buyers agent negotiation

Find the Right Buyer’s Agent

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One of the most unique and misunderstood features of the real estate industry in the United States is the compensation structure. Real estate agent, in almost all cases, are independent contractors for the brokerage they work for. In these cases, all agents, regardless if they are on the listing (selling) or buying side of a transaction get paid via commission on that deal. What makes this unique is that regardless of who is buying or selling, the property seller is almost always the one who is paying for both the listing agent and the buyer’s agent. While the fairness of this is coming under fire (see this 2019 class-action lawsuit) this is the current state of the industry.

That said, it’s important if you are going to be buying real estate (especially a property that is represented by a licensed real estate agent), that you have an agent to represent your best interests. So how should you go about finding a real estate agent that is right for you?

Phone a Friend

One of the best places to start when looking for a real estate agent is to ask friends or family members for their recommendations. Personal recommendations are a great way to source out the best of the best in any industry, but in an industry that is so heavily focused on relationships it’s no wonder why a recent survey conducted by the National Association of Realtors found that about 29% of all Realtor® business came from repeat clients or referrals from past clients and customers.

Consider your preferences

What value does your agent offer? Are they going to be actively looking for homes for you or will they allow you to be the driver and just show the homes to you? Does their communication style match your preferences? Are they as tech savvy or old-school as you would like? If you aren’t on the same page, you’re probably going to have a bad experience so it’s important to make that determination before you sign any sort of buyer-agency agreement.

Ask the right questions

When interviewing a potential agent to work with it’s important to make sure that not only will you connect on a communication level, but also that they are the right fit for your particular transaction. Some of the questions you should ask include:

      • How long have you been in real estate?
      • Which side of a transaction do you typically facilitate?
      • How much business do you do in the area I’m looking in?
      • How do you typically communicate with buyers?
      • Will you be able to show me homes in/at (your schedule)?
      • Tell me about the toughest deal you’ve ever closed- what made it difficult and how did you overcome it?
      • Why are you the best fit for me?

If you’re looking to purchase in a populated area like New York City or Los Angeles, you’ll want someone with intimate knowledge of the particular neighborhoods you’re interested in, but if you’re desiring a more rural area, general knowledge of the market should suffice.

Check Out Cashifyd

RealtyHive is unveiling a completely transformational tool to the real estate industry. Cashifyd allows buyers to find a licensed real estate agent that can help them find their ideal property and receive cash back at closing from the transaction. While Cashifyd may be available if you’ve already selected your agent, the program typically works best when used to find an agent. For more information or to sign up to be one of the first on the Cashifyd platform, click here.

Have a question about buyers agents? Let us know in the comments or find out the benefits of buying with RealtyHive by clicking here.

real estate secrets

The Biggest Secrets in Real Estate – Revealed!

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The real estate industry can be completely mystifying to an outsider (and sometimes even the insider), but some secrets are more tightly kept than others. Here are some of the best kept secrets about the real estate industry that you should know.

  • You need a Buyer’s Agent — Stat!

So you’re in the market for new real estate, congratulations! One of your first steps should be to find a real estate agent that you trust. While you can try handle your full transaction by yourself, the NUMBER ONE biggest secret in real estate is actually threefold. 1). The listing agent (the agent representing the property) is legally obligated to work for the seller’s best interest so even if they offer to help you out, they are working for the seller. 2). The seller pays for both their listing agent and the buyer’s agent. That’s right, as a buyer you don’t pay for an agent who will solely represent your best interests. 3). Even if you don’t sign an agreement with anyone or know about it, a real estate agent may still financially benefit from your transaction due to a common “referral” practise. Long story short, if it’s not going to cost you anything and it might happen anyways and it’s in your best interest, you should probably do it. Check out Questions to Ask a Buyer’s Agent for how to choose the best agent for you.

  • If you want to be taken seriously, lay the right groundwork

Before you start talking to agents, you should get a pre-qualification, pre-approval, or proof of funds letter. These letters, obtained through your financial institution of choice, help to show agents that you are serious about your purchase as well as help you to know what you can afford. These documents serve as proof that you have the financial backing necessary to complete a transaction and signal to an agent that you are a true buyer, not just a looker. While very similar, there are a few differences in these documents. Pre-qualification is the least serious of these letters. There are no hard credit checks required for pre-qualification and no guarantees that what is on the letter is actually the amount you would get, but it is, essentially, a solid guess at the amount you could qualify for. A pre-approval letter requires more information from you and a hard credit check, but the result is that you will know exactly how much money your financial institution would be willing to give you for your purchase. These are both applicable if you intend to finance your purchase, but if you’re a cash buyer, you’ll want a “Proof of Funds” letter. This is a statement from your financial institution that states that you have in your account a certain amount of funds.

