How Realtors help Edmonton home buyers
There are several reasons why buyers prefer to work with real estate agents when buying a home, even when a buyer has sold their existing home via "For Sale by Owner". A few of these reasons include knowledge of the ever-changing markets, expertise in both negotiations and communities, experience and exclusive real estate tools.
A large portion of Canadian Real Estate Agents has earned their ABR (Accredited Buyers Representation) designation, which means, these REALTORS® have completed the education needed to service buyers with a higher standard. REALTORS® who are representing buyers expect to get paid for their services at some point in time. It is usually within a few weeks of the buyer taking possession of their new home. In the province of Alberta and to ensure real estate agents are compensated for their services, a mandated agreement by RECA (Real Estate Council of Alberta) will need to be signed. It explains how much, the term of the agreement, what services will be provided and other relevant information.
If you have questions - ASK. Never sign anything you do not fully understand. Real Estate Agents deal with forms on a daily basis, and most of us can explain listing and purchase agreements without even looking at them. A good REALTOR® should have gone through each agreement and address questions or concerns you may have had. Near the bottom of both the Buyers Agreement and Sellers Agreement, there is an acknowledgement clause prior to signature placement. In an Exclusive Buyer Representative Agreement, it states...
- 14.1 You acknowledge that:
- (a) you have read this agreement.
- (b) you have received and read the Guide.
- (c) this agreement creates a sole agency relationship with us, as the Guide describes.
- (d) you had the opportunity to get independent advice from a lawyer before signing this agreement.
- (e) this agreement accurately sets out what we and you agree to.
This means you can obtain legal prior to signing or you may want to take the agreement home to read over more thoroughly. These agreements are not rocket science, but knowing what you are signing is important.
- REAL ESTATE TIP#1: "The Guide" is referring to the Consumer Relation Guide which explains how the professional relationship including fiduciary duties and the real estate agency will interact with each other.
- REAL ESTATE TIP#2: Buyers Real Estate Agents, normally do not charge an extra fee above what is offered by a seller, unless otherwise agreed in writing.
Have a real estate question? We are here to help. Contact us anytime
Top 5 Interview Questions to Ask Edmonton Realtors when Selling
With so many types of residential real estate, Edmonton agents are beginning to specialize in a wide range of residential fields. Over the last decade, there have been ample changes in the real estate business and specializing has become the norm. These fields can range from buyer agency, infills and new builds, relocation, luxury homes, seniors, military, condominiums, foreclosures, etc. There are over 3500 real estate agents licensed with the Edmonton Real Estate Board, most actively practising, allowing homeowners several choices finding a Realtor who can properly target market their property. Below are the top 5 questions to ask any Edmonton Real Estate Agent.
How long have you been in the business?
You may have found an agent online, because they are extremely tech-savvy, but may lack experience. An "old-time" REALTOR® may have several years of experience but lack the marketing knowledge they need to expose your property to qualified buyers. A long time in the real estate business is always a benefit because it creates the experience. Agents who have been in the real estate business for a few decades have experience in both good and bad markets and will know how to adjust. These real estate agents usually have larger databases, are the most creative and think outside the box.
Do you have another part-time job?
Listen carefully to the answer. REALTORS® who are not full time, may not be as motivated to get your home sold. Real Estate is an expensive business with company fees, licences, photographers, graphic designers, vehicle maintenance, office tools, conveyancing fees, signage, desk fees, websites, internet syndication systems, etc. and if an agent needs another part-time job to survive - that agent may not care whether your home sells or not. Every REALTOR® must be full-time to join our REMAX team to ensure our client's top-notch service.
How do you prefer to communicate and how often?
This is a two-way question. As licensed real estate agents in the province of Alberta, we are obligated to work in our clients best interest. This means, if you prefer to be notified of showings via phone calls, emails or text messages, your agent will need to know this. Some agents will only send you a text and assume you received it. Ask how and how often you will be notified of feedback from other agents who have shown your home. Ask how they plan to stay in touch with you. You do not want an agent to list your home and you don't hear from them until either you receive an offer or your home is about to expire. Select an agent who communicates well to eliminate confusion.
Do you do Open Houses?
Not all real estate agents do open houses. If you live in an apartment condominium, it may also not be allowed. - Check your bylaws! Some REALTORS® love doing open houses because it gives them the opportunity to pick up more buyers and sellers. Some agents prefer not to due to the fact they are responsible for every person entering your home during the time allocated.
