Zillow Advice: Buying Process - Realtors: What is the 1 best thing you would advise buyers to do when starting to look to purchase? http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ Zillow Advice | Zillow Real Estate These are all great answers ... http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ These are all great answers for any first time buyer to review and I'm glad to see that the overwhelming advice is for the prospective buyer to get preapproved with a knowledgeable mortgage lender for several reasons:&nbsp; Know the price range to look for, know the approximate payment for a price range, know if there is work to be done if the buyer does not qualify, and not to have the realtors, buyers,&nbsp;and sellers do a lot of work that isn't necessary if the buyer is not qualified.&nbsp; <strong><em>Thank you everyone for your great input!</em></strong> Mon, 27 Feb 2012 14:33:00 GMT http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ 2012-02-27T14:33:00Z "I think we all agree the ... http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ <em><strong>"I think we all agree the first step is to get pre qualified with a lender."</strong></em><br/><br/>Nope. First step is to learn about the RE market, process, and loans. This puts the consumer in a position to best make use of the information and/or advice provided by mortgage and RE pros. Sun, 26 Feb 2012 21:30:00 GMT http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ 2012-02-26T21:30:00Z All good answers. I think ... http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ <p>All good answers. I think we all agree the first step is to get pre qualified with a lender.</p><p>What is important is to know why. This will determine your price range as a buyer.</p><p>Why look at homes out of your price range if you are serious about buying. This leads to disappointment for the buyer when they fall in love with a home and realize it`s more then they can afford. So STEP 1 is to get pre qualified. STEP 2 is to find a good realtor. Now you are ready to get started. GOOD LUCK !</p> Sun, 26 Feb 2012 21:07:00 GMT http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ 2012-02-26T21:07:00Z @ Dan...Are you advising ... http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ @ Dan...<br/><br/>Are you advising a REA how to close a potential buyer? Or, as the OP asked, are you providing your #1 piece-of-advice to a potential buyer.<br/><br/>When working with person in a consumer-oriented business,&nbsp;I always look for those who are able to listen carefully and respond to the question asked. Sun, 26 Feb 2012 19:15:00 GMT http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ 2012-02-26T19:15:00Z Q: What is the single most ... http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ <u><strong>Q:</strong></u> <strong>What is the <u>single most important thing</u> for a real estate agent to advise their buyer about?</strong><br/><br/><strong><u>A:</u></strong>&nbsp; As a real estate agent, just as a financial planner, before you can offer solutions, you need to know what your buyer is looking for. Therefore, ask good questions to get a clear, concise, and complete understanding of the buyer's desires, expectations, financial capabilities, and credit qualifications. <br/><u><br/>After they know you are capable of helping them meet their expectations, ask your buyer to authorize you to act as their exclusive agent</u>.<br/><br/><em><strong>Then arrange with your buyer a joint meeting with a mortgage loan originator you know and trust.</strong> (Don't let your buyer choose themselves to work with a loan originator you don't know if they haven't executed an exclusive arrangement with you; they may refer your buyer to another agent.)<br/><br/></em><strong>Here are a few key&nbsp;services and capabilities&nbsp;your loan originator partner should provide to you and your buyers:<br/></strong><br/>1.)&nbsp;Your lender partner&nbsp;should be an extension of your services and should help you educate your buyer about financing decisions. <br/><em><br/>They similarly can help you educate the home seller that your buyer&nbsp;wants to&nbsp;make an offer to about adding seller concessions for the buyer's benefit, even when these concessions&nbsp;haven't already been included in the listing.</em><br/><br/>2.) How many buyers know they can finance home improvements when buying a home? <br/><em><br/>Your lender partner should offer the FHA 203(k) loan. This loan opens up the inventory of home options for your buyer,&nbsp;including foreclosures needing renovation that when after they are improved may create immediate equity.