Native Denver Area Real Estate Agent & Relocation Specialist RE/MAX Alliance Arvada - Anthony Rael, Denver Realtor

Advice & Counseling for Home Buyers & Sellers - www.anthonyrael.realtor

Frequently Asked Questions

Buyer Questions & Answers - Buying a home in the Denver Metro area?
Click the links below to find answers to some of the most common buyer questions:

  Do you work with home buyers in the Denver metro area?
 
How much does it cost for a buyer's agent to help me find a home?
 
How can I check my credit score before I apply for a mortgage?
 
How much does it cost to buy a home in the Denver real estate market?
  What is an Earnest Money Deposit & how much do I need?
 
How many Denver homes or properties should I plan to view?
 
I would like to preview a home or property for sale - who can I call?
 
Can you help me buy a new home from a Colorado home builder?
 
Where can I find more advice on buying a home in Denver CO?
 
What is title insurance and why do I need it?
 
How much home can I afford in the Denver real estate market?
 
How much of a down payment will I need to have?
 
What is included in a monthly mortgage payment?
 
Do you recommend hiring a home inspector?
  Anthony Rael's Preferred Mortgage Lenders to get pre-qualified

 

 

Seller Questions & Answers
Selling a home in the Denver Metro area?
Click the links below to find answers to some of the most common seller questions:

  Do you work with sellers?
 
How much is my Denver area home is worth?
 
How is the listing or asking price determined?
 
Pricing strategies - starting high & reducing later?
 
How much do you charge to sell a home in the Denver metro area?
 
What the heck is a sales "co-op"?
 
Do you offer "discounted" or "limited services"?
 
Are there any up-front or hidden fees to sell my home?
 
Who will show your home to prospective buyers?
 
Where can I find more advice on selling my home in the Denver real estate market?

GENERAL INFO
 
How are real estate agents compensated?
  Is your real estate agent a REALTOR®
  Where can I get a home mortgage loan?
  If I call or e-mail you, will I be pressured?
 
Who should I call with questions?
 

Avoiding Foreclosure
Avoiding Foreclosure - Colorado Foreclosure Hotline & Foreclosure Resources


 

Do you work with buyers?
Answer: ABSOLUTELY!

As your "buyers agent", you will receive "Nordstrom-level" service from your initial home search through moving day and long after your settled in.  I'll be with you every step of the way to ensure that nobody takes advantage of you.  In addition to the vast inventory of in-house listings by REMAX Alliance, I can assist buyers in previewing homes for sale through the Denver & Boulder Colorado Property Listings from RE/MAX, ,, Coldwell Bankers, Keller Williams, Home Real Estate, Fuller Town & Country, Nostalgic Homes, and many other independent real estate companies - including new homes offered by local builders.  The best part for buyers is that they get my professional advice and assistance at no cost.

 

How much does it cost to hire a buyer's agent to help me find a home?
Answer: NOTHING!

When you hire me as a "buyers agent", I will work round-the-clock to find homes based on your specific needs at no cost to you!  There are no gimmicks or hidden fees - my sales commission will be paid by the selling agent for bringing you (the buyer) to them. It's that simple.

 

How can I check my credit (FICO) score before applying for a mortgage?
Your credit rating is based on a combined score generated from three credit bureaus who look at your credit history, amount of credit available, and recent inquiries to determine your "FICO" score.  Any reputable mortgage lender can run a credit report for you (free of charge) within a matter of minutes.  This credit check does not obligate you to anything, it's solely intended to help determine whether your credit is solid enough to qualify for a mortgage if/when the time comes.  A higher FICO score = a better interest rate.

 

How much does cost to buy a home?
Answer: IT DEPENDS.

If you haven't already been pre-qualified for a home loan, I can recommend a mortgage lender who will help you.  It only takes a few minutes and can be done over the phone. Since there are so many variables (ie: down payment options, interest rates, closing costs, taxes, insurance, HOA's, etc.) that go into buying a home, it's best if we talk on the phone -
call 303-520-3179.

 

What is an Earnest Money Deposit & how much do I need?
Earnest Money is a deposit that a seller requires when submitting an offer to purchase their home.  It is simply a sum of money that is deposited into a trust account which is held until the day of closing (in most case by the Title Company) and credited back to you at the settlement table (ie: closing).  The amount can range from 1-3% of the list price, but 1% is very typical.  So on a $200,000 home, the earnest money deposit would be $2,000. 

