Should I use a Real Estate agent instead of buying/selling my home myself?
Do you want to make more money from the sale of your house? With less headaches? Then YES!
When I was doing Real Estate investing full time, sometimes I didn't use an agent. But did I always check with an agent? YES.
Full time agents are constantly in the market hearing and seeing what is going on with property values. I needed that information. For selling my house I almost always used an agent. Why? They took care of the showings. They took care of meeting inspectors. They took care of enough headaches that they were worth every penny I ever spent on one. Were all of them good? No, I learned to be careful. But just like hiring any other employee, if you have a job that needs doing it pays to pay someone to do it for you who is an experienced professional active in the field.
How big is an acre?
An acre is 43560 sq ft; a football field is 57600 sq ft; so how big is an acre? 3/4 of a football field.
Common lot sizes in Anne Arundel County are 1/3 of an acre and 1/2 an acre. 1/3 of an acre is about a fourth of a football field while a 1/2 of an acre is about the size of the football field from the goal-line to the fifty yard line.
How much is my home worth?
We live in a market economy so the answer is--The housing market is constantly changing; so your house is constantly changing value.
Real Estate Agents and Real Estate appraisers get paid to help you and the bank answer the question. Appraisers get paid generally $400 on up depending on the kind of and complexity of the appraisal. Most Real Estate Agents will give you a Market Analysis in the hopes that you will list with them. Market Analysis is one of the most common tools used by appraisers to determine the value of your house, but they use other analysis sometimes as well. Be careful though, some real estate agents, just like some attorneys, or some appraisers will tell you what they think you want to hear instead of the truth. And of course, agents and appraisers are human and sometimes make mistakes. Especially during major transitions in the market.
What is equity
Equity is the difference between what you owe on your house and what the house is worth. If you owe $100,000 and the house is worth $200,000 you have 50% equity or $100,000 in equity. You can't take it to the bank or buy anything with it. But there are lots of lenders who would be happy to lend you money with your equity as collateral--if you're credit rating and income are adequate.
What is a Realtor®?
A member of the National Association of Realtors. Just like, practically speaking, attorney's must just the Bar to practice, practically speaking, Realtors must join the NAR to practice. The NAR is the largest professional organization in the US. So what does it mean to you? It means if your Realtor does something wrong, you can take your case to the Realtor Association as well as sue them in a court of law. It means that your Agent should have met at least been made aware of some basic legal and professional requirements.
What is Home Owners Insurance?
It is insurance you pay for to cover any losses you may encounter with your property. Read the insurance coverage carefully though. People sometimes think it covers things that it doesn't and sometimes does not include replacing the items damaged.
What is Title Insurance?
Should you get Title insurance?
Title insurance is usually required by the mortgage company to indemnify them if the title to the house you are buying turns out to have problems. Many homeowners think that because they are paying for the banks policy they are covered as well. Sadly that is not the case. If it is discovered that your land/house has a problem with title. You get to pay the court costs and potentially lose your property if the courts find for the opposing party. If you have a title policy yourself, your title insurance companies lawyers fight the case for you and potentially pay you--but usually they pay the people who are trying to take your home to go away.
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