When you are buying a house, it is important to be aware of the fact that there may be many misconceptions that you believe about this process. By correcting these notions, you will find that you are better prepared to go through the process of making one of the largest purchases of your life.
Myth: You Can Substantially Reduce The Cost Of A House By Acting As Your Own Agent
There is an idea that the services of a real estate agent will substantially drive up the price of the house. This can result in some people trying to eliminate this expense by foregoing the services of an agent. Yet, many sellers are working with agents of their own, and the selling contract will usually split the commission between the buyer's and seller's agents. As a result, if you do not have your own agent, you may simply be increasing the commission of the seller's agent. Considering that the costs of these services are usually factored into the price of the home, you might as well take advantage of the services of a real estate agent.
Myth: It Is Risky To Hire A Real Estate Agent Because Vetting These Professionals Is Almost Impossible
Some people assume that there is no way to quality check an agent before signing with them. However, there are some simple steps that you can take to make sure that you hire a real estate agent that meets your needs. One of the best ways is to check local review websites as this can give you a reasonable understanding of what to expect. For agents that do not have a prominent presence on the internet, you should weigh peer awards heavily as this is a sign of respect from their industry that they are a studious professional.
Myth: The Homebuying Process Should Always Start With Looking At Potential Properties
Looking at potential properties may seem like a reasonable way to start the homebuying process. However, this is actually the third step in the process. First, you should obtain preapproval from a lender so that you can narrow your search to properties that you can definitely afford. The second step in this process should be to hire a real estate agent. It can be difficult to know all of the available properties without consulting with these professionals. Luckily, a real estate agent has access to a listing service that is maintained and used by all of the licensed local real estate agents.