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\n <\/div>\n \n A Top Agent Can Help You Find A House You Can Afford<\/h3>\n
We analyze millions of home sales to find buyer’s agents who will show you the right home at the right price. Our service is 100% free, with no catch. Agents don\u2019t pay us to be listed, so you get the best match.<\/p>\n \n
Editor\u2019s note: This post is just one of many free resources made available by HomeLight. Check out our easy search tool<\/a> to learn more about almost any home buyer or seller topic.<\/em><\/p>\n Top Las Vegas agent <\/span>Rebecca McKenna-Inman<\/span><\/a> has more than <\/span>25 <\/span>years of experience in the industry. For her, the home buying process begins as soon as a buyer starts thinking about it.\u00a0<\/span><\/p>\n \u201cI usually tell potential clients to start taking those first steps toward homeownership the minute they think about buying,\u201d she says. \u201cIt might not happen for a year or two, but you should put a plan together. People need to find out what they can afford, how much they need to save, or any clean-up or improvements that might be required of their credit report.\u201d<\/p>\n \u201cDo you want to be near a specific school if you have children or are planning to have them?\u201d McKenna-Inman says. \u201cOr are you okay with a commute to work if you find a house outside of town? Every buyer should consider the end result, which includes location, schools, and of course, price and affordability.\u201d<\/p>\n While it may seem early to be thinking about how to <\/span>handle a low appraisal<\/span><\/a>, McKenna-Inman says new shoppers have to look ahead and be ready. In many parts of the country, the housing market is running with a very low inventory, which means homes may sell for more than their appraised value.\u00a0<\/span><\/p>\n \u201cThere isn\u2019t much you can do about the appraisal,\u201d she says. \u201cIf the appraisal comes in below the purchase price, you\u2019ll either need to try to renegotiate with the seller, or have the financial wherewithal to cover the difference between the purchase price and appraised value.\u201d<\/p>\n Keeping this in mind from the start can help when you start looking at listings. It also underscores our next expert home buying tip.<\/p>\n Ruth Wordelman<\/span><\/a>, a top Colorado agent who <\/span>works with over 77%<\/span> more single-family homes than the average Colorado Springs agent, says that buyers should work with their lender in regards to how much they\u2019ll need to save for a down payment, and when doing so, they should consider the market in their location.\u00a0<\/span><\/p>\n \u201cYou\u2019ll probably want to save extra in case you need to cover an appraisal gap, which is the shortfall between what a house appraises for and the agreed contract price,\u201d Wordelman advises.<\/p>\n \u00bbLearn more:<\/i><\/b> How Often Do Home Appraisals Come in Low? Here Are the Odds<\/span><\/i><\/a><\/p>\n Top-performing California agent Rick Fuller<\/a> says that prospective buyers really need to understand their budget before they start looking at homes.<\/p>\n \u201cThere\u2019s nothing worse than finding a property you love, but is above your means,\u201d he says. \u201cIf you find a home and it\u2019s not in your budget, you end up disappointed in every subsequent house you visit.\u201d<\/p>\n \u00bbLearn more:<\/strong> Check your shopping range with HomeLight\u2019s Home Affordability Calculator<\/a><\/em><\/p>\n When housing inventory is short (which it is in many markets), you will likely face competition from other buyers. Knowing this, Wordelman suggests that buyers probably should not shop at the very top of their budget.<\/p>\n \u201cIf you are approved for up to $450,000, I recommend shopping for homes between $350,000 and $425,000,\u201d says Wordelman. \u201cIn many areas, homes can go for above asking price, and you\u2019ll want to have that cushion.\u201d<\/p>\n She adds that each market can be different, but reiterates what several of our top expert agents have recommended: \u201cAppraised values are coming in short in many markets, so you should be certain to have a <\/span>buffer in your down payment<\/span><\/a> to cover any potential appraisal gap.\u201d<\/span><\/p>\n While an agent should create a fairly exhaustive search for prospective buyers, Wordelman says that one thing they sometimes overlook is opening up searches to MLS systems that might be right on the edge of where you want to buy.<\/p>\n \u201cIf your area is on the cusp of a second MLS system, make sure your agent prepares searches using both regions,\u201d she says. \u201cAs a buyer, you might want to look at places that are just outside the immediate area, and your agent should do this for you.