Earnest money is used to show that the buyer (you) are serious about the purchase and forces you to act in good faith during the transaction.  If you do not do things according to the written purchase contract, you could lose your earnest money!  As your agent, I am here to protect your interests and make sure that you abide by the contract so you don't lose this money.  In some cases, a buyer may consider offering a larger earnest money deposit to strengthen their offer by showing the seller they are serious about purchasing their home.

 

How many homes should I plan to view?
Answer:  AS MANY AS IT TAKES!
Searching for the perfect home takes time.  I will show you as many homes as it takes to find one that best meets your needs.  Sometimes you don't know what you really want until you visit a home that takes your breath away.  I will make you feel rushed to make a decision - just read a few of my recent buyer reviews and see that I always have your best interests in mind.  If we have to visit 9 homes or 90 homes, we'll find it!

 

I would like to preview a home for sale, who can I call?
Answer: I'm available @ 303-520-3179

If you are not already under contract with another real estate agent, I can show you any home listed for sale in the Denver Metro area - including new homes. Regardless of where you find a (on the internet or driving by), you can call me to find out all the details and schedule a preview.

 

Can you help me buy a new home from a builder?
Answer: ABSOLUTELY!

Anyone considering the purchase of a new home should hire a realtor that can represent you in negotiations with a new home builder. In fact, many new Colorado home builders welcome the assistance of a cooperating real estate agent. There's no cost to you (the builder pays our commission fees). For more info on new homes and new home builders - go here.

 

What is title insurance & why do I need it?
Title insurance assures that you have clear title to the home you're purchasing.  A title search is the primary component of due diligence and is performed by the title company you choose.  It's important to note that the SELLER pays for the buyer's title policy.  After all, they are the ones transferring a clear title to you. 

A typical Owner's Title Policy covers Clear title to the property; Incorrect signatures on documents; Forgery, fraud; Defective recordation; Restrictive covenants; Encumbrances or judgments; Mechanic's liens and unrecorded liens; Unrecorded easements and access rights; Defects and other unrecorded documents.  The Extended Owner's Coverage (OEC) covers:  Building permit violations from previous owners; Subdivision maps; Covenant violations from previous owners; Living trusts; Structure damage from mineral extractions; Variety of encroachments and forgeries after title insurance is issued.

 

How much of a down payment will I need to have?
As you've heard by now, the credit markets are very tight right now and 100% mortgages (with no money down) are generally unavailable.  If you want to purchase a home in today's Denver real estate market using an FHA-loan, you are generally going to need about 3.5% down plus another 2-4% of the purchase price to cover the closing costs.  Don't panic...there are several Down Payment Assistance Programs throughout the Denver metropolitan area available.  The rates and terms are excellent!  In many cases, all you'll really need is $1,000 out-of-pocket and the programs are not limited to first-time homebuyers.  As far as closing costs are concerned, I will negotiate to get these paid by the seller.

 

What is included in a monthly mortgage payment?
Your monthly mortgage payment mainly pays off principal and interest.  But most lenders also include local real estate taxes, property insurance, and mortgage insurance (if you have less than 20% equity). This is often referred to as PITI (Principle, Interest, Taxes, Insurance).  If you purchase a home in an area that has an HOA (Homeowners Association), your fees will be paid directly to the HOA to pay for things such as grounds maintenance, swimming pools/hot tubs, club houses, tennis courts, exterior building maintenance & even roofs in some cases.

 

Do you recommend hiring a home inspector?
Answer: ABSOLUTELY!
Without a doubt, every home buyer should  hire a qualified and experienced home inspector.  In fact, it would be irresponsible not to.  Your inspector checks the safety of your potential new house & focus especially on the structure, construction, and mechanical systems of the house and will make you aware of any problems and/or items that require repair.

Home Inspectors do not evaluate whether you're getting good value for your money or not - that's what I'm here for.  Generally, an inspector checks the electrical system, plumbing and waste disposal, water heater, insulation and ventilation, HVAC system, water source and quality, potential presence of pests, the foundation, doors, windows, ceilings, walls, floors, and roof.

Once the transaction is closed, the house is purchased "as-is".  Rest assured, we will always write an inspection clause or make the purchase contingent upon a satisfactory inspection.  If the house has problems that you want corrected or resolved, the seller will have an opportunity to either make the repairs, reduce the price or you can simply walk away from the property and get your earnest money deposit back.  The cost is typically $150-300.  Click here for one of my preferred vendors.

