Real Estate: 3 Little-Known Facts

For those who don't make a living at the game, selling and buying real estate can be a mysterious and confusing process. Even if you're looking to do no more than make a single transaction (which is the case for 90% of the population), it often seems as though little more than the same information gets repeated again and again. And at the end of the day, your house is still out there on the market, being passed over while you think about lowering the price once more time. It doesn't have to be that way. By availing yourself of some of the lesser-known facts about the market, you can sell your house more efficiently, put more money in your pocket, and avoid wasting time and money on things that don't matter. Here are three little known facts about selling your home.

Agent Fees Are Negotiable

If you've been talking to real estate agents, you've probably gotten the impression that their commission fees are non-negotiable. Certainly, they may be in some cases, but more often than not there is some room for compromise. Unless you're trying to sell your house in a booming market (in which case you may have little need for an agent to begin with), the agents in your community are hurting for clients. There is almost always more competition than there are houses. In this situation, people who depend on sales for their living will have little chohce but to accept lesser terms for a guaranteed payday. This works better with smaller agencies than with the larger ones.

How Large of a Down Payment Do I Need to Buy a House?

There are several types of mortgage loans you can get to buy a house, and there are various down payment amounts with each type. Simply put, the more money you put down, the lower your mortgage payment. And the larger the down payment, the lower your interest rate will be.

Down payments range from 3% - 20%. You may see ads that say you can buy a house for no money down. In the early 2000's, it was fairly easy to find 0% down loans. With changes in the economy, the increase in the number of foreclosures, and the sub-prime lending crisis, these no cost loans are few and far between, unless you are a military veteran with good credit.

These changes have also made it more difficult for anyone with poor credit to qualify for a loan to buy a house. With less than stellar credit, expect to pay higher interest rates. And if you put anything less than 20% down, you will be required to buy Private Mortgage Insurance that can amount to quite a bit of money.

Real Estate Tips To Make Your Purchase Successful

Buying your first home can be a stressful, nerve-wracking occasion. Even purchasing a new television is not something you want to take lightly. When you compound that purchase price a hundredfold (at least), it's no surprise that many potential home buyers get scared away. But anything you can do to get out of the rat race of endless renting is a good thing. However, if you can make good real estate choices when purchasing, you'll be much more satisfied with your result. Here are some tips that can get you started on the right path.

Get an Agent

There's little reason to go it alone when looking for a new house, especially if you're a first time buyer. Having a good real estate agent by your side can make a big difference. They know the ins and outs of the market and can steer you in the right direction when it comes to finding what you need. Do they have ulterior motives? Well, of course they want to sell you the best home you can afford, but isn't that what you want as well? Remember, when you simply use the listing agent, you are at odds, financially speaking. Their responsibility is to the seller, not to the buyer. Get a buyer's agent and your purposes should dovetail.

Finding the Best Sites for Property Auctions

Are you looking to break into the field of independently buying properties at auction? If so, then it can be difficult to find the information that you need. This is why it is important to be familiar with the various sites for property auctions in your area. There are a few ways that you can go about finding these. The best way to do so is simply to spend several hours scouring the internet and performing various searches that for auction properties in your area. Aside from this, however, it is also important to contact various realtors in your area as well as auctioneers as these people will know how to point you in the right direction.

Search the Internet for Auction Properties

The best place to start when searching for sites for property auctions in your area is simply by performing some very spechfic internet searches. The more specific your search is, the more likely you are to find what you are looking for. Search as comprehensively as you can so that you can be sure that you have a good idea as to how many resources there are that are available to you.

Speak to Several Realtors

Once you have performed your internet searches, it is a good idea to contact a number of realtors in your area and ask them if they know of any sites for property auctions. Realtors tend to be very plugged in when it comes to the real estate market, and there is a good chance that one of them will point you toward a good resource for finding an auction in your area.