\u201d<\/p>\n \u201cIf you end up having an appraisal gap, it can be helpful to know sooner than later,\u201d Wordelman says. \u201cThe seller does not have to lower their price, and you don\u2019t necessarily have to bring in more cash than you offered. Remember, closing isn\u2019t over until the funds are received, so this is the time to negotiate.\u201d<\/p>\n You\u2019ll want a top agent<\/a> in your corner who can spot value potholes that may be forming on the road ahead.<\/p>\n Both Fuller and Wordelman stress the importance of choosing an agent who knows your area and the local market.<\/p>\n \u201cAn agent should be knowledgeable about things like property taxes, HOAs (homeowners associations) in various neighborhoods, schools, everything pertaining to your area\u2019s market,\u201d Fuller says. He adds that a good agent will also have a handle on \u201cproperties that aren\u2019t quite on the market yet,\u201d in addition to \u201cproperties that were on the market and didn\u2019t sell for whatever reason\u2026it\u2019s possible for us to have a conversation with the seller if we have an interested buyer.\u201d<\/p>\n \u00bbLearn more:<\/strong> How to Pick a Real Estate Agent for Buying a Home<\/a><\/em><\/p>\n When trying to decide on an agent, take advantage of the resources offered online.<\/p>\n \u201cTake a look at online reviews,\u201d says Fuller. \u201cRead the reviews of that agent in order to better determine if they will be a good fit for you. Also, look for companies that are recommended by third-party endorsements, or agents who have won awards for quality of service.\u201d<\/p>\n \u00bbLearn more:<\/strong> How to Interview a Realtor in a Brief 15 Minute Phone Call<\/a><\/em><\/p>\n Selecting a knowledgeable local agent is, of course, an important part of the home buying process, but you also want to know they will really be there for you.<\/p>\n \u201cAgents need to be available to their buyers,\u201d says Wordelman. \u201cThey should be responsive to your calls and texts, and remain connected throughout the process.\u201d<\/p>\n Wordelman adds, \u201cAn agent who has been working in a specific market for a long time and has a good reputation can go a long way toward getting your offer accepted.\u201d<\/p>\n Fuller notes that buyers who choose agents who are part of a real estate team often have a more streamlined experience.<\/p>\n \u201cEveryone goes on vacation, gets sick, or may have to take leave,\u201d Fuller says. \u201cWhen you go with an agent who is part of a team, even if your agent isn\u2019t available, there will always be someone who can help you.\u201d<\/p>\n Is a Realtor team right for you?<\/p>\n \u00bbLearn more:<\/i><\/b> How Much Commission Does a Real Estate Broker Receive?<\/span><\/i><\/a><\/p>\n Fuller says that both buyers and their agents should understand that when it comes to making a good offer, price matters.<\/p>\n \u201cIt\u2019s not the only factor, but it is very important,\u201d he says. \u201cMost sellers are going to select the highest price offer, and in a multiple-offer environment, you\u2019re going to have to pay more than the list price.\u201d<\/p>\n \u201cIn every market, a reputable agent is going to understand how much a house price goes up with each additional offer, and will be able to write an offer that is best for their buyer.\u201d<\/p>\n Wordelman adds that your agent should also be contract savvy and keep you well informed. \u201cMake sure you know what deadlines there might be in the contract, so you know at what point your earnest money can\u2019t be recovered,\u201d she says.<\/p>\n \u00bbLearn more:<\/i><\/b> All-Cash Offer: Guide for Buyers and Sellers<\/span><\/i><\/a><\/p>\n Fuller often advises his clients to consider negotiating certain repairs, as opposed to just asking the seller to pay.<\/p>\n \u201cOne way is to ask for a price reduction, which could mean a lower loan amount for the buyer and lower property taxes,\u201d he says. \u201cA buyer could also ask for a closing cost credit, which can offset closing costs.\u201d<\/p>\n \u201cThere could also be items on the property you might like to acquire as the buyer, such as furniture or appliances, and you could request those be part of the sale in lieu of repairs.\u201d<\/p>\n Wordelman adds that it\u2019s important to write a clear and concise request in regard to any repairs you want to be done prior to closing. \u201cVague or ambiguous requests could be waiving what you really want,\u201d she says. \u201cYou don\u2019t get to ask for more once you sign off on the inspection, so be clear on what you expect.