There are ways to shop smart and maximize equity when buying property but a focus only on low commission is a shortsighted naive mistake. A Realtor® offering low commission is often desperate, inexperienced or more concerned with a quick sale. When buying real estate it’s most important to find an experienced, professional Realtor® who’s committed to helping you make the best decision and deal, not the quickest. The best decision means finding the right property based on your needs, value of the home, price, and doing as much as possible to limit costs now and in the future. The best deal means using specific strategy and negotiation techniques to save and earn you equity on your new home. Remember the saying, “don’t trip over dollars to pick up cents” A smart, creative, experienced and resourceful Realtor® will focus on your equity margin* and that’s where the money is!
A smart buyer hires a Realtor® who understands the market and focuses on your needs and building equity: where to buy to maximize gains (location), awareness of unforeseen costs, benefits and features that can help when reselling – and other important variables.
In 5-10 years your proudest moment from buying your home won’t be the ‘pennies’ you saved on commission – it will be your lifestyle and equity position earned on the purchase of your biggest asset.
Equity margin – 1. The difference between the price you pay for a home and it’s actual value.
2. The difference between the price you pay for a home and it’s value in the future.