable experience.
