Upcoming free (& non-promotional) Home Buyer Education Classes:

Saturday, 3/7   /15, from 9am-12pm  
        Marshall Community Center, upstairs conference room
        1009 E McLoughlin Blvd, Vancouver Wa (kitty corner from Clark College)

Thursday, 3/12 /15, from 5pm-8pm
        Marshall Community Center, upstairs conference room
        1009 E McLoughlin Blvd, Vancouver Wa (kitty corner from Clark College)

Saturday, 3/21 /15, from 11am-2pm  
        Vancouver YMCA, conference room   
        11324 NE 51st Circle, Vancouver WA  

 ...if these dates/times don't work for you, we have others. Check out the website for more class dates, times, and locations. PLEASE always check  the web site www.freehomebuyerclasses.com  for any changes regarding the classes!


Remember...with reservation...we will throw in lunch, or dinner!  :-)
~~~~~~~~~

Good Sunday Morning!


   The sun is shining, the birds are singing, daffodils are blooming, crocuses are blooming, and wait...what month is it again????  I think we will head to the zoo today to soak in some of this glorious weather!  Hopefully you have something planned just as fun...and outside!  
   Just like everything else blooming everywhere, so is the housing market.  As more and more of folks are getting their income tax refunds, they use those refunds for down payments, closing costs, and more.  This is why March/April is really the start of the selling season.  This is also the reason why you will see more bank owned homes & investor owned homes on the market.  It is also why you will see more multiple offer situations.  Because this is happening, I wanted to go over it real quick this week so that you have a handle on what these all are.  As always, your questions, and comments are always welcome!  

Bank Owned Homes...
   These are foreclosed homes.  The banks have put a price on these for sale.  Usually bank owned homes are listed for less than market value because A) the bank wants to sell them quick, B) They are 'as-is'..what you see is what you are getting, & C) the lower price encourages multiple offers which means that the homes usually sell for more than listing price.  Bank owned homes can be a great way to go...Fannie Mae & Freddie Mac are really good about coming through and cleaning the home up prior to sale.  The other banks???  Not so much.  Banks typically can not negotiate price, what is listed is usually what they want.  If the home sits on the market for long enough, the bank will drop the price, but it is something that they initiate.  When writing up an offer for a bank owned home, I usually tell my buyers to talk over what their 'highest & best' offer may be in case of multiple offers, and to either text or email that to me.  IF I receive the "we have multiple offers on this property, please have your clients submit their highest and best offer to us for consideration" email then we are prepared.  If I can't get a hold of you until after work, we will most likely lose the home.  Often times the banks agent will tell me how many offers are on the table, but they can't disclose what those offers are.  We will be shooting in the dark, and sometimes you win, and sometimes you don't.  However, by asking some open ended questions, I can sometimes decipher how close we are to other offers.  :-)  If the appraisal comes in lower than purchase price on a bank owned home, the bank will take that into consideration...this is a plus with bank owned homes since if that happens with a seller owned/occupied home...sometimes they can't or won't.  The majority of banks will not look at offers until the home has been on the market for 3 days.  This gives them the increased possibility of having multiple offers.  The paperwork being signed takes additional time because it has to be sent to the banks representative for their signatures.  Getting the documents fully signed around can take about a week.  

**SCAM ALERT** is that there are NO special lists for bank owned homes!  All the bank owned homes available for sale are on the RMLS.COM website.  That 'special list' that some agents advertise is a list of homes coming up for auction.  Auctions are great and done every Friday morning at the courthouse...there are some stipulations... CASH only!  There is no financing.  NO contingencies like inspection, or again financing.  You are purchasing the home in the current condition, whether lived in or not, and any past due property taxes/liens now become your responsibility.  You know who buys homes at the auction?  Investors...

Investor Owned Homes....