 

Do you work with Sellers?
Answer: ABSOLUTELY!

I provide full service for sellers. I offer more than just a sign in your front yard. I can help you get top-dollar for your home!  Call 303-520-3179.

 

How much is my home is worth?
Answer: CALL ME!
I will prepare a FREE comprehensive Comparative Market Analysis (CMA) using the same technique as appraisers. This analysis will assist you in determining the correct price for your home based on current market conditions such as the competition of similar homes in your community. I will also conduct a thorough review of home sales for the past year or so to compare market times and selling prices.

 

How is the listing or asking price determined?
Answer: YOU DO!
Sellers (although they may not realize it) are in total control of setting the listing price. As your Realtor, it is my responsibility to survey the "comps", evaluate the current local real estate market to determine and suggest a fair asking price. If the seller doesn't agree, then we'll usually map out a multi-phased price reduction timeline that will eventually sell the home. It's important to note that Real Estate Agents & Realtors do not determine the price - buyers do.

 

Is it a good idea to start high knowing I can always drop the price later?
With the high number of properties saturating the Denver real estate market, it's absolutely critical that your home is priced right from the start.  When homes are overpriced, they will generate less interest and showings will be down.  As your Realtor, I am committed to getting top dollar for your house, but as I said before - real estate agents & do not determine the price - buyers do.  Don't waste time playing games and reducing the price every few weeks or months because you will become frustrated and stressed out when it could have been avoided.  Let's work together to analyze the current market trends to make sure your home is priced right and can sell quickly in this ultra-competitive real estate market.

 

How much do you charge to sell a home?
Answer: 4-7%
Sales commission rates vary from agent to agent and can range from 4.5-7% of the sales price. Sales commission rates are not set in stone and are negotiable depending on the specific level of marketing services an agent will provide.  There are some companies that advertise cut-rate commissions, so if you decide to go down this road, please be sure you read the fine print and also make sure you can terminate the contract at any time if you are not satisfied.

 

What the heck is a sales "co-op"?
Answer: FEES PAID TO A REAL ESTATE AGENT.

The term "co-op" means the fee or percentage of the sale of a home that is offered as compensation to the cooperating real estate broker who helps sell your house.  For example, the listing agent (the agent who is selling your house) offers a % of sales commission (see above) to the cooperating agent who can locate a buyer for your home.

 

Do you offer "discounted" or "limited services"?
Answer: NOT REALLY.
My personal belief is that everyone deserves Nordstrom-level service...it's just the way I've always conducted my business. While I firmly believe that everything is negotiable, my work ethic is not.  So even if we negotiate a "discounted" or "limited" service, my work ethic and ability to market & sell your home is a high standard that's impossible for me to deviate from.  The best thing to do is meet to evaluate your needs and come up with something we can both be satisfied with!

 

Are there any up-front or hidden fees to sell my home?
Answer: ABSOLUTELY NOT!
I can't speak for any other agents or firms, but I can assure you that I will not be paid unless I sell your home.

 

Who will show your home to prospective buyers?
Answer: I cooperate with all real estate professionals. Agents from RE/MAX, , Coldwell Bankers, Keller Williams and other offices frequently show and sell our listings. REMAX Alliance and/or Centralized Showings will coordinate the showings and I will requesting feedback from the buyer and their agents afterwards.

 

How are Real Estate Agents compensated?
Answer: BY THE LISTING AGENT / SELLER.

In Colorado, the majority of residential real estate brokers are compensated by the listing agent (the one who works on behalf of the seller).  If you are a buyer, there is no-cost to you to utilize the services of a buyer's agent to represent your best interest in the transaction.  Upon the successfully closing on the home, a certain pre-negotiated fee or percentage of the sales price is paid to both agents - typically 2.8% to the buyer's agent and the rest to the listing agent.  If you are the seller, you should be aware that our sales/listing commissions are not set in stone and are negotiable - don't be led to believe otherwise. Listing fees can range from 4-7% of the sales price and is usually dependent on the property, location and overall marketing plan.

 

Is your real estate agent a REALTOR®
Answer: MAYBE - MAYBE NOT....

