Next Steps
Let's set up an initial meeting to go over these first details and answer questions you might have:
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Discuss how brokerage relationships work in the state of Colorado—Definitions of Working Relationships—a helpful and required disclosure to make sure you are fully informed of the options available in working with a Real Estate Agent.
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Review and sign the Exclusive Right to Buy contract between you, as the buyer, and me, as your real estate agent, before moving forward (together, we will negotiate terms such as the success fee and duration–one property, set period of time, etc.).
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Discuss getting prequalified with a lender of your choice. I can provide a list of lenders my clients have successfully used and were happy with. You will want to fill out an online application for lender pre-approval and establish comfortable price range prior to showings. Check out this link to Murphy Whitlock Group Youtube for up-to-date mortgage rates and information.
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Request a MySite account , where properties directly linked to the MLS will pop into your email box when they go live. We will focus the search with your criteria and stay on top of listings the instant they hit the market.
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As a BONUS, I will be investigating pocket listings, marketing specific areas you become most interested in and finding those hidden gems that might surprise you. As I get to hear your feedback, I'll start to understand your must-haves and your wish lists!
Exclusive Buyer Representation
A Buyer’s Agent is dedicated to representing the Buyer's interests in a real estate transaction, not the Seller's. When operating under Buyer Agency (a legally defined term in Colorado), the Broker assumes fiduciary responsibilities such as loyalty and confidentiality towards their Buyer/Client.
Under new regulations, as of August 17, 2024, a Buyer and Agent must have a written agreement before showing a home. This agreement is essential to clearly outline the duties and obligations of both the Broker and the Buyer, ensuring a transparent working relationship.
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There are 2 options for the Buyer's Agreement.
1) Non-exclusive Buyer's Agreement - this allows the agent to show you a home, but will not obligate you beyond that home. This comes with no strings attached, other than paying a commission should you choose to write a contract on that home, but it also does not provide you with the full confidential care, negotiation experience and expert advice a Buyer's Agent can provide.
2) Buyer's Agency Agreement
A Buyer’s Agent diligently promotes and safeguards their clients' best interests throughout the entire transaction process.
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Why Should I Use a Buyer’s Agent?
Representing the Buyer is an important distinction that can save you time, money and effort. As your Buyer’s Agent I will:
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Advocate for you as a dedicated client, not merely a customer.
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Present the complete market landscape with impartiality.
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Conduct thorough property value assessments and offer informed pricing guidance.
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Investigate sellers and properties to offer strategic insights.
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Disclose any pertinent reasons you might reconsider purchasing a specific home.
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Share professional knowledge and effective negotiation strategies.
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Assist in crafting offers that prioritize your best interests.
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Maintain confidentiality regarding your bargaining and financial standing.
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Negotiate with unwavering good faith, loyalty, and commitment.
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Frequently Asked Questions: Buyer Agency
Q: How did Buyer Agency develop?
A: In 1983, a Federal Trade Commission study revealed that over 72% of all home buyers nationwide mistakenly believed they were being represented by the agent who was showing them homes. As a result, laws requiring agents to disclose exactly who they represent have been passed all over the country.
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Q: Exactly how does Buyer Agency establish this contractual relationship to represent me?
A: Just as the Seller establishes a contractual relationship by signing a Listing Agreement, you establish a contractual relationship with your agent by signing a Buying Agreement. This provides CLIENT-LEVEL services and legal protection for the Buyer.​
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Q: Can't the Listing Agent just represent me?
A: Yes, but there are several things to consider before entering into an agreement with the Listing Agent.. Instead of being represented by a Buyer's Agent, you will have one of these options, (which provide less benefit to you):
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Both Buyer and Seller will enter a Transaction Brokerage Relationship with the Agent, so they waive important services such as fiduciary duties, exclusive confidentiality and undivided loyalty in order to assist both parties. *"A transaction-broker assists the buyer or seller or both throughout a real estate transaction by performing terms of any written or oral agreement, fully informing the parties, presenting all offers and assisting the parties with any contracts, including the closing of the transaction without being an agent or advocate for any of the parties." *DD25-5-09- Definition of Working Relationships, CO Approved Form
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OR-- If the Agent is under a Seller's Agency Agreement, you will be considered a "customer" and the Agent will not be working for YOUR best interests, as the agent is obligated to act in the best interests of the Seller. They may NOT give pricing or inspection advice. They will only be writing the contract as you specify and keep track of the dates and deadlines. The Agent is not allowed to negotiate on your behalf or share any information of the seller's situation. *"A customer is a party to a real estate transaction with whom the broker has no brokerage relationship because such party has not engaged or employed the broker, either as the party’s agent or as the party’s transaction-broker." *DD25-5-09- Definition of Working Relationships, CO Approved Form
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Q: Another agent claims to represent the Seller but assures me they'll treat me fairly and look out for my interests. Isn't that sufficient?
A: While the agent may intend to act fairly, their primary legal obligation is to the Seller. This means they cannot provide guidance on whether the property is priced appropriately or negotiate the best terms for you as a Buyer. Their loyalty and legal responsibilities must align with the Seller's interests, despite any assurances of fairness.
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Q: How much money can a Buyer’s Agent save me?
A: Here are some typical ways that I bring value:
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Conduct a property value analysis to assess the true market worth.
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Negotiate effectively to secure the best purchase price and terms.
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Analyze builder incentives and sales background to ensure fair dealings.
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Incorporate necessary repairs and additional terms in the contract to safeguard your interests.
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Offer mortgage guidance by recommending lender options and reviewing estimates, empowering informed decisions.
Guide to Buying
Steps in the purchase process and definition of terms.
There is a lot to consider when buying a home. You want to make sure that you get the best house for you. Choosing the right home, the right neighborhood, the right layout—it can become overwhelming. It doesn’t have to be, if you journal your thoughts and think about what are the most important factors you want in your new home and then start looking!
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STEPS TO FINDING YOUR NEW HOME:
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Make a list of Needs and Wants- In addition to helping you narrow down your search, this is a great communication tool between you and a co-buyer, as well as with me!
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Work with a lender you feel comfortable with and get your budget established (let me know if you would like a list of preferred lenders I've worked with) You will need a Pre-Approval Letter when you decide to put in an offer!
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Decide on a Realtor! Having a Buyer's Agent working for you through the transaction ensures that your best interests are prioritized throughout the buying process, offering expert guidance, strategic negotiations, and dedicated representation. I would be delighted to assist you in your home-buying journey!
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Look through Listings I send to you. I will set up searches based on your criteria and browse through neighborhoods you like. I'll send you the details of those homes via email or text, and you can let me know which ones interest you.
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You might come across a home on your own that might be a good fit, too. Just, let me know as soon as you see homes you like and we can set up showings!
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ONCE YOU FIND A HOME:
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We will talk through details for your offer: Price, Closing Dates, Special Circumstances, Seller needs we might accommodate, correct names to hold title, etc.
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I will create a contract to buy the property, review together, then have you sign in person or e-sign.
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I will submit the offer and connect with the Listing Agent.
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If they counter the offer, we will talk through your wishes and either sign, counter or walk away.
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Once the contract is mutually executed, we are UNDER CONTRACT and the clock to closing begins!
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NOW THAT YOU'RE UNDER CONTRACT:
Dates and deadlines start- you will find these in the offer:
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Earnest Money - The earnest money must be submitted to the Title Company or other entity, as stated in the listing, by the contract deadline.
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Title to Property: Title work is done to make sure there are no liens against the property. When this is done, you will get a clean title to your property. We will review to see that there isn't anything objectionable. You will get updated information several times before closing.
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Financing: You will start a specific application for the particular property you have put an offer on. You will continue to work with your lender throughout this process, this includes providing financial information, talking through different loan options, etc.
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Inspection - Buyers have the right to have the property inspected professionally. If there are major items of concern, you may decide to Object and ask the Seller to fix or replace items. If negotiations are not successful, you may choose to get out of the contract with your Earnest Money in tact.​
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Home Insurance deadline - Contact your insurance agent to get a quote on this new property. If it lies in a flood zone or fire area, insurance may be out of budget. This deadline also lets you get out of the contract with earnest money in tact if the insurance is too high.
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Home Owners Association Regulations- Many neighborhoods have HOAs. The sellers have a deadline to provide the HOA documents, then you have a deadline to review and make sure you feel comfortable with the regulations. If not, there is nothing the seller can do to change those, so you can get out of the contract by the deadline with your earnest money in tact.
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Appraisal- Your lender will order an appraisal to make sure the value is at least the offer price. This is for both your protection and the lender's. If the house does not appraise, you may choose to re-negotiate, stay in the existing contract, or get out with your earnest money in tact. (If you are buying with cash, you may wish to waive the right to an appraisal and save some money.)
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Loan Objection- If, for some unforeseen reason, (for instance, rates went sky-high or the loan didn't meet your expectations,) you could get out of the contract and get your earnest money back.
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Settlement Statement - About 3 days before closing, we will receive the Settlement Statement from the Title Company stating all the charges and necessary funds to close. We will go over that together to make sure it complies with the contract and with fees we know of. Arrangements will be made for the wire transfer or specific check to bring to closing.
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Walk-Through- We will arrange to do a walk-through before closing- often the morning of. This is strictly for the purpose of seeing the last minute condition of the property and that it is clean, personal property has been removed and it looks at least as good as when you viewed the property originally. You can also double-check the Inspection Objection items have been completed.
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CLOSING DAY! Closings usually are held at the Title Company, but may be other places. I will work with Title and the Listing Agent to schedule the time and place. The date has already been agreed upon in the contract. BRING- your photo ID (maybe 2 pieces) and any Funds needed to close in the way specified by the Title Company. (This may have been pre-arranged by you with a wire transfer or a with a check.)
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No matter what your budget is, we can find the perfect home for you. As a certified Real Estate Agent, I will be with you every step of the way, from helping you narrow your search to guiding you through the negotiation process. Let's work together, and DO THIS!
Interested in finding out more? Contact me to see how you can get started today.