   These are folks, or groups, who purchase a home at an auction, or HUD, or cash homes, etc with the intention of fixing them up to flip them.  There are some good investors out there who do a relatively decent job, and some crappier ones.  The investors main goal here is profit.  They buy low, do what they need to in regard to repairs, and turn them around for a fast sell.  Occasionally I have people comment that they wish they could buy them as cheap and do the repairs themselves...the problem with this is that these homes wouldn't have financed prior to the investor fixing them up...that is why the investor (or group) paid cash for them.  These really are a good deal in most cases since the buyer is walking into a move in ready home.  Also, the big plus with most of these investors is that they do repairs, and if something comes up on the inspection, or appraisal, they will do those repairs as well.  The downside is that they can't accept FHA loans for 90 days from their purchase, and there may be two appraisals that need to be paid for (buyer expense) on a purchase of these.  In the case of a multiple offer, and yes, they get those too, they may send out for 'highest & best' offer, or they may choose to work with the strongest offer in terms of loan type, money down, and earnest money.  Investors like to work with agents & lenders that they know.  Again, as talked about before, this is another case where an agents & lenders good reputation helps you out.  I just had something like this happen last month.  Home was on the market for 24 hours, received 4 offers, and the investors agent called me back to ask if my clients could match their best offer because they preferred to work with me & our lender.  

Multiple offers....
   As the term implies, this happens when there is more than one offer submitted for the same property/home.  It does happen more often than we would like.  We are in a sellers market....  the average length of time a home stays on the market is currently 110 days, and this time period will shorten the further into spring we get.  We currently have 3.6 months of inventory (homes on the market).  What this means is that if there were NO more homes listed, at our current rate of sales, it would take 3.6 months to sell all those homes  A 'balanced market is around 6 months.  Less than 6 months inventory= sellers market, and more than 7 months = buyers market.  If the home is in good condition, in a good area, and a reasonable listing price, that home will sell at a reasonable time period.  The more expensive homes tend to linger longer on the market, but some homes sell faster depending on...yep....location, location, location... and how many comparable homes in that location are on the market.  
   In the case of multiple offers, an agent can usually find out how many offers there are, but the sellers agent can't really disclose what those offers are.  Every situation is a bit different based on the seller, the sellers agent, and the instructions the seller has given their agent. Remember that the sellers agents job is to protect the seller and to assist that seller in getting the home sold...for as much as they can.  A buyers agents job is to protect and advise the buyer...to assist the buyer in getting a home for the best 'deal' that they can.  
In the case of a multiple offer situation, do the best offer you can (or are comfortable with), and if you win...great!  If not...well, we will find you another home.  There is always another home.  
   Usually, most sellers will ask for highest and best offers, but sometimes, they won't.  The seller does have the option of just taking the best offer on the table.  Sometimes the 'best' offer isn't about money....sometimes it is about strength of the offer...what type of loan, how much is the buyer putting down, how quick can they close, what are their contingencies, etc.  All of those are things a seller should/will consider when looking at offers.  The seller does have the option of choosing whatever offer they want to choose.  It is their house that they are selling after all.  
