A good real estate agent in your corner can make all the difference in the world when you are buying a home. A Realtor can guide you through the oftentimes confusing and complicated requirements you’ll need to qualify for a mortgage, as well as help you find a home that exactly meets your family’s needs. There are bad apples in every bunch, however, and the same can be said about real estate agents. The following are common lies that agents will tell you to gain or keep your business.
1. The Condition of the House
First of all, they might be dishonest about the state of the house you are looking at. It’s easy to smile and say “this house is in great shape!” to try and make a sale. The one who loses out is the buyer who blindly trusts in those words and moves forward without an inspection. Even the most ethical agent likely doesn’t have the qualifications to tell you for sure if a home has issues or not. An independent inspection will only cost you a few hundred bucks and can easily save you thousands in heartache and repairs.
2. If You Can Afford the House
Another common lie by unethical agents is telling buyers that they can afford a home when, in reality, it’s not a good idea. There are multiple factors to consider when figuring out whether you can afford a home, and it’s not as simple as using one of those online calculators. You also need to factor in homeowner’s insurance and taxes, which will be part of your monthly payment as escrow. An agent is not the person to help you determine whether you can afford a home. For that, you need a trusted lender or mortgage professional. Overestimating what you can afford is a mistake that can lead to eventual foreclosure.
3. If it's a Buyer's or Seller's Market
Lying agents can also mislead buyers about whether it is a good time to purchase a home. Every buyer has to do their due diligence in figuring out whether it is a buyer’s or a seller’s market in their area and taking the temperature of the neighborhood to determine where they stand. This can make a huge difference in the price you pay for your home. It’s also good to know whether you can expect competition when looking at desirable homes.
These are just some of the untruths that a bad Realtor can tell. That’s why it’s so important to hook up with someone that you and your family can trust. Referrals and recommendations from friends, coworkers, or acquaintances are a great way to meet someone who will treat you right and help you make a great deal on a great home.