I’ve had some people say “Oh, we don’t know where we want to buy yet – we’re just looking around – we don’t want to waste your time”! That’s the wrong way to begin your search. Helping you get oriented, become informed about the overall real estate market and begin to make basic decisions about where and how you want to live is a big part of how a Buyer Agent helps you. In Delaware, the commission earned by your Buyer Agent is negotiated by the Listing Agent at the time the house was listed and placed into the MLS. Some say the total commission is paid by the Seller; I like to say it is paid out of the real estate transaction itself. The only time you need to be concerned about a commission to your Buyer Agent might be in the case of a house “for sale by owner” or in other isolated cases where the Seller is not offering compensation.

“What about new construction? Shouldn’t I just go directly to the community sales office?”

No, and here are a few reasons why:

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Have you noticed that I cover new home communities rather extensively? That is because all of the builders and developers of new home communities, active adult, age-restricted or all-ages communities, do cooperate with real estate agents and brokers. This is not necessarily the case everywhere but it is true here in Delaware.
What does that mean to you as a prospective buyer in Delaware? It means that you may work with an agent who represents you and the builder will pay the commission at settlement. Exactly what rate of commission differs from builder to builder as is the case with resale homes. Actual commission rates are determined at the time a listing is created or when a development is introduced to the real estate community. They actively market to us and obviously encourage us to bring our buyer clients to see what they have to offer.
We always want our clients to see and be able to compare both new construction and resale homes in all of the communities that could possibly meet their wants and needs. Sometimes they think they want one thing and end up buying something totally different! There is truly something for everyone in Coastal Delaware.
Can you simply go direct to the builder and purchase a home? Yes you may. Just remember that the sales people work for the builder not you. They are employees not real estate agents and they are not subject to the Code of Ethics like we are. They have no disclosure requirements designed to protect the consumer. And, the only way they are compensated is if you buy a home in that one community.
As your buyer agent we will earn a commission regardless of whether you buy a new home or a resale home, no matter who has the listing. If it turns out that this area doesn’t work for you and you don’t buy a home? We hope you’ll tell your friends to give us a call if they are considering a move to Coastal Delaware.
One rule with new construction – the builders want you to be accompanied by your buyer agent ON YOUR FIRST VISIT to their community. Understandable, they don’t want an agent to “call ahead” and simply claim you are their client. We do more than that for our clients, we stay involved throughout the entire buying process right up to the day of settlement and beyond.
 
Thank you for reading this. I think it is important that consumers understand how the real estate business works and how to make sure that their rights are protected. Questions? Comments? Please let me know.

Spring is always the best time to list your home for sale in Coastal Delaware. Even in a challenging market, if a home is going to sell, spring is the selling season. They say “list your home in November, sell it in April; list it in March, sell it in April”. After a hard winter on the heels of an extended period of slow sales, there is a window of opportunity for sellers that you don’t want to miss.
What do I mean? This Spring 2010 offers buyers a unique opportunity to take advantage of very low mortgage rates, reduced home prices and tax credits that are due to expire April 30th, 2010. First time home buyers and repeat buyers who qualify for the tax credit have to find a home NOW and get it under contract; they cannot count on another extension.  Is your house the one they’re looking for? If you want to sell but it’s not on the market yet, you will miss that window.
The new President of the National Association of Realtors (NAR), Vicki Cox Golder, recently commented “There’s a shortage of lower priced homes for sale in much of the country, resulting in multiple bids in some areas,” she said. “Raw unsold inventory has been trending down. As the market heats up again this spring, buyers may need to be prepared to move quickly on a particular home — the best advice is to begin working with a Realtor® now to be able to use the tax credit and benefit from the increased buying power in the current market,” Golder said. Active buyers are looking for a home, however, not a tax credit even if that’s what got them shopping. