San Marcos Buyer's tips |
San Marcos Buyer's informationSome major points & advice for a successful home search:1. The Multiple Listing Service (MLS) - The MLS is the central database where all Realtor's pool listings for sale. It includes all property listings from all brokerages (i.e. Prudential, Keller Williams, C21, etc...). All Realtors have the same access to the MLS, so it doesn't make sense to work with multiple agents. Just be sure to find a good agent and give them in depth feedback and information for your move & they will be able to find what you are looking for. 2. Using a Buyer's Agent - The services of a buyer's agent are free - sellers pay both the commission for the listing agent and buyer's agent. While some people think it is in their best interest to go directly to calling a listing agent for a particula property they drove by or saw in the paper, this couldn't be more incorrect. The Seller is represented by the listing agent - this listing agent is responsible for selling that property and representing his seller's best interest, not yours. A buyer's agent will represent your best interests, provide you with all the information and service you need, as well as negotiate on your behalf given their expertise with the local marketplace. Think about it this way, if you were a plaintiff in a court case, would you speak to the defendant's lawyer for advice? Your buyer's agent is familiar with the neighborhood, what's available, market trends, and searches for homes on a full-time basis. They can represent you & help you with any home that is for sale, whereas a listing agent will push their handful of properties only. 3. New Home Construction - There are a number of new homes coming onto the market in San Marcos in the next 2 years, including the very popular San Elijo Hills subdivision. It is just as important to have a buyer's agent represent you with new homes, just as much as you do with resale. First off, like with listing agents, going directly to a sales agent who works for a builder is not in your best interests. Their primary concern is selling you a home in that subdivision only - a buyer's agent doesn't care where you buy and will advise you on what areas are best. They can advise you on what builders are building in communities you are interested in and bring you to view homes & models. It is best that you have a Realtor with you the first time you walk into a new home or else the new home builder will not work with your Realtor and you will lose your representation. 4. Working with a Lender - If you haven't already, speak with a lender to get a credit report. If your scores are good, you can proceed to get prequalified for a specific price range based on the monthly payments and loan product that you are comfortable with. This is an essential first step in your home search. If you don't know what you want to spend, how can you know what price range to search in? Your lender will also advise you on ways to improve your credit to receive a better loan rate. When you have a property in mind & are ready to make an offer, it is advised to speak with 2-3 lenders to get the best product at the best rate. 5. Tax Benefits - Interest payments on your mortgage & your property taxes are tax deductable. In the first few years of a 30-year fixed loan, most of the money you pay is interest. This makes owning a home more affordable than most people realize. Be sure to ask your Accountant about the tax deductions you receive as a homeowner. As an example, with a $3,000/month payment, you could receive up to $1,000 of that back come tax time. 6. Leverage your Investment - By financing your entire home mortgage, you can invest in a $500,000 property with less than $10,000. Imagine investing this $10,000 in something else like a mutual fund. If you had a good year, you'd get 20% on your investment, which now would total $12,000. In contrast, if your home received a small 5% gain in value over a year, you would now have gained $50,000 in equity. $50k or 2k? I think this best illustrates the concept of leveraging your investments by investing in real estate. When considering real estate as a conservative investment, it is always advised to look at the long-term 5, 10 or 15 years. |
| San Marcos Calfornia Homes |
| Steve Scheckner works as a Keller Williams Realtor servicing San Marcos & Carlsbad Real Estate. |