Colorado Real Estate News

Questions to Ask Your Real Estate Broker

real estate agent and clients talking with masks on.

Whether you’re a first time or a veteran buyer, Kentwood has you covered. Here are some great questions to ask your agent before, during and after buying your new home.

Before Hiring Your Agent

1. Can I see your real estate license?

This should always be one of the first questions you ask a potential agent! Always make sure the person you are working with is an accredited professional. All established agents will be prepared to show you their license, so if they refuse, move on to the next.

2. How long have you been an agent?

The more experienced the agent is, the more industry knowledge and problem-solving skills they will have. To confirm the credibility and success of an agent you are considering, check out their testimonials and online reviews.

3. Are you familiar with the area I am interested in?

Find agents that have experience buying or selling in the neighborhood you are considering. Location does matter! You want to make sure they can answer all of your questions regarding school districts, development plans, crime rates in the neighborhood, surrounding restaurant and entertainment options, etc. For more information on areas that you may be interested in, check out the Colorado Communities section of our website.

During the Housing Search

1. Can you explain the homebuying process from start to finish?

This question is great for first-time buyers! You want to know what to expect going into the buying process. They should cover topics such as: how showings go, how to place an offer and what happens during a home inspection. The Realtor® should also be transparent about how their commission works since buyers do not usually pay agent commission fees.

2. How dated is the property?

It is crucial to find out how much extra money you will have to put into a property post-purchase. The most expensive renovation is typically roof replacement. Most roofs last for roughly 20 years and cost, on average, $6,000 to $10,000 with a maximum rate of around $45,000. It is also important to ask about the major appliances and what their predicted life expectancies are. Make sure to inquire about the water heater, stove, dishwasher, washer and dryer, refrigerator and HVAC system.

3. What was the seller’s motivation for putting the house on the market?

This question will determine your negotiation angle. If the seller is moving to a larger house in the same town simply to upsize, they probably are not too worried about the timeline of closing. On the other hand, if the seller is relocating for a job and has already moved out of town, they are usually more willing to work with you on the price to have a quick closing.

4. How many days has the house been on the market?

Another question related to negotiating strategy. According to Realtor.com, most houses are on the market for an average of 52 days. This statistic excludes winter, where the average is slightly higher. So, if a home has been on the market for over two months, the seller may be more receptive to a negotiated price.

After You Have Found a House

1. Can I see a CMA for this house?

You have found the house of your dreams, but you are not done yet! When it comes time to close on a house, you want to make sure you as the buyer are getting the most bang for your buck. A Competitive Market Analysis form will look at nearby, similar properties to determine your future home’s worth in today’s market. This will tell you whether your home is priced reasonably and can inform the route you take with negotiation.

2. What happens when I move to close on a house?

Make sure you coordinate with your agent on who will be handling the closing, where the closing will take place, what you will need to bring to the closing and what the closing costs will be. Both the buyer and the seller are always required to provide photo identification, and the seller must show proof of homeowner’s insurance. As for closing costs, they vary depending on the property, so be prepared to pay both broker and third-party fees at the closing.

Whether you are looking to list your property or search for a new home, Kentwood is always available to provide expert guidance on your real estate journey. Fill out our contact form to connect with a seasoned broker dedicated to fulfilling your homeownership dreams.

Colorado Real Estate News

Why Pricing Your House Right Is Essential

In today’s real estate market, setting the right price for your house is one of the most valuable things you can do.

According to the U.S. Economic Outlook by the National Association of Realtors (NAR), existing home prices nationwide are forecasted to increase 4.7% in 2020 and 4.1% in 2021. This means experts anticipate home values will continue climbing into next year. Today, low inventory is largely keeping prices from depreciating. Danielle Hale, Chief Economist at realtor.com, notes:

“Looking at the sheer number of buyers, low mortgage rates, and limited sellers, the strength of home prices–which are now growing at the highest pace since January 2018–makes sense.”

When it comes to pricing your home, the goal is to increase visibility and drive more buyers your way. Instead of trying to win the negotiation with one buyer, you should price your house so that demand is maximized and more buyers want to take a look.

How to Price Your Home

As a seller, you might be thinking about pricing your house on the high end while so many of today’s buyers are searching harder than ever just to find a home to purchase. You’re thinking, higher price, greater profit, right? But here’s the thing – a high price tag does not mean you’re going to cash in big on the sale. It’s actually more likely to deter buyers and have them looking at the houses your neighbors are selling instead.

Even today, when the advantage tips toward sellers because there are so few houses for sale, your house is more likely to sit on the market longer or require a price drop that can send buyers running in the other direction if it isn’t priced just right.

Our Trusted Real Estate Professionals Will Help

It’s important to make sure your house is priced correctly by working in partnership with a trusted real estate professional. When you price it competitively, you won’t be negotiating with one buyer over the price. Instead, you’ll have multiple buyers competing for the home, and that’s what ultimately increases the final sale price.

The key is making sure your house is priced to sell immediately. That way, it will be seen by the most buyers. More than one of them may be interested, and your house will be more likely to sell at a competitive price.

Bottom Line

If you’re thinking about listing your house this fall, connect with a Kentwood broker, to discuss how to price it right so you can maximize your exposure and your return. Find a broker at www.Kentwood.com