Real estate is a highly competitive niche and as such, it’s important that you can offer your clients a little something extra whenever the opportunity arises. There are many ways in which buyers can find themselves in a position where they can afford a home and often, it’s just a lack of knowledge that stands in the way of home ownership. Enter you, the real estate professional! So what can a Realtor do to educate his or her buyers on some of the money-saving strategies and other approaches that make home ownership possible? That’s exactly what we’ll explore in today’s article from Southern Connecticut Coldwell Banker Realtor Judy Szablak, founder of Szablak Consulting.
Inform First-Time Buyers on the Facts
Many new, first-time home buyers are woefully under-educated on the subject of down payments. And while a real estate agent cannot be expected to know all of the ins and outs of financing, it’s important to point consumers in the right direction if you suspect they may be uninformed.
For example, a study performed by the National Association of Realtors (NAR) revealed that a whopping 87 percent of first-time home buyers believe they’ll need a down payment of 10 percent or greater, while 39 percent of first-time home buyers believe that they’ll need a down payment of 20 percent or more.
The reality is that many can be approved for a home loan with a much lower down payment, so encourage your first-time buyers to do a bit of research, as they may be able to buy a home much sooner than they anticipated.
Inform Boomerang Buyers of the Resources Available to Them
A “boomerang” home buyer is one who has lost their home to foreclosure or other circumstances, turning a homeowner into a renter. When that renter decides to purchase a home again, they are known as a “boomerang” home buyer.
If a prospective buyer has not owned property in the past three years, they may qualify to purchase a home under a first-time home buyer program that provides down payment assistance or a reduced down payment arrangement. This is an especially good option for those who did not undergo foreclosure and thus, have a fairly good credit score.
This can be welcome news for individuals who are in a financial position to own again, but don’t yet realize that they can afford it with a lower-than-expected down payment.
Inform Soon-to-Be Homeowners on the Option to Eliminate PMI Sooner
Many repeat home buyers could find themselves in a position where they can avoid or eliminate private mortgage insurance (PMI), which can account for a fairly significant portion of their home-related financial expenses.
Most markets have seen strong appreciation in terms of property values and mortgage companies are required to eliminate the requirement for PMI when the borrower’s loan balance drops below 78 percent. But many homeowners can take advantage of this opportunity to nix PMI by getting a private appraisal to prove that they have 20 percent equity or more in the property.
This is especially true for homeowners who have performed remodeling, renovations or an addition to add square footage to the property. This can result in significant savings for homeowners and it’s something that many property owners simply fail to realize!
Tips to Grow Your Career With Szablak Consulting Founder and Realtor Judy Szablak
Finding success in a hyper competitive field such as real estate sales can be challenging, but you’ll enjoy a major benefit from working with a career consultant like Judy Szablak. She can provide new and experienced real estate agents alike with valuable insights and recommendations that give them a competitive edge in today’s real estate industry. A consultant will not only offer advice and recommendations, but she will also share her valuable knowledge and expertise on topics such as online marketing for Realtors and social media marketing to get leads, to sales motivation tips and other tips to sell more homes!
If you’re ready to take your career to the next level or are just starting working as a Realtor, turn to real estate professional and consultant Judy Szablak, founder and CEO of Szablak Consulting and Best Agents Online, LLC. With Judy’s guidance and expertise, you’ll take your career to incredible places, finding success that’s beyond what you believed to be possible!
If you’re a real estate agent who is ready to elevate your sales or if you’re a realty owner or manager who’s seeking a dynamic, expert coach to bring a new element of professionalism to your sales team and your brokerage firm, turn to Realtor Judy Szablak of Szablak Consulting. Call 855.438.5839 or complete the booking form.