Jim Valentine on real estate
A real estate transaction has a wide variety of components, many of which have a cost. Sometimes buyers and sellers get so excited about the idea of buying or selling that they forget to be careful in their approach to accepting services that have costs associated with them. Other times, they’re so cost-conscious that they end up tripping over dollars to save a dime. Take the time to assess your situation.
One of the most common areas that is not compared is the loan process. The most important thing about the loan is to have a great loan officer, but they should be backed by reasonable fees. Some companies will end up charging a third more than their competition, and buyers never know it. Not only is the third party an unnecessary extra cost, it’s a lot of money when you’re dealing with thousands of dollars. Make sure you know all the “hidden” costs, the little things that pop up along the way.
Home warranty companies have different programs. Be sure to shop around for your program and compare what is offered at each level. They are not the same, and the cost of the policy can make a big difference, or even more if things aren’t covered for which you thought you had protection.
Make sure you have the right policy for your purchase i.e. you don’t need to insure the well pump when you’re on city water, but you won’t forget it if you are on a well.
Real estate commissions are negotiable, but remember, “if you pay peanuts, you get monkeys!” Don’t go for discount brokerage just to save money. Quality is what you want and there is a lot of it in northern Nevada where our level of practice is high. If you need more time to sell, you sell for less than you could have, and you expose yourself to litigation or having to enter into negotiations detrimental to your position to get out of a traffic jam …
Fees are often lower these days anyway due to operating cost adjustments that agents benefit from and pass on to themselves, but don’t make your agent decision just on the fees they’ve reduced. If they can’t represent their own worth and protect their income / money, what do you think they will do when it comes to representing you and your money?
Most buyers simply call their insurance agent to get an insurance policy. What they don’t think about is the insurance companies are changing their stance and sometimes they are slowing down the writing of their policies in Nevada by increasing their costs. In these situations, they can cost twice as much as the others. You might have used this business for 30 years, but it might not be a good time to buy an insurance policy from them now. Call and get quotes before you jump in and spend any money – you could save hundreds of dollars.
Can you go to the escrow office to sign or do they have to send you a mobile notary? That’s another potential of $ 150, or so, that you can save. Close at the end of the month and you’ll save cash with the pro-rata at that time of the month. Plan your closure so you don’t miss out on moving work. Look for other areas of the deal where timing things can save you money. Most physical / pest inspectors will give you a $ 25- $ 50 discount if you pay at the time the service is provided instead of having them drop the bill.
Don’t just focus on price when buying or selling. There are many areas where you can save money that could potentially run into a few thousand dollars just by being aware and careful.
When it comes to choosing professionals to support you in your real estate needs… Experience is priceless! Jim Valentine, RE / MAX Realty affiliates, 775-781-3704. firstname.lastname@example.org