What is the difference between a buyer’s agent and a seller’s agent?

Traditionally, Realtors only represented sellers in the transaction, but in the last few years a significant number of agents have become what are known as ‘‘buyer’s agents.’’ These individuals often have the initials ‘‘ABR’’ after their names (Accredited Buyer Representative) and specialize with helping buyers find the homes of their dreams.
Buyer’s agents are probably one of the best things to happen for home buyers in a long time. Many will ask you to sign a buyer’s agency agreement before they take off with your hot button list in hand to look for suitable properties. The agreement is not exclusive and typically states that the agent will work to find and secure the perfect home for you. The beauty in all of this is that the agent’s commission comes out of the seller’s pocket, so you don’t have to pay for the valuable services that they offer. If, however, you decide to purchase a ‘‘for sale by owner’’ (FSBO) property and wish to have representation on the sale, most buyer’s agents will negotiate a fee with either the seller (most commonly) or buyer. Because they don’t typically list properties for sale, most are eager to work with qualified buyers who are ready to buy now, rather than later.
Here are a few advantages of working with a buyer’s agent:

• Someone in Your Corner: A buyer’s agent works on your behalf, unlike seller’s agents, who are accountable by law to the seller. Buyer’s agents can not only help you pick out a home, but can also negotiate your best interest and spot potential hurdles before they become real problems.
• Benefit of Experience: An experienced agent will look objectively and carefully at a property, spot potential problems, and point out material defects as well as the positives of a property.
• Negotiating Prowess: A good buyer’s agent will help you draw up an offer based on recent sales in the neighborhood or community, thus allowing you to make better-educated decisions during the negotiating phase.

How can emotions affect the homebuying process?

While it’s true that you’re about to make one of the biggest financial decisions you’ll ever make in your life, it’s important not to allow emotions to get the better of you during this process. When you walk into that absolutely perfect home, for example, bottle your enthusiasm a bit and instead look at the structure as an investment instead of a place where you’ll spend the next ten or twenty years of your life.
When you see the sign go up on that home around the corner that you’ve always dreamed of living in, try to approach every home with a critical eye and examine every inch, without shame. The seller who knows that a home has you by the heartstrings could use that knowledge to ask more than a fair price and/or avoid making necessary repairs prior to closing. Once you’ve given the home a critical review, have a home inspector do the same (should you decide to make an offer and sign a purchase agreement on it). Doing so will save you both money and grief in the long run.

How do I determine my housing needs?

Start by not letting yourself get overwhelmed by the choices and by not getting too emotional about the process. Look at it as an investment, and treat it as if you were making an investment in your family’s future. With that in mind, use the information gathered during your market research or from a real estate agent to see what types of homes are available in your market, then whittle down the choices based on your own preferences. For example, do you need a single-family home with a large yard? Would you prefer a lower-maintenance condominium? Do you need an extra bedroom for a home office? Do you have a preference on the number of bathrooms? Having all of these details nailed down before you start house hunting will result in a much more focused, efficient search.
Tell me more
There are many variables that will come up during the homebuying process. Existing homes can be the biggest challenge, since they were built for someone else—someone who might not share your tastes. To avoid getting overwhelmed when you see the home that looks perfect on the outside but that has rooms painted purple with carpeting to match, ask yourself the following questions first:

1. How many bedrooms do I want?
2. How many bathrooms do I want?
3. What size kitchen would I prefer?
4. Do I want a new home or an existing home?
5. What type of home do I want? Single family? Town home? Condominium? Co-op?
6. How important are outdoor amenities like decks, lanais, pools, and patios? And, am I willing to add any of these if they don’t come with the existing home?
7. How important are indoor amenities like fireplaces, vaulted ceilings, and crown moldings?
8. Am I willing to do fix-up work (either myself, or by hiring someone) in the home such as painting walls, to make it right for me? (If not, then a home in ‘‘move-in condition’’ is your goal.)
9. How important is the home’s proximity to the following: other houses, the street or major intersections (for the noise and safety factor), my place of work, my children’s school, and our favorite activities (community pools, movie theaters, workout centers, etc.)?

Answering these nine straightforward questions should help you create a rough sketch of your desired home, and it should give you some indication of your ‘‘home hot buttons’’ (those issues of utmost importance to you, typically those that could ultimately make or break the deal). That’s not to say you can’t change your mind about wanting a pool if you find the right house with a large backyard with no pool, but it will give you some solid parameters to use when either viewing homes on your own or