A Great Agent can save buyers money by finding a property that fits the buyer’s loan.

 Is that 100% financed loan helping save or spend more?

Recently, a buyer came to us pre-approved for 100% financing.  She wanted a house in a nice neighborhood in town.  She wasn’t a veteran and it turned out that the loan she was pre-approved for was limited to a rural area, not where she wanted to live.

We had to go back to the lender to look for alternative ways the buyer could purchase.  In her case, she needs to wait until she saves a little more money for a down payment.  The lender could have explained this to her but didn’t. 

We often work with FHA buyers and have to explain to them that we must find a house that doesn’t need excessive repairs.  Recently, a couple found a large house with a huge outbuilding on 2 acres.  It sounded great, but upon looking closely at the property, we discovered that it needed a new roof and lots of exterior painting. 

In reality, the buyers couldn’t buy that property unless we negotiated in a new roof and all the exterior repairs into the transaction, but from the seller’s viewpoint, if the seller had to do all those repairs, they would be able to get much more for the property.   We found them another great property that worked with their financing.

In both cases, we didn’t waste the buyer’s money on inspections and appraisals, only to find out that the transaction couldn’t close.  We protected the buyers by matching the property to their loan.

Post a Comment