   Someone usually asks me how can we know if there are really multiple offers or not?  Well, in the case of a bank, they wouldn't say it otherwise.  In the case of a non-bank owned home though?  Well, most agents wouldn't take the chance of saying that there are multiple offers unless there really are....but I can't ask the the other agent to prove it either.  Multiple offers aren't really that great for the seller really because there is always the chance of picking the 'wrong' offer....the offer that backs out.  Then that seller has to start all over again because most people, when their offer is not the accepted one, are going to continue their home search and most likely find a different home.  Oftentimes the sellers agent will offer a back up position to the other offer.  This just gives you first dibs in case something happens to the first offer, or the first (accepted ) offer backs out.  Sometimes people will go for this, but I always think of it as liking the guy/girl your best friend likes, and thinking that if they break up, you can step in.  Something like that can prevent you from falling in love with a different person....err...I mean house.  :-D  Buying a home is an emotional experience, and your agents (and lenders) job is to try to make the adventure as smooth as possible.  We are your support staff.    

    One last thing you need to remember is that a real estate agent is not a sales person.  It is not our job to 'sell' you anything.  We are assistants, advisers, guidance, and help.  You should not feel as if your agent is trying to sell you a home, or anything else, our job should be to help you in getting the home you want.  This being said remember that you do not get T-Bone steaks for the price of hamburger...Look ONLY at homes within your budget.  ALWAYS ask questions, and expect answers without a lot of lingo.  I was always told that if you can't explain something in a way that the other person can understand clearly, it is because you don't understand it yourself.  :-)
  


    Information is power, and I hope that I am help you!  Good luck, and as always...May the odds be ever in your favor out there....  If you are looking for a real estate agent, I would love to be able to help you.  
 
  As always....this is just a quick overview.... please remember that your agent, and your lender work for YOU.  You drive the bus...we are merely GPS to help you get to your goals.  Like the classes, this weekly blog email is to help you with your homebuying adventure.  The goal is to be informative and non-promotional.  :-)  We are, however, hoping you will call and want us to help with your adventure.  


If you have any questions about this, or something you have heard...or if you would like me to help you with your homebuying adventure, please call, email,  text, or facebook me anytime.  I am, as always, happy to help!
 
Thank you again for your business and your referrals!!  ...and thank you for referring these classes to your friends, family, and co-workers. 
 
 . ..disclaimer...if you have already purchased a home, or would no longer like to receive these emails, please let me know and I will be happy to remove you from any further mailings... 
 
 
Next Week:   Closing costs...what are these & options for them?
      
                     
Last Week:   Buying a home, open houses, & 'what if's. 
                     

Have a great day, and I will talk to you soon, 
;-D 
Tracie DeMars 
Real Estate broker  
Re/Max - Van Mall 
360/ 903-3504 cell 
360/ 882-3600 fax 
www.traciedemars.com 
traciedemars@aol.com 
  
“Interested in free and non promotional home buyer classes?  Go to www.freehomebuyerclasses.com for local upcoming classes, or facebook: Tracie DeMars Real Estate for my home buyer education blog.” 

"Listen to the mustn'ts, child. Listen to the don'ts. Listen to the shouldn'ts, the impossibles, the won'ts. Listen to the never haves, then listen close to me... Anything can happen, child. Anything can be."  
   - Shel Silverstein, American poet, cartoonist and composer, (1930 - 1999).

Upcoming free (& non-promotional) Home Buyer Education Classes:

Saturday, 2/21   /15, from 12pm-3pm  
        Vancouver YMCA, conference room  
        11324 NE 51st Circle, Vancouver WA  

Saturday, 3/7  /15, from 9am-12pm  
        Marshall Community Center, upstairs conference room
        1009 E McLoughlin Blvd, Vancouver Wa (kitty corner from Clark College)

Thursday, 3/12 /15, from 5pm-8pm
        Marshall Community Center, upstairs conference room
        1009 E McLoughlin Blvd, Vancouver Wa (kitty corner from Clark College)

 ...if these dates/times don't work for you, we have others. Check out the website for more class dates, times, and locations. PLEASE always check  the web site  www.freehomebuyerclasses.com for any changes regarding the classes!


Remember...with reservation...we will throw in lunch, or dinner!  :-)
~~~~~~~~~