All real estate licensees are not the same. Only real estate licensees who are members of the NATIONAL ASSOCIATION OF REALTORS® are properly called REALTORS®. They proudly display the REALTOR "®" logo on the business card or other marketing and sales literature. REALTORS® are committed to treat all parties to a transaction honestly. REALTORS® subscribe to a strict code of ethics and are expected to maintain a higher level of knowledge of the process of buying and selling real estate. An independent survey reports that 84% of home buyers would use the same REALTOR® again. 

Is your real estate agent a REALTOR® or just telling that they are?  Truth is, less tan 50% of all licensees in Colorado are REALTOR®.  Some agents are illegally using the REALTOR®  logo on their business cards & print materials, but are not actually paid members of these organizations. See if your Colorado agent is listed here.

I am a member of the Colorado Association of Realtors (CAR), Denver Metro Association of Realtors (DMAR) and the National Association of Realtors (NAR).
 

 

Where can I get a home mortgage loan?
Answer: ANYWHERE.

Ask your friends, co-workers, family members (or me) because there are some individuals and/or companies you want to avoid.  Although most banks & credit unions can provide home loans, they don't always offer the best rates and terms.  It's always best to compare at least two mortgage lenders because their rates can vary significantly and some unethical lenders prey on uneducated buyers with "bait-and-switch" tactics. If you need a recommendation for a reputable mortgage lender, I will be glad to refer one of my preferred mortgage lenders who I personally trust.

Not sure how much you can afford?
Use my mortgage calculator to get a general idea or get "pre-qualified" by a reputable lender (I can recommend one if needed). It only takes a few minutes and you are not obligated to do anything.  Knowing what you can qualify for helps limit your search for homes you can actually afford.

Are you aware e of numerous first-time homebuyer programs available in Colorado?
There are several low-interest grants and housing financial assistance programs available to homebuyers in the Denver Colorado area. If you'd like more information on getting FREE down payment assistance and/or low interest loans from these organizations, please call me at 303-520-3179.

 

If I call or e-mail you, will I be pressured?
Answer: ABSOLUTELY NOT.

Like you, I despise high-pressure sales people and tactics. You have my personal assurance that I will never pressure or obligate you to do anything. I am here to provide real estate advice and hopefully earn your business. I won't bull**it you and I won't won't promise something I can't deliver. As a Denver, Colorado Real Estate Agent / Realtor, I subscribe to a strict code of ethics.

 

Who should I call with questions?
Answer: ME!

The fact is, when it comes to real estate (or life in general) there are no stupid questions.  Realtors are not here to judge anyone - we're here to help people understand all the various aspects of a real estate transaction and make them feel comfortable with the process. Since buying & selling a home involves one of the biggest financial investments you will ever make, it's absolutely essential that you feel comfortable asking anything. If I don't know the answer, I can easily tap into my team of 100+ agents at REMAX Alliance to get an answer quickly.  When you have questions or just want to bounce ideas off someone, let's meet for coffee or you can just call me at 303-520-3179.

Avoiding Foreclosure
Avoiding Foreclosure - Colorado Foreclosure Hotline & Foreclosure Resources
Search tens of thousands Denver area real estate listings including single family homes, condos, townhomes, lofts, land, short-sale, foreclosed, bank-owned, HUD and investment properties.  Locate properties by type, price range, subdivision, city, beds & baths - without the hassle of registering & providing your personal information.  Gather property info, take virtual tours and schedule showings for any home or property you find online - regardless of which Denver Real Estate Broker or Agency the property is listed by.

If you would like to sit down for coffee and discuss the Denver Real Estate market, just call me anytime at 303-520-3179Anthony Rael, RE/MAX Alliance offers professional & trustworthy real estate services to buyers & sellers throughout the Denver metro area including Arvada, Brighton, Broomfield, Denver, Golden, Highland/Sloan's Lake, Highlands Ranch, Lakewood, Littleton, Louisville, Longmont, Thornton, Westminster, Wheat RidgeAdams County, Denver County & Jefferson County.

Leverage my life-long knowledge of the Denver Metro area - from homes, condos, lofts or investment properties, new homes builders, schools & local amenities to reliable & trustworthy business partners like mortgage brokers & home contractors to maximize your investment, secure your future and realize the home of your dreams.

If you're thinking of buying, selling or relocating to the Denver Metro area,
call Denver Realtor Anthony Rael at (303) 520-3179



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Anthony Rael  |  REMAX Alliance - Arvada  |  5440 Ward Rd., #110  |  Arvada, Colorado 80002  |  303.520.3179
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