First-time home buyers often are unaware of the legal responsibilities of their agents during the home buying steps. There are legal responsibilities between the agents of the buyer and those of the seller. Without solid help from a capable agent, the home buyer often makes mistakes in the process of making an offer on a home. There are three tips you should know, as a home buyer, if you want to purchase your new home in as smooth a manner as possible.
Buyers should be mindful that the agent who is assisting the buyer has a legal obligation to the seller of the home because the commission is paid by the seller. Since the buyer’s agent is a sub-agent of the seller’s agent, the home buyer’s agent must disclose information to the seller even though he or she is working on behalf of the buyer. Most homebuyers do not realize this!. What this means is that your agent must disclose to the seller’s agent if you are willing to actually pay more than your offer.
Several states now allow the option for buyer’s agents to work only for you and not have any responsibility to the seller’s agent. This is called a “buyer agency.”. It is wise for you, the home buyer, to have your agent act as a “buyer’s agent” because he or she then will be your complete advocate during the home buying process, in particular, if this is the first time you are going through the home buying process. If you must work with an agent who is working as a “sub-agent” do not disclose information to the agent that you would not want to be revealed to the seller.
Another thing to understand is that you should make a reasonable offer on the house you want. The buyer is not allowed more than one counteroffer. Be certain that you understand all the items included in the sale. Occasionally there can be confusion over what items are included in the home sale transaction. As an example, make sure that you spell out which kitchen appliances you want to be included in the transaction. Have your agent help you with any checklist of appliances and any other items which are not permanent fixtures in the home. You may assume an antique chandelier is included, while the sellers plan to take the chandelier to their new home. By spelling out all specifics in the contract, last-minute haggling can be avoided, and closings can proceed as planned.
By following these tips you will increase the odds of having a smooth transaction. In addition, you will give yourself increased odds of having everything documented if you need it for future legal reasons. Hopefully what you learned will give you a better education on the home buying process and give you increased chances of enjoying your new home for a long time to come.