Happy Valentines Day~

   
   ...and the weather is gorgeous!!  :-)  I hope you are out enjoying it too.  Today, my family went to an open house for a home.  As a real estate broker, open houses are something I check out occasionally...no big deal, and yes, sometimes I have a kid with me...and sometimes...my husband comes along.  So why is this open house so different?  Because this time, we looked at it as a consideration for a home we might want to buy.  
   
Now, one thing you need to know about Open Houses is that 99% of the time it has nothing to do about the house, it is all about marketing.  No, really it is for an agent.  This is the way it goes...
We walked into the open house, and the agent there says, "Hi!  I am Ruby Realtor, and you are?"  
To this you respond with your name, and the agents asks if she can sign you in.  What's your phone number, and/or your email address, and here is the question Ruby has been leading up to... "are you working with a realtor?"   
Now, if you say that you are, then Ruby is going to ask for your realtors name.  This will save you (usually) from future calls or emails.  An unethical agent will still be contacting you though....be warned.   
If you say that you aren't working with an agent...well, you just opened flood gates and Ruby Realtor will start marketing...hard...to you.  
Want to look at open houses & not want to be bugged?  Tell the agent there that you are working with an an agent, and feel free to give that person my name.  It does not commit you to working with me, but it will give you some breathing room from the marketing script.  :-) Now you know the dirty secret about open houses....  and what to do, or not to do in them.   
At this open house, we walked in, and I have worked with the sellers agent before so she knew who I was.  Funny thing though is that my oldest daughter and her boyfriend were walking around outside and when they walked in the door, the script began,  My oldest daughter has been raised in real estate though and said, "I'm Tracie's daughter, and he is with me".  :-)  It was a busy open house as the sun was shining though so I was able to see this same scenario play over and over again.  The sellers agent at this open house confided to me that she was going to do something else and have a new agent work the open house, but because of all the calls that she has received on this home, she decided to 'work' it herself.  Yep, there is the other dirty secret about open houses, many of them are being 'worked' by new agents as a way to try to get clients.  An open house really isn't about the house, but used as a way to market the agent, and to get YOUR information as a potential client.  

    Looking at homes is a big deal for everyone, and it is for us too...  We still live in our first home that we bought in 2001.  It is a 2 story home which was great....at the time.  A couple of spills down the stairs later and it is definitely time for a one story...either that or someone needs to help me be more graceful.  I tell you that the stairs are out to get me!!  Since we have been considering buying a different home, we sat down and considered our top 3 things we want in a home... a one story home that fits our family now, but will also fit us when they all leave (*sob*...it will happen someday), one that has some space from the neighbors & room for the dogs to run, and one that has an office for me (I have LOTS of paperwork, books, and yarn), & room for the hubby to have some space for his tools.  Ok...so that is kind of 4 , but the last one is a two-fer, right?  :-)  This is a tough find in our current market with our price range.  Yes, just like everyone else I have a price range that we have to work with...and yes, just like everyone else it is a popular price range for what we want.  :-D  Just because I am a realtor, it doesn't make it any easier...in some ways it actually makes it harder.  I can see the possibilities of a home, and some updating doesn't scare me because I know what value that would put into it.  What does worry me though, are the same things that worry everyone else....  what happens if a 'better' home comes on the market later?  What if I move in, and I hate it?  Can I actually afford this payment?  What if I don't move and the market keeps going up?  (I know that it is going up too, and that puts even more pressure on us)  What if we don't make a move on it, and we don't find anything we like better?  I hate change...are we sure we aren't happy where we are at?  What if there are multiple offers?  What if there is another downturn in the market?  What if, what if, what if...there are always going to be 'what ifs'...  
  
 As a real estate agent, I can assure that there is no such thing as a 'perfect' home.  That is like looking for Bigfoot, a mermaid, or a unicorn....we are all (ok, most of us) are fairly certain they exist, but.... So, the biggest question comes down to pros/cons, and are the con(s) something you can live with day in, and day out.  The biggest two cons for our current home are still something that I hate...almost 14 years later.  One of those cons became even worse when they (the city) took out the field next to our home, put in a road & more houses since our yard has NO privacy, and now the neighbors park along the side of my house when they have large gatherings.  My bedroom windows border both the front & the side street, and it bugs me.  The biggest con for the home we looked at today is that there is a very busy road that runs next to the lot......VERY busy and LOUD!  Our current neighborhood is pretty quiet.  There is a main road that isn't too far away, but we are about 4 houses and a corner away from it so it is a low background noise.  That wouldn't be the case at this house we looked at...it is so loud that you wouldn't be able to go into your backyard and meditate.  There are some great pros...and that really BIG con.  The other cons are something that can be fixed, and that once fixed, would add value so they're really pretty cosmetic. If this home were even ONE house more into this small country neighborhood I think we would have made an offer last night.  I am not sure why one more house in makes such a difference, but for us...it really does.  Location, location, location, right???  