  • Referral fees exist and you might be missing out

Did you know that if you are referred to one real estate agent by another real estate agent, the first agent will get paid when you buy or sell with that second agent — even if all they did was make the introduction? Referral fees have been common in the real estate industry seemingly forever, but consumers are often completely oblivious. Often this information has been treated with a “what they don’t know doesn’t hurt them” mentality, but the tides are turning. RealtyHive is pioneering a platform where you can refer yourself as a buyer or seller and in turn reap the benefits of this referral fee system. Real estate agents benefit from this platform because this is the exact same system they are accustomed to and they are able to connect with buyers and sellers who really want to talk to them (rather than getting information from people who were tricked into submitting contact forms) and buyers/sellers benefit by getting what would be a referral fee paid back to them as cold hard cash back at closing.

  • There could be things your agent isn’t telling you

Real estate agents are licensed professionals and as such have to abide by certain rules, regulations, and laws. One of the laws that especially shape the industry is the federal 1968 Fair Housing Act. This act aims at ending discrimination in housing, but has repercussions beyond the intent. For a more complete overview of possible things your agent can’t tell you (and how to find out yourself) check out 5 Surprising Things Your Real Estate Agent Can’t Tell You.

  • The final sales price will be higher than you thought

Congratulations! You found the right property and had your offer accepted (or you accepted an offer on your property). You just need the check for the agreed upon sales price and you’re done, right? Wrong! One of the biggest surprises to buyers and even sellers, especially first timers, are all the costs that come with a real estate purchase. While you can negotiate to have the buyer or seller cover some of the cost, there are fees that are not built into the sales price that will need to be paid. Some of these include closing fees, lender costs, mortgage fees, title insurance, any taxes or outstanding utilities  that need to be paid, and potentially more. It’s important to keep this all in mind when looking at properties so that you don’t overreach on what you can spend. This is something that a Buyer’s agent would be able to help with (see Number 1 on this list!)

Ready to start your home search? Make sure to visit Cashifyd.com to get on the waiting list for your opportunity to get cash back at closing when the Cashifyd app officially launches or start searching now by clicking here.

Family on beach for spring break

Best Family Friendly Spring Break Ideas in the South

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Perdido Key, Flordia
 


 
 
Adventureworks Hot Springs, Arkansas
 


 
 
Legoland, Florida
 


 
 
World of Coca-Cola, Georgia
 


 
 
=Sandy River Outdoor Adventure, VIrginia
 


 
 
Science Museum Oklahoma, Oklahoma
 


 
 
Georgia Aquarium, Georgia
 


 
 
Universial Studios, Flordia
 
 
 
Ifly Virginia Beach Indoor Skydiving, Virginia
 


 
 

“The Institute for Marine Mammal Studies, Mississippi
 


 
 
Tiger Safari Zoological Park, Oklahoma
 


 
 
Disney World, Flordia
 


 
 

Family Spring Break Sledding

Best Family Friendly Spring Break Ideas in the Midwest!

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Boyne Mountain Resort, Michigan
 


 
 
Vancouver, British Columbia
 


 
 
MIlwaukee, Wisconsin
 


 
 
Double JJ Resort, Michigan
 


 
 
Joe Louis Arena, Michigan
 


 
 
Larsmont Cottages on Lake Superior, Minnesota
 


 
 
Tulip Time Festival, Holland, MIchigan
 


 
 
Root River Trail, Minnesota
 


 
 

Mackinac Island, Michigan
 


 
 
“Michigan’s Adventure, Michigan
 


 
 
Legoland Discovery Center, Illinois
 


 
 

save money wallet

Save Money When Buying Your Home

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Finding a good deal in real estate can feel a lot like trying to find a needle in a haystack, especially in places where it has been a sellers market for years. There’s a lot of conventional wisdom on how to get the best price when buying your next home, but for many people, especially first time buyers, this advice can ring hollow. Sure, you’ll get a better mortgage rate if you have a credit score in the 800s and can whip out a 60% down payment, but really, who can do that? Yes, you’ll get a lower purchase price on a fixer upper home, but what about all the money you’ll have to spend on repairs and renovations?

Practical Tips to Save Money on Your Next Home Purchase

Look Outside the MLS

Whether or not you’re working with an agent (and you should be!) it’s a good idea to keep an eye out for “For Sale by Owner” properties. These properties are often priced lower than those represented by a real estate agent and because they tend to not have as much exposure, you may be able to score a deal before the competition steps in.

