First time buyer

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Newbogel
Posts: 21
Joined: Sat Jan 20, 2018 10:21 am

First time buyer

Post by Newbogel » Mon Apr 22, 2019 10:23 pm

Hi
My daughter is buying her first house. What are the recommendations on how to chose a lender and a realtor? She is thinking about checking out Rocket mortgage and the State Employee Union. She lives in Durham NC. As far as Realtors is concerned she is going to talk to someone that her friend used and liked....

livesoft
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Re: First time buyer

Post by livesoft » Mon Apr 22, 2019 10:37 pm

My advice is to never treat a Realtor as a friend and don't share any secrets with them. One can treat them with respect, but in most cases they are not working for you. They are working to extract money from you with loyalty to the seller. So use them to get knowledge and information, but do not give them any knowledge nor information in return. I'll stop at that.
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Regattamom
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Re: First time buyer

Post by Regattamom » Mon Apr 22, 2019 11:09 pm

My oldest is planning to purchase a home soon, too. My advice regarding a realtor is to narrow down the neighborhood/area where they plan to purchase and see who is listing the most homes for sale in that area. I would ask that person to be my agent because they know the area well and may also have knowledge of upcoming listings in the area.

NerdWallet.com has a list of Best Mortgage Lenders of 2019 for First Time Home Buyers. It may be nothing more than advertising, but might be worth a look.

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SmallCityDave
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Joined: Thu Feb 21, 2019 10:04 am

Re: First time buyer

Post by SmallCityDave » Tue Apr 23, 2019 7:28 am

livesoft wrote:
Mon Apr 22, 2019 10:37 pm
My advice is to never treat a Realtor as a friend and don't share any secrets with them. One can treat them with respect, but in most cases they are not working for you. They are working to extract money from you with loyalty to the seller. So use them to get knowledge and information, but do not give them any knowledge nor information in return. I'll stop at that.
As a realtor I'll agree with some of the advice and some of this is utter nonsense.

I don't need to be a friend and I certainly don't want to know your secrets I know far too much as it is, I don't work for the seller I simply get paid by the seller. My intention is to find you the best home, in the best neighborhood and extrapolate from you what that is.

I try to find out specifically what it is that you are looking for and I do my best to deliver, all too often the buyer tells me that they are looking at 3 bedroom homes under $200k and get uppity when they find "the perfect" 2 bedroom for $250k looking bewildered why I didn't tell them about it.

All in all it's the best career but some people can be crazy.

runner540
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Joined: Sun Feb 26, 2017 5:43 pm

Re: First time buyer

Post by runner540 » Tue Apr 23, 2019 7:30 am

Newbogel wrote:
Mon Apr 22, 2019 10:23 pm
Hi
My daughter is buying her first house. What are the recommendations on how to chose a lender and a realtor? She is thinking about checking out Rocket mortgage and the State Employee Union. She lives in Durham NC. As far as Realtors is concerned she is going to talk to someone that her friend used and liked....
Whatever they tell her she can afford, cut it in half. Run your own numbers with her on what PITI she can really pay, including reserves for maintenance.

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Phineas J. Whoopee
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Joined: Sun Dec 18, 2011 6:18 pm

Re: First time buyer

Post by Phineas J. Whoopee » Tue Apr 23, 2019 2:33 pm

SmallCityDave wrote:
Tue Apr 23, 2019 7:28 am
livesoft wrote:
Mon Apr 22, 2019 10:37 pm
My advice is to never treat a Realtor as a friend and don't share any secrets with them. One can treat them with respect, but in most cases they are not working for you. They are working to extract money from you with loyalty to the seller. So use them to get knowledge and information, but do not give them any knowledge nor information in return. I'll stop at that.
As a realtor I'll agree with some of the advice and some of this is utter nonsense.

I don't need to be a friend and I certainly don't want to know your secrets I know far too much as it is, I don't work for the seller I simply get paid by the seller. My intention is to find you the best home, in the best neighborhood and extrapolate from you what that is.

I try to find out specifically what it is that you are looking for and I do my best to deliver, all too often the buyer tells me that they are looking at 3 bedroom homes under $200k and get uppity when they find "the perfect" 2 bedroom for $250k looking bewildered why I didn't tell them about it.

All in all it's the best career but some people can be crazy.
I would say the underlined part is a very fine distinction to draw.

PJW

Quirkz
Posts: 173
Joined: Mon Jan 14, 2019 5:32 pm

Re: First time buyer

Post by Quirkz » Tue Apr 23, 2019 4:19 pm

runner540 wrote:
Tue Apr 23, 2019 7:30 am
Whatever they tell her she can afford, cut it in half. Run your own numbers with her on what PITI she can really pay, including reserves for maintenance.
I don't know that "half" is a reliable metric here, but 100% agree that nobody should go in looking for the lender to tell them what they can afford, and should instead be looking at their own budget and running numbers for themselves. Not just PITI and maintenance, but also estimated utilities, remodeling and furniture expectations, and anything else that might change with the relocation (commuting/transportation needs, etc.)

FeesR-BullNotBullish
Posts: 131
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Re: First time buyer

Post by FeesR-BullNotBullish » Tue Apr 23, 2019 4:29 pm

I recommend a traditional mortgage broker due to a recent positive experience. When she makes an offer, a good mortgage broker will contact the seller's Realtor and vouch for your daughter. This helps ensure her offer is taken seriously.

As far as Realtors are concerned, she should interview at least three. Good Realtors know the market well. This means years, not months, of experience. Also, her Realtor should be available on short notice to show houses.

Edit - grammar

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