Hiring the right Realtor

Hiring the right realtor makes the buying and selling experience much more efficient and fulfilling.  It's surprising how lightly many of us think about such a decision.  A lot of us try to avoid the selecting a great realtor process by going ahead with using our friends, neighbors, hairdressers relative because they are a realtor on the side.  Then, we justify our decision by say it's  the “loyal” thing to do or “I can trust them to me my realtor.”  If you are considering a similar situation, but this person checks out after you've gone through the things I'm going to discuss, then I'm all for it. Hire them!!!   It takes a lot to be a great realtor and you deserve the benefits of hiring one.

A great realtor is a master at finding out what you want, knowing the area (inventory),  knowing what makes one property better over another (property values), and negotiates offers and closing effectively.  

A great realtor has two sides to them.  The first side is that they are interested in you.  You will know this fairly quickly. Are they pitching you or are they having a conversation. Are they in a rush to show you a house or do they want to talk about why you want to buy or sell, first.   A great realtor wants to learn about you and your needs.  When they show you a house and they say, “this location is really close to your work” or “this is the perfect room for Aunt Betty, when she stays,”  they understand you and are looking out for you.  

The second side of a great realtor requires they have a spine.  In other words, they are confident in negotiating the best scenario.  As a buyer you deserve a realtor that can confidently tell you that you shouldn't offer that low.  Or if you're selling, a great realtor will confidently be able to suggest the “right” price for your home or tell you to “take the offer.”  

Below are another handful of things I hope, might be helpful when considering who to hire as your realtor.  

• This might seem like an obvious one, but you need to know that there are some qualifications that a person must fulfil to become a realtor.  

  -In the state of Idaho, it is required to take pre-licensing courses, totaling 90 hours.  -

  
  

  -Each must pass a state as well as a national exam

  
  

  -Every real estate agent is required to work under a broker.   A broker usually has more real estate experience to oversee the transaction and has mostly a fiduciary relationship with the client.  

  
  

  -Make sure they are licensed and they are current. In the state of Idaho, you can verify your realtor is legitimate by clicking this link. https://apps.irec.idaho.gov/publicsearch

• How does this realtor know the people and the area you are considering?  Did they grow up or do they currently live in the area.  Have they done many transactions in the area you want to purchase in.  

• Who are they socially.  If a realtor says they have a bunch of kids and pulls up in a minivan, they might be the right resource for you to have, if picking a home in a good school district is important.  

• What did they do before being a realtor and what educational background do they have.  Maybe they are a new realtor, but shifted from being, for example, great in a customer service type profession with a degree in communications,  you might have someone who will at least understand what you're looking for because they have spent years developing their listening skills.

• Why is this realtor working for this specific broker or brokerage.  Every brokerages has their strength.  Is this brokerage great at leveraging technology?  If you understand how the internet, social media, texts alerts, and electronic signing simplify and speed up the process tremendously, then you might want to make sure their brokerage is known for such an experience.

• What credentials do they have.  Just like many other professions, realtors have education they can complete that allow them a few letters after their name.  For example, if your fifty years old or more, it might be a benefit to hire a realtor that has SRES credentials.  Below are a few examples of credentials or additional training a realtor may have:
  
  

  -SRES (Seniors Real Estate Specialist): Completed training aimed at helping buyers and sellers in the 50-plus age range.

  
  

  -CRS (Certified Residential Specialist): Completed additional training in handling residential real estate.

  
  

  -ABR (Accredited Buyer's Representative): Completed additional education in representing buyers in a transaction.

• There are many affiliations and organizations to be a part of as a realtor.  None are required of course but it's a great way to find out what your prospective realtor does with their spare time and who is in there network. For example, if you are looking for a property that is close to good duck hunting, a realtor that is a member of Ducks Unlimited, might be a good fit.  A few comon examples:
  
  

  -Ducks Unlimited http://www.ducks.org/how-to-help/membership/join-ducks-unlimited-become-a-member-today

  
  

  -NAR (National Association of Realtors) http://www.realtor.org/membership/how-to-join-nar

  
  

  -BCA (Builders and Contractors Association) http://ibca.org

WHAT NOW

Hopefully, now you have enough info to help you know if you’ve found the right realtor.   That means it's time to get to work.

BUYER

If you are looking at buying a property, the realtor will have you sign a “buyer representation agreement.”  This is common practice. By signing it you are only acknowledging that you and the realtor have discussed the way you will be represented. It also protects you and the agent.   

When you trust this realtor, and you are ok with them being your “exclusive” realtor, you hire them by signing a RE-14 Buyer Representation Agreement.  This Agreement can be for months, I've even seen a year.  It is displaying trust in the realtor and time it takes to find you the right property.  No matter who finds the property, this realtor is guaranteed commission on the purchase.  Great realtors will ask you to sign this because they are going to put a lot of effort on your behalf.   This agreement protects their efforts. This is what the agreement is intended for.    A slimy realtor will also ask you to sign a RE-14.  Then they let you go and do all the footwork and happily drop in only to pick up a commision check.  Don't ever sign this type of agreement in your first visit unless the realtor has been referred to you and is highly recommended of course.  At the end of the day,  if you have done the things discussed and checking them out before hand, it should be an easy decision whether or not you should sign a R-14 with them.