If you’re willing to put in some fixer upper work and do some due diligence homework, is to check your county website for real estate sales. Depending where you live, these may be called Sheriff Sales, Trustee Sales, or Federal Sales, but typically these are properties that have been repossessed by the county government and are brought up for live auction. Depending on the situation, these auctions can happen before a bank foreclosure so you’ll have to do some digging to find them. There is a LOT of homework involved for potential buyers (as well as a good amount of risk), but these can be a way to score an incredible deal on a great property.

Shop Around for the Best Rate

Mortgage rates are at an all-time low as of March 2020. It’s a great time to buy or refinance a current property loan. Mortgage rates are largely influenced by your credit score and history, but every lender is different when it comes to the rate they offer you. There are also a variety of different loan programs that can offer special incentives or rates based on military involvement, first time buyer status, or the location of the property. It is a good idea to talk to a couple of lenders before signing with anyone.

Cashifyd

Technology is a beautiful thing. Whether it’s the ability to instantly order anything from a pizza to a ride to the airport or the ability to stay in touch with friends and family over distance and time, there really is no time like the present. With all this innovation comes new tools and ideas and ways of doing things. One of the newest innovations in the real estate industry is Cashifyd. Cashifyd is a program that turns the traditional real estate process, which involves complex commission and referral structures, on its head. Cashifyd allows buyers like you to refer themselves to an agent and receive a cashback credit at closing. The best part? As long as the agent you’re working with is using the Cashifyd process, nearly any home will qualify!

man playing chess strategy

In It to Win It: How to Have a More Competitive Home Offer

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Buying a home can be a thrilling experience. Sometimes that thrill is exciting like the first day of school, other times it’s more like being trapped on a runaway roller coaster. If the real estate market in your area is hyper-competitive, it can feel as though the coaster has left the tracts.
 
There are a couple of ways to regain your bearings and save your sanity. One of the best first steps is to hire a real estate agent. As a buyer, you typically won’t pay anything for using the services of a licensed agent and they’ve got the experience to help you rise to the top of a competitive offer pile.
 
Put your best foot forward
No one wants to overpay for anything, but if competition is stiff, there’s no time for low ball offers. When deciding on an appropriate offer, talk with your real estate agent or do your research. If similar properties in your area are selling quickly at or above the list price, you know you’ll need to add a little extra to your offer to sweeten the deal. When making this determination, keep in mind how much you want the property. If it’s your dream home, you may want to add on more than if it’s just a place to rest your head for a few years.
 
Eliminate the Contingencies
In a buyers market, contingencies are the norm. Whether you’re wanting to only proceed with buying a home after your sell your current one or you’re wanting a way out of your purchase agreement in the event your mortgage financing falls through, adding contingencies into your offer provides these options. In a very hot and competitive sellers market, these contingencies can push your offer to the bottom of the stack, if not exclude you altogether. Depending on your financial situation, goals, and other circumstances, you can beat out a lot of the competition by eliminating contingencies from your offer.
 
Write a Letter
In situations of high competition, when all other factors are equal, the choice of who gets to purchase a property often comes down to the seller. How does the seller make this choice? It can often come down to the human factor. As a species, we tend to prefer to do business with those that we know or relate to. While you may or may not have met the seller personally, it is more likely that you or your agent have had some contact with them or their agent. Use this connection to send a letter to the sellers telling a bit about yourself and explaining why you like the property. A compelling letter can often help (if only subconsciously) sway the sellers’ decision.
 
The Almighty Power of Cash
Nothing talks like money talks and a buyer who can show up to the table with cash in hand has a lot to say! Not only does having a cash offer mean that you don’t have to wait on a lender for approval or documents, it also tends to mean you can put down a larger down payment or earnest money which signifies to the seller that you are a truly serious buyer.
 
Looking for more insight before starting your home search? Check out this blog to learn what you need to know before you start your home search.

smartphone app users

Free Apps to Up Your Agent Game

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We all know that time is money, but for real estate agents, especially those who are just starting out, money is also money, which is why finding free tools to increase your productivity and expand your personal brand are so important. Here are some of the best free apps for real estate agents.
 
Google Maps
Not all map apps are created equal and Google Maps far outshines the competitors. Android users have Google Maps as the default navigation option, but for iPhone users, this is one app you need to download. While Apple products come loaded with their proprietary map and navigation app, the functionality and accuracy pales in comparison to the much more powerful and helpful Google version.
Best Uses: Online or offline navigation to where you need to go… wherever that may be.
 
