A Buyers Representation Agreement is a legal document that formalizes your working relationship with a particular buyer’s representative, detailing what services you are entitled to and what your buyer’s rep expects from you in return. While the language used in the document is formal, homebuyers should view it as an important and helpful tool for clarifying expectations, developing mutual loyalty, and most importantly, elevating the services that you will receive.

By signing a buyer’s agreement you can expect to receive a higher level of service. When you enter into an agreement you are no longer a customer (receiving limited service) but become a client (receiving the highest level of service).

You get more without paying more. In almost every case, home sellers have already agreed to pay a buyer’s agent’s commission. While buyers rarely pay real estate commissions, this is an important detail you will want to discuss with your buyer’s rep and clarify in their representation agreement.

A Buyer’s Representation Agreement clarifies expectations. Agency relationships are based on mutual consent. While most representation agreements specify a time period, they can be terminated early if both parties consent.

When you and your buyer’s rep work together within a formalized agency relationship, you have created a team dedicated to helping you achieve the best possible home-buying experience.

Questions that you need to ask yourself before pursuing these types of properties:
1. Are you flexible on timing? Can you make a quick decision and accomodate months of possible delay?
2. Is your purchase contingent on selling your home? Banks want a clean offer with few or no contingencies.
3. Have you already secured financing? If you have, the bank considers you a strong and serious buyer that has done the initial footwork required to purchase a home.
4. Do you have resources to rehab and repair a property, if needed?
5. If you are buying a property for investment purposes, what is your action plan? Rent or re-sell or inhabit the property yourself?

Foreclosure is a process that can offer buying opportunities at each stage.
Stage 1- Pre-foreclosure sale is a period of time that begins with the initial mortgage default and ends when the property is sold.
Stage2- Foreclosure sale is when the property is auctioned off to the highest bidder that also meets the terms of the sale.
Stage 3- REO (Real Estate Owned) is real estate that did not sell through foreclosure and is transferred to the lender.

What is a short sale?
This is a situation in which the seller owes more on their loan than a sale on their property will produce, and they are unwilling or unable to make up the difference at closing. The seller may or may not be in foreclosure. Banks may consider a short sale to a new buyer. Foreclosures are very expensive for banks that need to hire attorneys, property managers and other professionals. Accepting a short sale enables the bank to cut their losses.

Your ABR buyers representative can help you in this process, especially if your Realtor also has the training and experience in these types of sales indicated by an SFR designation.

Following these five steps will improve your outcome of getting a mortgage. Your ABR can provide more detailed information on each step in the process.

Clee Duncan ABR ( Accredited Buyers Resource)

The Maine Association of Realtors is relatively optomistic about 2011 and expects a moderate rebound later in the year.

Buyers that are waiting for prices to bottom out can find themselves missing the boat. This is often the result when trying to outguess the market. Many buyers see residential real estate purchases as an investment. While it is good when you can make a profit when selling, that is not the only reason to purchase. compared to renting, buyers can actually enjoy and take pride in their efforts to improve their property. In addition, the buyer becomes an important contributor to the local economy and neighborhood.

Buyers that are looking for real estate to purchase are best served when working with a Realtor that specializes in buyer needs and concerns. Realtors with ABR (Accredited Buyers Representative) certifications are better able to represent their buyers. Their knowledge, experience and up to date information and strategies help buyers get the most for their money. You will save valuable time and will have reduced anxiety being confident that your ABR Realtor is working for your best interests.

Clee Duncan has recently completed coursework for both ABR and SFR (Short Sales and Foreclosure Resource)designations.

The Maine Real Estate Commission requires that SELLER client Realtors working with non-represented buyers, also known as customers, the following:
1. Maintain loyalty to the SELLER
2. Tell the SELLER all that they know about the buyer.
3. Keep information about the SELLER confidential.
4. Focus on the SELLER-clients property
5. Provide just material facts to the buyer-customer.
6. Only provide price information that supports the SELLER’S listing price.
7. Protect the SELLER.
8. Negotiate on behalf of the SELLER.
9. Attempt to solve problems to the SELLER’S advantage and satisfaction.
As you can see, the un-represented buyer receives no service or protection.
How can hiring a Realtor and becoming a client, help you, the BUYER?
1. Your agent will give your needs priority. This means that the type of house, price and location are all given priority by your Realtor.
2. Now, your Realtor can tell you, the BUYER, what they know about the seller.
3. Your agent will keep information about you confidential.
4. Your Realtor will focus on choices that satisfy your needs.
5. You will have not only the material facts of a property but your Realtor will give you professional advice.
6. Your Realtor will provide counseling on comparable properties and their professional insights.
7. As a BUYER client you will be protected and guided in the real estate transaction.
8. Your Realtor will negotiate on your behalf,
9. and will attempt to solve problems to your advantage and satisfaction.
Finally, while properties that are listed on the internet are available to you, sometimes a Realtor knows of properties that are not yet available to the general public but as a BUYER client you are informed first.
We at Snow Pond Realty have the experience and knowledge to work successfully with BUYER clients.