   Buying a home is exciting, stressful, and full of 'what ifs....and it is still true...even if you are a real estate agent!  :-D  When you are buying a home, you can lean on your buyers agent for help, advice, and guidance...it is what we're here for.  So what happens if you happen to be the real estate agent?  Just like you, I ask friends and family what THEY think!  I know a lot of agents tell you 'too many voices drowns out your own', and in some aspect, that is true.  However, if you already have doubt...sometimes they can help you see an aspect of the home, or situation that you might not have thought of, and sometimes they can make your doubt worse.  If in that much doubt....don't.  There won't be another house 'just' like that one, but there is almost another house that works for you...in just a different way.  If the house goes pending to someone else, and you kick yourself for not moving on it, well....now you know for next time.  There was a house we looked at that was amazing inside & out last year for *gulp* less money...sigh... It was gorgeous, and the right size of yard/property too.  So, why didn't we move on it?  My husband didn't like how close it was to a busy road, and that it faced that busy road.   The house we looked at today has a MUCH busier road next to it, but it doesn't face it and it is set a bit further back from that road...to him..that makes a difference.  He also didn't like the 'feel' of that house last year.  Yes, this is a thing!  If you see a house that you thought you would like, and you walk in, and *on paper*, it has everything you want...but if feels 'wrong'....go with that gut instinct....EVERY time!  You are never just buying a house...you are buying a home, and the 'feel' of that home.  Can you imagine yourself living in that home?  Your furniture in that home?  Coming home to that house every day?  Walking the neighborhood?  How does that home 'feel' to you?  Welcoming?  Or is it, "well, I like the home"?  There is always going to be some doubt...buying a home is a HUGE step (even if you already have a home), and there is always going to be some worry about whether or not you are making the right choice.  The difference is that there should always be some excitement and planning for that home in your mind along with the 'what ifs'.  You should be thinking about paint, where you are going to put the furniture, what you want to do to the house to make it 'your' home, excitement about making the offer, that hope that YOURS will be the offer that gets accepted.  It should be happy fear...not dread.   

   Buying a home is exciting, scary, stressful, and yes, full of 'what ifs'.  I wish I had a magic ball to share with you, but sadly, my request for one seems to keep getting put on hold.  So, this weeks blog, is more to let you know that what you are feeling is normal, and that EVERYONE feels this way...even your agent when she is looking for a home for her family. :-)  The hardest thing for me is that I see homes almost every day.  Some I LOVE, some I like, and some...some that are stories that I talk about in the classes.  :-)  I can count on one hand how many homes I have seen in 13 years of real estate that I thought to myself, "I could live here".  Is this one of those homes?  Honestly, I don't know...  it isn't that easy.... I like it and I love the land.  The house could definitely work, and I could picture us there...if it weren't for that BUSY country highway right next to the house.  Does that kill it for me??  UGH... I know that the sellers are going to look at all offers tomorrow night so I have at least 24 more hours to agonize over it.  The fact that I am not rushing to make an offer now though does make me suspect that the busy road next door is more of a deal killer for me.  Now...to talk with my husband about it...again.  :-)  So, today, I think YOU have helped me more than I might have helped you.  Thank you for that!  :-D 

   Never feel alone when buying a home.  You are not.  You have many people who are there to help you, and please remember this... your buyers agent is NOT a salesperson!  Your buyers agent is guidance, help, and assistance.  If you feel like your agent is *selling* to you or *selling* you on a home...maybe you don't have the right agent.  As a buyers agent, we are here to help you with your home buying adventure.  I really want you to be happy in your home.  When you are ready to sell that home, and get your next home, I want you to have been happy in it.  This is YOUR home, and YOU are driving the bus....remember...your agent & lender are here as GPS.  Talk to them, be honest with them, and ask for their feedback.  Pros?  Cons?  If you have any doubts, speak up.  As always...we are here to help!  

 

    Information is power, and I hope that I am help you!  Good luck, and as always...May the odds be ever in your favor out there....  If you are looking for a real estate agent, I would love to be able to help you.  
 