<br/></em><br/>3.) Your lender should offer low cost or even zero cost loans. <br/><em><br/>This will help the buyer use seller concessions for other cost-saving strategies other than to pay settlement costs. For instance, the PMI can be paid as a single premium by the seller which eliminates monthly premiums and reduces the total monthly payment for the buyer. The seller could also pay the costs associated with buying the interest rate down, reducing interest costs and payments for the life of the loan.<br/><br/></em>4.) Your lender partner should offer all loan varieties to enable you to help your buyers with unique needs or qualifications.<br/><br/><em>There are USDA loans for rural area home purchases and VA loans for eligible Veterans.<br/><br/> Special FHA loans such as the good neoghbor program is available&nbsp;for teachers, EMTs, law enforcement officers, and firefighters; they&nbsp;can buy homes at 50% of the list price of&nbsp;HUD homes in specified areas where these qualified candidates work.<br/><br/> Your State may have special programs for first-time or other home buyers who are within certain income levels or who are buying in specified areas.<br/><br/> Investors will need Fannie Mae programs to buy up to ten properties&nbsp;because Freddie Mac limits investors to four.<br/><br/></em>5.) Your lender partner should be capable of helping non-qualified buyers improve their credit scores when applicable.<br/><br/><em>They should be capable of adding alternative credit trade lines in&nbsp;your buyer's&nbsp;credit bureau reports. They should be able to&nbsp;have changes made to your buyer's credit reports for immediate improved&nbsp;re-scoring of credit scores. They should be able to provide credit repair services&nbsp;for your buyers who need to prepare for a future purchase.<br/><br/></em>I hope this provides some helpful information. Sun, 26 Feb 2012 17:06:00 GMT http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ 2012-02-26T17:06:00Z Yes, get pre-qaulified by ... http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ Yes, get pre-qaulified by a reputable lender first.&nbsp; You need to know how much house you can afford.<br/><br/>Also, any Realtor worth their salt will only work with a buyer that has been pre-approved by&nbsp;a bank.<br/><br/>Dont forget to ask the lender for a Good Faith Estimate, (GFE).&nbsp;This will allow you to compare your rate and costs with other lenders.<br/><br/>Good Luck! Fri, 24 Feb 2012 03:39:00 GMT http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ 2012-02-24T03:39:00Z In advance of searching for ... http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ In advance of searching for a home, identify the mortgage lender that will provide you with the best overall service. As a buyer you want to feel like you're a true client of the lender that you choose, not just a passing number. Get to know your lender, ask lots of questions. The lender that you decide to work with should be available virtually anytime of day, any day of the week...just as your realtor. Fri, 24 Feb 2012 03:19:00 GMT http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ 2012-02-24T03:19:00Z Contact a mortgage company/Bank ... http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ Contact a mortgage company/Bank and make sure you know what you can afford up front, so you don't look beyond your means.&nbsp; Than pick your areas you want to be in and never look at more then 3 homes in one day. Fri, 24 Feb 2012 01:01:00 GMT http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ 2012-02-24T01:01:00Z Make sure buying is really ... http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ Make sure buying is really a better decision instead of renting.<br/><br/><a href="http://www.trulia.com/blog/dan_chase/2010/01/does_it_make_more_sense_to_buy_or_to_rent_look_at_the_numbers_and_decide_for_yourself" rel="nofollow">"Does it make more sense to buy, or to rent? Here is the way to find out for sure."</a><br/><br/>Then if buying makes sense determine what they can really afford to spend each month on a mortgage. Lenders may say you can afford more or less per month.<br/><a href="http://www.trulia.com/blog/dan_chase/2011/04/how_to_determine_what_you_can_safely_afford_to_pay_towards_your_monthly_mortgage_payment_lenders_may_give_a_different_n" rel="nofollow">"How to determine what you can safely afford to pay towards your monthly mortgage payment. Lenders may give a different number. "</a><br/><br/><br/> Thu, 23 Feb 2012 00:09:00 GMT http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ 2012-02-23T00:09:00Z I always tell my buyers never ... http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ I always tell my buyers never to settle for just any home.. you'll know when the right home comes along.. you'll feel it.&nbsp; It's like a Wow feeling or a feeling of being home.. :-) Wed, 22 Feb 2012 22:05:00 GMT http://www.zillow.com/advice-thread/Realtors-What-is-the-1-best-thing-you-would-advise-buyers-to-do-when-starting-to-look-to-purchase/432644/ 2012-02-22T22:05:00Z