SELLER

A good realtor is going to spend time explaining to you how to get the best asking price.  They will have lists of properties similar that are on the market now, pending, and sold recently.  If they are a good realtor they will also have a great understanding of the area and trends that may affect what your asking price is.  A great realtor will also discuss their marketing strategy for your property. This might include strategies for an open house, home modifications, listing signs, and flyers to name a few.   You will be asked to sign a listing agreement.  This agreement will outline commissions, length of time of listing, and representation just to name a few.  A great realtor is going to communicate with you often.    You should feel like they have no other listing but yours.  

Im sure there are many more strategies one can use to find a great realtor.  Hopefully this can get you going in the right direction.

Happy buying and selling!!!

The Top 5 Mortgage Calculators on the Web and the Pros and Cons of Each

If you're shopping for a great mortgage, you'll want to use a mortgage calculator. Mortgage calculators keep getting more accurate and more complex, allowing you to explore the various details involved in a mortgage. Try one of these mortgage calculators to learn what you can expect.

ML Calc: A Simple, Straightforward Calculator With Current Rates

ML Calc (mlcalc.com) is a simple mortgage calculator powered by mortgage software company Arsidian. And just one click, you can open up a new window that shows you the current mortgage and refinancing rates in your city. However, the user interface is outdated and simplistic, making it difficult to assess data if you're a visual learner.

The Zillow Calculator: Beautiful Graphics For Visual Learners

Zillow's intuitive mortgage calculator is fantastic for those who learn best through graphics. Upon inputting your details, Zillow will generate a graphical breakdown of your mortgage payment. You can also view a payment schedule graph that shows you when your loan will be paid off. 

The only problem? It doesn't allow you to compare different mortgages.

Mortgage Professor: A Full-Service Suite of Powerful Calculators

Mortgage Professor is a full suite of 53 unique calculators that investigate everything from refinancing to APR to down payments to mortgage insurance to consolidation. The site can give you data like when your mortgage point payments will break even, whether it's less expensive to piggyback a second mortgage, and what your best option for a reverse mortgage is.

Mortgage Professor offers a lot of flexibility and options, but the struggle many users face is not knowing where to start – the calculator doesn't indicate which calculation is the best one to begin with.

BankRate: Get Real-Time Estimates From Actual Lenders

BankRate's mortgage calculator offers much of the same standard features you'd expect to find, but the one unique feature is its listing of lenders. By inputting details like your mortgage term and amount, your down payment size, and your credit score, you can see real-time quotes from lenders – and immediately contact them.

Bankrate doesn't include taxes, though, and understanding its specialized symbols can be a challenge given the poor user interface.

Realtor.com: Location Options And VA Mortgage Options For Military Families

Realtor.com's mortgage calculator is a great tool for those who want a variety of unique options like location-specific home prices and VA benefits. It also uses easy-to-understand visuals, and even shows nearby homes in your price range – plus a variety of articles about mortgages. However, the calculator 

A Quick and Easy Guide to Using an Online Mortgage Calculator

If you're in the market for a new mortgage, using an online mortgage calculator is a great way to determine what kind of terms you can expect to see and how they'll affect your home purchase. Visualizing what a 3.9% interest rate looks like can be difficult, which is why a mortgage calculator is so useful – it shows you exactly what a certain mortgage will do to your finances. Here are just a few ways that you can use an online mortgage calculator to learn more about your mortgage needs and find the mortgage that is best for you.

Start With A Solid Set of Sample Data

In order for your mortgage calculator to be of any use, you'll need to start the calculations with a set of sample data that is a fairly accurate representation of what you can expect to find in the market. For example, if your gross annual salary is $30,000, you won't want to look at mortgages for $1 million homes (unless you're doing so out of idle curiosity). Instead, try to represent your actual take-home earnings and interest rates available to someone with your credit as faithfully as possible.

Try Adjusting The Settings And Terms

Once you have your sample data and have done a quick initial calculation, you'll want to play around with some of the settings and terms to see how minor changes in your mortgage arrangement can affect your finances.

For instance, what happens if you keep your monthly payment the same but increase your interest rate? What happens if you change your 15% down payment to 20% and you suddenly don't have to pay mortgage insurance? When you understand how all of the different variables impact both each other and your monthly payments, you're in a better position to judge what kind of mortgage is a good fit for you.

Survey Multiple Lenders And Input Their Terms

When you use your mortgage calculator, you'll want to avoid simply using one mortgage plan from one lender. Different lenders can vary in their mortgages available and can offer you different terms, which will impact your monthly payments and possibly even what kind of home you can afford. So shop around and use different terms from different lenders – this has the dual effect of both helping you understand how mortgages work and saving you some rate shopping time later.

Online mortgage calculators are an easy way to learn how mortgages work, but you'll want to enlist the help of a professional mortgage advisor when it comes time to choose a mortgage and a lender. Contact your local mortgage