  As always....this is just a quick overview.... please remember that your agent, and your lender work for YOU.  You drive the bus...we are merely GPS to help you get to your goals.  Like the classes, this weekly blog email is to help you with your homebuying adventure.  The goal is to be informative and non-promotional.  :-)  We are, however, hoping you will call and want us to help with your adventure.  


If you have any questions about this, or something you have heard...or if you would like me to help you with your homebuying adventure, please call, email,  text, or facebook me anytime.  I am, as always, happy to help!
 
Thank you again for your business and your referrals!!  ...and thank you for referring these classes to your friends, family, and co-workers. 
 
 . ..disclaimer...if you have already purchased a home, or would no longer like to receive these emails, please let me know and I will be happy to remove you from any further mailings... 
 
 
Next Week:   Closing costs...what are these & options for them?
      
                     
Last Week:   Sellers Agency & Dual Agency....What it really is & what it means for you.
      Buyers Agency....what it is & questions to ask
                     

Have a great day, and I will talk to you soon, 
;-D 
Tracie DeMars 
Real Estate broker  
Re/Max - Van Mall 
360/ 903-3504 cell 
360/ 882-3600 fax 
www.traciedemars.com 
traciedemars@aol.com 
  
“Interested in free and non promotional home buyer classes?  Go to www.freehomebuyerclasses.com for local upcoming classes, or facebook: Tracie DeMars Real Estate for my home buyer education blog.” 

"Listen to the mustn'ts, child. Listen to the don'ts. Listen to the shouldn'ts, the impossibles, the won'ts. Listen to the never haves, then listen close to me... Anything can happen, child. Anything can be."  
   - Shel Silverstein, American poet, cartoonist and composer, (1930 - 1999).

Upcoming free (& non-promotional) Home Buyer Education Classes:

Saturday, 2/7 /15, from 9am-12pm  
        Marshall Community Center, upstairs conference room
        1009 E McLoughlin Blvd, Vancouver Wa (kitty corner from Clark College)

Tuesday, 2/10  /15, from 5pm-8pm
        Marshall Community Center, upstairs conference room
        1009 E McLoughlin Blvd, Vancouver Wa (kitty corner from Clark College)

Saturday, 2/21  /15, from 12pm-3pm  
        Vancouver YMCA, conference room  
        11324 NE 51st Circle, Vancouver WA  (This class is full)



 ...if these dates/times don't work for you, we have others. Check out the website for more class dates, times, and locations. PLEASE always check  the web site  www.freehomebuyerclasses.com for any changes regarding the classes!


