First, I would like to say that I do not consider myself a salesperson. I consider myself a consultant, advisor, advocate and negotiator. And when representing sellers, a marketer as well.
In both cases, I also feel I am responsible for limiting or eliminating my clients’ liability. As you can imagine, with stakes as high as California Real Estate, the liability can be huge.
You can always expect me to make myself available to you either in person, on the phone or in writing during business hours. Often, I will follow in-person meetings and phone calls with an email so that you have a recap of my understanding of our situation(s) in writing, with a date and time stamp. It is my goal to keep you informed and ensure that you are clear on your options and understand the full meaning of your decisions.
You can also expect confidentiality. The agent/client relationship is an intimate one and what we discuss stays between us, unless others need to be included and only with your permission.
FIRST THINGS FIRST:
The first thing we will determine is your budget, and whether you are paying cash or obtaining financing. If you will be obtaining financing and you are not already working with a lender, I can make introductions so we can determine what parameters we will be working within.
Once the budget is determined, we will discuss your likes and dislikes and what you absolutely must have, non-negotiables, and what you are flexible on.
HOW I AM COMPENSATED:
Since the recent ruling, buyers—like sellers—will have written agreements with their agents and/or brokers, with the written details of the business arrangement agreed upon in advance, prior to the showing of each, and any, property.
We will have determined what duties will be expected of me and how I will be compensated for them. Sometimes the seller agrees to roll all, or some, of my compensation into the purchase price, payable to me (and their agent) out of the property proceeds. Sometimes the buyer will have to pay some or all of my compensation, in addition to the down payment and closing costs. This will vary from property to property, and likely won’t be determined UNTIL an offer has been ratified. Which, like everything else in real estate, is negotiable.
I go into greater detail HERE: https://kelleyeling.com/2025/05/09/who-pays-buyer-agent-commission/
BEGINNING THE PROPERTY SEARCH:
When we start researching properties, I will check various aspects including the proximity to things that are important to you, like schools, sewage treatment facilities, parks, transportation, freeways, registered sex offenders, crime maps, etc.
I will also check the tax records for any recorded liens on the property, as well as the last time it sold and, if recently, the condition of the property then and now. Flipped properties can have hidden problems and inspections don’t typically include opening walls or moving staging that might hide something. And not all recent sales are on MLS, including those “home buying services” and “for sale by owner.” Even if the sales are not on MLS, the tax records will show when the property changed hands and with whom. When we find out who they are, we can usually (but not always) research their work.
I will check for any permits (or not) that the seller pulled and, hopefully, got them finalized (or not) and what that means to you and your plans for the property.
If the seller is providing disclosures, inspections, etc. I will review them (if possible) prior to setting an appointment to see the property to make sure the condition is worth your time.
WHEN YOU CONSIDER MAKING AN OFFER:
If disclosures and reports are not available prior to showing, and we decide we want to make an offer on the property, I will review everything once they are available.
I will also check the neighborhood comparables (comps) to determine what similar homes have been selling for, to determine what an appraised value might be. You do not want to overpay for the property. If you plan on staying in the property for a long period of time, chances are the value will increase. However, an increase in value is not guaranteed. Additionally, unexpected circumstances happen, and you may need to sell sooner than you planned, and you don’t want to be upside down.
In multiple offer situations, you are going to want to have a serious conversation with yourself and ask yourself questions like, “at what price do I just not care if someone else gets this place?” or “If I find out that someone paid $XXX,XXX I will kick myself for not offering more than I did.” These are things only you can answer.
CONTINGENCIES and OTHER THINGS TO CONSIDER:
Written into every purchase contract are contingency periods. Typically financing, appraisal, investigations, insurance, and anything else that might be specific to a certain property. Other contingencies might include a buyer having to sell a property (which may or may not already be on the market for sale) before the subject property can be purchased, OR the seller might have the sale be contingent upon them finding a suitable replacement property.
During the contingency periods, the purchase of the property is contingent upon you, the buyer, finding all these things acceptable. If you back out within the terms of the contract, which can vary from property to property, you can back out without risking your initial deposit.
Important, and sometimes overlooked (until the lenders ask about it) is insurance. Insurance is becoming increasingly difficult to find and afford, especially in fire and flood prone areas. We will want to investigate this as soon as we identify a property as a potential purchase.
When the price and terms of the contract have been agreed upon by all parties, and ratified, then escrow is opened with the initial earnest money deposit (EMD). Typically, this is 3% of the purchase price, to satisfy the Liquidated Damages section of the contract.
We will want to make sure that everything that we do within the contingency periods abide by all the contract terms so there is no jeopardizing any of the EMD.
If for some reason you find anything unacceptable, whether it is financing which becomes unaffordable, or whether or not the property appraises, or structural issues, or some other property-specific issues, we will either negotiate a lower purchase price, a credit back from the seller, or perhaps even walking away from the property altogether.
But it must be within the agreed upon terms of the contract, or some (or all) your EMD may be in jeopardy.
REMOVAL OF CONTINGENCIES and CLOSING:
If we find that the property, terms and conditions all meet with your approval, and you have removed all your contingencies, and then you decide you want to back out, you will most likely lose all of your EMD. Don’t do that. If you are going to back out, do so within the terms of the contract.
If you decide that you want to move forward and close the deal, then you will be expected to bring the remaining full amount of your down payment to escrow, so be sure your funds are liquid and able to be wired prior to closing.
TAKING POSSESSION OF THE PROPERTY:
Depending on what is negotiated in the purchase contract you may either be taking possession, or the seller may have the opportunity to rent the property from you for a previously, mutually agreed upon length of time and price.
Where will I be? I will still be here with you every step of the way. Even after you move in. Things come up and I’ve got your back.
Representing The Best Interests Of Sellers and Buyers Of Residential Real Estate Since 2002.
Find me online:
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