Other Questions you may also want to ask include
- Education. Ask about degrees and certifications.
- How many transactions have you been involved with in your entire career?
- How many transactions have you handled year-to-date?
- Have you ever been subject to disciplinary action?
- Are you a listing agent or a buyer's agent?
- What price range do you generally work in?
- Do you have a network of other productive agents which you work with?
- What would you say are your strongest attributes as an agent?
If you have a selling question, feel free to ask. We are here to help.
Did your Home Get Stigmatized?
In real estate, a stigmatized property is a property that buyers may shun for various reasons other than its physical condition or features. These reasons can include the death of someone who was occupying the home to a murder that has taken place inside the property. Some buyers believe the house may now be haunted.
When a death occurs inside a home, it may not always be disclosed to a buyer. Although when there has been a murder, it is usually public information and can be found on the net. According to the Real Estate Council of Alberta, a murder on the property does not need to be disclosed.
Many jurisdictions recognize several forms of stigmatized property and have passed resolutions or statutes to deal with them. One issue that separates them is disclosure. Depending on the jurisdiction of the house, the seller may not be required to disclose the full facts.
When a home is considered a stigmatized property, the selling value may be decreased to attract more buyers. These houses are priced accordingly and purchasing one for a lesser real estate cost, financially benefit the buyers.
Types of stigma may include houses formally used in a crime, such as a drug house or brothel. Foreclosures where debt collectors are unaware that a debtor has moved out of a residence and may continue their pursuit at the same location.
The wrong starting price can also stigmatize a property when selling your Edmonton home. When a residential dwelling sits on the market for long periods of time, buyers assume there is something wrong with it. Learn how to price your Edmonton home properly from the start. Contact us today to receive a free in-home pricing evaluation.
How to Write a Real Estate Offer the Right Way!
As a buyer, when writing an offer on a property, you want to be able to pay the least possible amount for your
home. Sometimes buyers will offer 5-10% off of an asking price for no reason other than they were told to by a "friend" This is so silly! You may want to offer more, you may want to offer less. The only way to make a reasonable offer is to do your homework.
REAL ESTATE TIP #1 - What the seller paid for their home is irrelevant.
REAL ESTATE TIP #2 - What the seller is asking for their home is also irrelevant.
Knowing why a seller is selling is always helpful when you make an offer, but this information is protected by the sellers real estate unless it is allowed in writing to be disclosed. However knowing the reason for selling is still irrelevant on the true market value of the home, as is the asking price. There are several things to take into consideration, prior to making an offer on any home.
Is it a buyers market or a seller's market? Knowing what type of real estate market you are in will help you choose an initial offer price. Completing a community Absorption Rate is the easiest way to know.
Edmonton Real Estate Agents have access to this information and as a rule of thumb, the quicker, the possession date, the more motivated the seller is. Most homeowners in Edmonton have a 30-day negotiable possession date. If a longer possession date or a set date is asked for, this is an indication which the seller needs a specific date and can be more important than price. Keep in mind, if the property is tenant occupied, tenants do have a 90-day tenant-right. Normally, homeowners with tenant occupied properties or vacant property are more motivated.
Your REALTOR® will know the history of this home. How long the sellers have owned the property, how long they have been trying to sell it and if there have been any price adjustments. Your real estate agent is also required to pull the title of the property which will indicate any recent financial debts including the current mortgage to ensure there will be enough funds to close on the possession date.
Condition and Size:
Size is a factor of price more in places like China than Edmonton. The value of a home is in the condition. You may want to go back into the home to take a better look at the overall condition. Is the flooring laminate or hardwood? Are the faucets Walmart or Moen? Has the yard been meticulously maintained properly or neglected? Will you be replacing any fixtures, chattels, windows, shingles in the near future? Look at the property through the eyes of your experienced real estate agent. They will notice things you don't.
Complete a Buyers CMA:
Examine all recent comparable sales. Only use recent properties that are similar in configuration, age, and location to the home you want to buy. Your REALTOR® can complete a buyer's comparative market analysis (CMA) for you.
REAL ESTATE TIP #3 -If the property has been staged, don't be fooled by how pretty it looks. Staging a home does not increase property values.