Remember...with reservation...we will throw in lunch, or dinner!  :-)
~~~~~~~~~

Happy Superbowl Sunday~

   Good morning...or afternoon to you!  Whether you are into football, or not, it's difficult to not get caught up into the spirit of Superbowl Sunday....especially when our local team is in it!  As you know, we love football at my house...college & NFL... but no one agrees on the same teams.  I am a Seahawk fan, my husband is a 49'r fan, my oldest daughter is a Packer fan (last week was fun!), my son is a Browns fan (yeah, I am confused too), and my youngest daughter is leaning towards the Seahawks...but we will see where she ends up.  It should be a good game today as I don't think the Patriots are going to lie down like the Broncos did last year.  I am just hoping it isn't a re-enactment of the Duck/Ohio State game (oh, the PAIN!).  
   
   So real estate can follow along the lines of football...you have two opposing teams (the buyers agent vs the sellers agent), and after the game ends, you should both be able to shake hands still.  In real estate there really isn't a 'winner' or 'loser' though....a good transaction ends in a tie.  The seller sells their home to a buyer who then makes it their home.  The agents should both be representing their clients best interests.  

  This past week I have had two clients involved in multiple offers situations, and (yay for us!), both my clients came out ahead.  One of my clients came out ahead because they were the best offer, and the other client came out ahead because they had the strongest offer.  So what is the difference?  In the first instance we were highest & best.  Technically, the bank wasn't accepting anymore offers, but I have worked with the banks agent before.  I was able to talk to him, and get my clients offer submitted....and because we were highest & best...get it accepted.  :-)  The second instance was a bit different... the home was an investor owned home, on the market for 2 days, and we were the 4th offer.  We were not the highest or best offer...but we were the strongest in loan type, and the compensating factor that both my clients lender & I have worked with the investor, and their agent, quite often in the past.  They like us, and know us.  Just like in football, the team is only as good as it's supporting staff.  Your lender & real estate agent are YOUR supporting staff....no matter who that staff is, make sure it is a good one.  A good supporting staff can turn your home buying adventure into a championship one.  Buying a home (and even more so...selling a home) is stressful.  As I say in the classes, it is a lot like driving down Mill Plain on Friday around 5pm.  There is always going to be a hiccup somewhere.  Your lender and agent (ie your supporting staff) have the job of smoothing out those hiccups....to come up with solutions and providing you the best options for you to choose from.  In real estate, the championship trophy is keys, and we all want you to get those keys!  
   So, last week (ok, week before) we talked about what buyers agents do.  This week we are going to talk about Sellers agents & Dual agents....  (If you missed the buyers agent blog you can find it on my Facebook page at:  Tracie DeMars Real Estate)



Seller's Agent~ 
 
   This is the agent who works for the seller.  The agents name and/or picture will be on the sign and flyers.  They are hired by the sellers to help them market the home.  A sellers agent is hired by the seller to represent the seller to the best of their ability.  In a nutshell, a sellers agent want to sell the home for the highest price, and with the least amount of money out of the seller's pocketbooks.  When the agent meets with the sellers initially they discuss commission, price, marketing, and what the seller has for a bottom line, and how much they might be willing to pay in closing costs for a buyer.  The seller pays a commission to the sellers agent off of the purchase price.  Some people believe that by calling the sellers agent to help them buy the home they can get a better deal since the seller only has to pay for one agent.  This is wrong....the sellers have a written contract with the sellers agent for a contracted commission.  The sellers agent is going to split that commission with the buyers agent who represents the buyer of the home they are representing the sellers on.  This split is at the sellers agent option and choice....it can be split 50/50, or 60/40, or whatever they want to.  The only time the sellers agent receives the full commission is if the sellers agent represents both the seller and the buyer on the same home/transaction (see below).  I know I talk a lot about buyers agent, so you know that there are many real estate agents who represent buyers.  The sellers agent offers, on the rmls, a BAC (Buyers Agent Commission) to a buyers agent to bring their buyers to the home.  If the buyers like the home then their buyers agent will assist the buyers in writing up an offer for the home.  The buyers agent then sends the offer to the sellers agent to present to the seller for their consideration.  An offer written up by a buyers agent should be in the best interest of the buyer as the buyers agent represents the buyer.  The sellers can accept that offer, counter the original offer, or ignore the offer.  The sellers agent will assist their clients, the sellers, to help them negotiate an offer that they are acceptable with.  The sellers agent works for the seller, to the best of their abilities....helping the seller to navigate the sellers paperwork, assist with the sellers questions, translate lingo, and work to help the sellers find the best deal possible for them.  The sellers agent works for the sellers in the same ways that a buyers agent works for the buyer....just on the other side of the transaction.
 
 
 
Dual Agent~ 
 