\u201d<\/p>\n \u00bbLearn more:<\/strong> Expert Guidance On Home Offers & Negotiations for Buyers<\/a><\/em><\/p>\n Mckenna-Inman says that buyers should review all receipts for any completed repairs, primarily to verify that they were done by a licensed professional. \u201cI always want to see proof of who did the work,\u201d she says, \u201cespecially with things like electrical or plumbing. You don\u2019t want some friend of the seller, who might not be licensed or know what they\u2019re doing, to be making repairs on the home.\u201d<\/p>\n Agent <\/span>Richard McKinney<\/span><\/a>, who is based out of Florida and has <\/span>28<\/span> years of experience helping buyers find the right home, says that a big part of negotiating with the seller is knowing what is important to them. \u201cThe seller often has concerns that go beyond the price of the home,\u201d he explains.\u00a0<\/span><\/p>\n \u201cYour agent should find out if there are other things they want, such as if they need to sell fast or prefer a long closing, or if they would consider a lower offer for a cash deal that closed fast. Asking what is important to the seller should be the very first thing your agent does prior to making the offer.\u201d<\/p>\n McKinney says that no matter how qualified you think you are, making sure you have your preapproval letter is very important.<\/p>\n \u201cI see so many offers come across my desk without pre-qualification letters,\u201d he says. \u201cA seller needs the comfort of knowing the buyer is serious and well-qualified.\u201d<\/p>\n \u00bbLearn more:<\/strong> Mortgage Pre-Qualification vs. Pre-Approval: What\u2019s the Difference?<\/a><\/em><\/p>\n If you are a first-time homebuyer, you\u2019re most likely among the <\/span>91% of buyers<\/span><\/a> who need to apply for a mortgage because you’re unable to buy a house with cash. As a new home shopper, <\/span>you <\/span>may not realize how many loan options are available to you.<\/span><\/p>\n McKinney urges his buyer clients to <\/span>shop around for the best loan terms<\/span><\/a> possible. The type of loan you choose can make a big difference in the cost of your mortgage.<\/span><\/p>\n If you\u2019re a second-time home buyer, you probably have <\/span>equity in your current home<\/span><\/a>. Talk to your agent and your lender about your <\/span>options to unlock your home equity<\/span><\/a>. See our final bonus tip below for a modern, innovative way to <\/span>Buy Before You <\/span>Sell<\/span><\/a>.<\/span><\/p>\n \u00bbLearn more:<\/i><\/b> No Down Payment Mortgage Calculator (Side-by-Side Comparison)<\/span><\/i><\/a><\/p>\n Whether you are a first- or second-time homebuyer, <\/span>it <\/span>can be helpful to check the U.S. Department of Housing and Urban Development\u2019s (HUD\u2019s) <\/span>local home buying programs resource page<\/span><\/a> to find locally sponsored programs.<\/span><\/p>\n As the HUD site explains, \u201cIn addition to HUD’s mortgage insurance programs, there may be programs sponsored by your state or local government or other organizations. You can start by selecting the state that interests you.\u201d<\/p>\n Wordelman advises double- and triple-checking to make sure funds were wired in advance; otherwise, your closing might be delayed. \u201cWhere I live, we fund at the table,\u2019\u2019 she says. \u201cThat is the day everything happens.\u201d And if your title company requires a cashier\u2019s check, make sure you get that at least a day before closing so you have it with you the day of the big event.<\/p>\n This is an important detail that, if not considered, can stain your entire home buying experience.<\/p>\n4 expert tips before you shop for a home<\/h2>\n
Tip 1: Start planning early<\/h3>\n
Tip 2: Consider amenities and your commute<\/h3>\n
Tip 3: Be prepared to tackle a low appraisal<\/h3>\n
Tip 4: Save more than you think you\u2019ll need<\/h3>\n
4 expert tips when shopping for a home<\/h2>\n
Tip 5: Shop knowing how much house you can truly afford<\/h3>\n
Tip 6: Don’t shop at the top of your budget; hang just below it<\/h3>\n
Tip 7: Shop on the edge of your location boundaries<\/h3>\n
Tip 8: Know the appraisal value sooner than later<\/h3>\n
4 expert tips to get the best agent<\/h2>\n
Tip 9: Hire a local agent for more results and less surprises<\/h3>\n
Tip 10: Vet your agent and get recommendations<\/h3>\n
Tip 11: Select a responsive, accessible agent<\/h3>\n
Tip 12: Consider if you\u2019d prefer a Realtor team<\/h3>\n
4 expert home buying negotiation tips<\/h2>\n
Tip 13: Be strategic with your offer price<\/h3>\n
Tip 14: Know when to negotiate repairs<\/h3>\n
Tip 15: Ask the seller for repair receipts<\/h3>\n
Tip 16: Be familiar with the seller\u2019s goals<\/h3>\n
4 expert financing and closing tips<\/h2>\n
Tip 17: Get preapproved for a loan<\/h3>\n
Tip 18: Shop for the right loan type<\/h3>\n
Tip 19: Shop for buyer assistance programs<\/h3>\n
Tip 20: Be certain funds get wired on time<\/h3>\n