WhatsApp
If your client base is located in other countries (or if you want to be set up to expand to other countries), you’ll want to check out WhatsApp. This free app, while still growing in the United States, is immensely popular worldwide. WhatsApp allows for communication across the world without any expensive data charges. Capabilities include sending pictures, texts, files, and making phone calls all done over the internet so there’s no data charges. Simply download the app, connect via wifi, and voilà, you’re ready to accept clients from anywhere!
Best Uses: Communicating with clients in or from different countries.
 
Canva
Many agents look to increase the exposure of their listings by posting them on social media, but just posting a photo is pretty old-school. Enter Canva. This program helps even the design-inept to quickly and easily create beautiful designs with a simple drag-and-drop editor. With tons of pre-designed templates you can create anything from Facebook and Instagram posts to property fliers to business cards.
Best Uses: Creating visually appealing, brand-consistent marketing material.
 
Repost
Real estate is an industry of connections and one of the best ways to connect with others on social media is to share their content. While Facebook makes it easy with the “share” button, Instagram is a little trickier. Repost is an app that specifically works with Instagram to allow users to share content on Instagram while retaining the credit to the original creator.
Best Uses: Sharing high quality content without having to create it yourself.
 
Cozi
While agents enjoy flexibility in their schedules, they also tend to have schedules that vary from day to day. Whether you’re working on paperwork in the office or have a full day of showings booked, staying organized is key, especially important when trying to create a work-life balance. This is where Cozi comes in. Cozi is perfect for busy agents trying to coordinate schedules with spouses, children, and business partners. Cozi creates one main calendar that can be shared and all users have their own color so you can tell who is doing what. This app works flawlessly on all device types and the calendar is only one feature — Cozi can also house shopping lists, to-do lists, and more.
Best Uses: Organizing and coordinating your personal and professional life.
 
Have a favorite free app we should know about? Let us know in the comments!

two girls with st pattys day bows

Try Your Luck at These St.Patrick’s Day Crafts

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Get in the spirit of the St. Patricks season by decorating your home with these fun, homemade crafts!


 
 

  Decorate your garden with these handmade gnomes!


 
 
Wreaths aren’t only for Christmas! Try different styles to make your home ready for St. Patrick’s Day


 
 
Whether you’re just arriving home, or hosting guests for a get-together, it’s always nice to have a sign in the spirit of the Spring season, welcoming people home


 
  Wanna take your luck with you wherever you go? You can attach a four-leaf clover on a chain, its lucky, and stylish!


 
 


 
 


 
 


 
 
Dress up your couch by adding fun, clover-themed throw pillows


 
 

Hang up a sign inside or out, to get in the spirit of St. Patrick’s Day!


 
 
Try creating your own decorations, by painting different Irish-themed designs


 
  Show your St. Patricks spirit at night! Hang up these springtime outdoor lights!


 
 
Deck the halls with St. Patricks colors! Perfect for decorating the house for a party!


 
 


 
 
Brighten up your home with this clover-themed glasswork

travel woman abroad asia

5 Things to Know Before Moving Abroad

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As the United States heads into the depths of winter, many begin to think about leaving their frigid homeland for a foreign paradise. While most people are not in a position to drop everything and retire to island life, the rising popularity of remote work has allowed more people than ever to pursue a more nomadic lifestyle abroad.

These “digital nomads” come from all walks of life, but sharing similar goals of traveling the world, exploring new places, and supporting their interests and hobbies through a location-independent lifestyle. While spending weekends on the beach and evenings strolling a foreign promenade sound magical, as a U.S. citizen there are some important things you to know before you buy your plane ticket.

 

1). It’s not always as easy as hopping on a plane or train

Americans are privileged to have some of the strongest passports in the world. There are more than 160 countries that US passport holders can visit without needing a travel visa — just board your transportation of choice with your passport and you’re good to go!

That said, there are some countries like China, Pakistan, Saudi Arabia and Russia, among others that require a visa and passport to enter. While some visa-requiring countries like Cambodia or Vietnam allow for e-visas or on-site visas, others require this paperwork to be completed ahead of departure.

P.S. If you’re looking to make a  get-away, here is what you need to know about passport validity and traveling for U.S. citizens!

2). Even if you aren’t living in the U.S., Uncle Sam is coming for your money

Ben Franklin once wrote that “…in this world nothing can be said to be certain, except death and taxes.” and for U.S. citizens that holds true, even if they aren’t living in the United States.

Generally speaking, the US government doesn’t really care where you live or make your money when it comes to taxes — as long as you pay your taxes. The rules for filing income, estate, and gift tax returns and paying estimated tax are usually pretty much the same no matter where you reside.