   So, what happens if you call the sellers agent to show you the home?  They will.  What happens if you ask the sellers agent to help you write up an offer on that home that they are representing the seller on?  Well...this is a hot topic in real estate...   A dual agent is an agent that works for both the seller and the buyer on the same home.  If the buyer were to call the agent whose name is listed on the flyer or sign, they would be asking for help from the agent hired by the seller to represent the seller.  That agent can show them the home, and can write up the offer, but is still hired originally by the seller to represent their best interest.  By writing up the offer for the buyer as well, that agent now has dual employers, on the same home.  On one hand the agent knows what the seller's back interests are, and now the agent also knows what the buyer's back interests are.  It is my opinion only that it would be very difficult to serve two masters.  A team would be a dual agent, regardless of who is listing or selling, as by being a 'team', in essence they are acting as one.  A builder's agent is also a dual agent as they are employees of the builder, and not the buyer.  If you call an agent, and the agent says something like, "I am sorry, I work for the seller on that home...but let me get you a (or the) buyers agent".  That would still be a dual agent as they are most likely contacting their team member or an assistant.   A dual agent is not splitting the commission with anyone.  There are some agents who will offer a seller a 'discounted' commission if they bring in the buyer (act as a dual agent), and they can really make it sound like they are 'helping' the seller by offering them that discounted commission, but who are they really helping?  Who are they really representing?  Dual agency is not illegal in the state of Washington, but yes, there are states where it is illegal.   It is only my opinion that every buyer should have their own agent hired to exclusively represent the buyers and their best interests.  Personally, I will not do a dual agency as I don't believe that you can serve two masters.  I firmly believe that each side should have their own representation....just like a courtroom.  You would never call the other parties lawyer to represent you, right?  So why would you call the other parties agent? 
 
 
  Again...85% of homes are purchased where the buyers are using a buyers agent!  The buyers agent is paid, at closing, with what is called a BAC (Buyers Agent Commission) that is offered by the sellers agent from the commission being paid by the sellers.  If an agent talks to you about their 'buyers agent fee', or the fee they charge to assist the buyers in their home buying adventure....well, if it were me I would ask them about BAC, and how they work!  One of my favorite questions to ask agents is how they feel about dual agency as I feel that it tells me a lot about that agents work style, and ethical beliefs.  I also like to ask agents if they ask buyers to guarantee them a certain BAC percentage, or if they charge a fee when they work as a buyers agent.  The answers are always very interesting, and the explanations and defenses of such practices always crack me up!!  Remember....real estate and lending is all about verbiage!  We are taught 'scripts' to make things sound very good when, in fact, they may not be good for YOU!  Ask questions, and if you don't like the answers...move on!!  And NEVER sign anything without a very good explanation of what it is, why they want it, and what it means to you!! 
  We are all a little crazy here, and sometimes what you hear isn't what we are really saying....be sure to ask questions until you are happy with the answers.  Agents, whether we work for the seller, or the buyer, are always here to helps, advise, and assist our respective clients. 
 

    Information is power, and I hope that I am help you!  Good luck, and as always...May the odds be ever in your favor out there....  If you are looking for a real estate agent, I would love to be able to help you.  
 
  As always....this is just a quick overview.... please remember that your agent, and your lender work for YOU.  You drive the bus...we are merely GPS to help you get to your goals.  Like the classes, this weekly blog email is to help you with your homebuying adventure.  The goal is to be informative and non-promotional.  :-)  We are, however, hoping you will call and want us to help with your adventure.  


If you have any questions about this, or something you have heard...or if you would like me to help you with your homebuying adventure, please call, email,  text, or facebook me anytime.  I am, as always, happy to help!
 
Thank you again for your business and your referrals!!  ...and thank you for referring these classes to your friends, family, and co-workers. 
 
 . ..disclaimer...if you have already purchased a home, or would no longer like to receive these emails, please let me know and I will be happy to remove you from any further mailings... 
 
 
Next Week:   Closing costs...what are these & options for them?
      2014 real estate in review & looking to 2015
                     
Last Week:  Buyers Agency....what it is & questions to ask
                     Down Payment Options for everyone

Have a great day, and I will talk to you soon, 
;-D 
Tracie DeMars 
Real Estate broker  
Re/Max - Van Mall 
360/ 903-3504 cell 
360/ 882-3600 fax 
www.traciedemars.com 
traciedemars@aol.com 
  
“Interested in free and non promotional home buyer classes?  Go towww.freehomebuyerclasses.com for local upcoming classes, or facebook: Tracie DeMars Real Estate for my home buyer education blog.” 

"Listen to the mustn'ts, child. Listen to the don'ts. Listen to the shouldn'ts, the impossibles, the won'ts. Listen to the never haves, then listen close to me... Anything can happen, child. Anything can be."  
   - Shel Silverstein, American poet, cartoonist and composer, (1930 - 1999).