This can mean that if a traveller isn’t careful about choosing their new home wisely, they can be taxed by the US and the country they are physically located in. There are a couple of “solutions” to this issue including using a “foreign earned income exclusion” or special business/corporate structures that can be established to help reduce this burden. To find out more about those, it’s best to contact a trusted lawyer and/or accountant with expertise in this area.

 

3). You’re going to want to look into healthcare

While those looking to make a move abroad in 2019 no longer have to think about the tax implications of not having healthcare (thanks to the effective repealing of the individual mandate in the 2019 tax bill), it is still something to be carefully considered.

Many US-based health insurers offer little to no coverage for those living, even temporarily, abroad. While there are many countries across the world have universal healthcare, they are under no obligation to provide those services to non-citizens. Coverage can also come from unexpected places. In some cases, credit card companies offer medical care coverage services (including helping to cover air transport back to the United States), so make sure to investigate all possibilities.

 

4). Beware of driving… for many reasons

In general, avoiding driving overseas is the best option. Road signs, signals, and even which side of the road to travel on can vary by location so it’s often in your best interest to avoid the issue altogether.

In the event you choose to drive yourself in another country, it is important to have the proper credentials.  While some countries like the United Kingdom and Ireland honor U.S. driver’s licenses, many others do not. For these countries, an International Driving Permit may be required. In the United States, these can be obtained fairly from the National Automobile Club or the American Automobile Association (AAA).

 

5). The power struggle can be real

One of the biggest surprises can come from the most mundane of places. While appliances in the United States run primarily on 110 volts, countries abroad use anywhere from 110- 240v. Additionally, the standard for plugs in the US is two elongated vertical openings, sometimes with a third half-round hole below, while other parts of the world use very different electrical plugs. This is all to say, that don’t plan on your electronics working in other countries as is. Thankfully, a rather inexpensive and convenient solution can be found at most hardware or large retail shops: converters and adapters. These simple devices can manipulate the current so your devices can use the electricity coming from the power supply as well as modify the outlet so that your plug can fit. Be sure to pack a couple before you head out on your trip!

 

Living abroad, even temporarily, can help to expand your horizons, open you to new experiences, and introduce you to new people and ways of life you had never imagined. Have you ever lived abroad? Any tips you would like to share? Let us know in the comments!

 

 

handing over rent keys

5 Reasons to Rent Instead of Rushing to Buy

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Home shopping can be an exciting, yet nerve-wracking time. There are a lot of important decisions to be made and those choices can impact you and your family for many years to come. Is this the right house? Are we getting a fair deal? Are we making the right choice?

In a highly competitive housing market, there can be huge disadvantages to taking the time to carefully consider your decision. Wait to submit the offer? Lose the house. Have to sell your house before you can buy? You might get lucky, maybe not. It may seem counterintuitive to go from homeownership to renting, just to go back owning again, but here’s why you may want to consider renting instead of rushing.  

5 Reasons to Rent Instead of Rushing to Buy

       1). You’ll know your budget

A huge advantage to selling your home before you buy a new one is that you’ll know exactly what you’re working with in terms of finances. Planning on upsizing? You’ll want to know how much of a price increase you can afford. Downsizing? You’ll need to consider what to do with the profits of your sale. Either way, it’s much easier to do this math when you know what you’re concretely working with.

        2). You’ll be first in line

Without having a home of your own to sell before buying a new one, you are able to submit a more enticing offer to sellers, especially those looking for a quick close. This free-and-clear method, paired with knowing your budget, means that you will be ready to act on any home that interests you and work on your own timeframe.

       3). You can take advantage of the hot market

Real estate prices are at an all-time high in a lot of places, but experts debate how long this streak will last. Now may be the time for you to sell at a premium, but that doesn’t mean you want to buy at a premium, either. Rent just until you find the right deal.

       4). Buying a fixer-upper is a little easier

If you’ve already found a place to rent and you’re getting accustomed to your new temporary digs, it might not be such a stretch for you to imagine staying a little longer. Instead of buying a more expensive move-in ready home, you make the option of a reno project a little more palatable. After all, you just moved in, what’s another month or two– especially if it’ll shave a few years off your mortgage.

       5). You may get to remember the joys of renting

Building amenities are one of the truly great things about rental life and can be a great upside to renting between homes. From included utilities to complementary gyms or community pools, these features can definitely help to smooth the transition.

Want to find your perfect home from motivated sellers who want to see your offer? Check out the properties in our next upcoming time-limited event by clicking here!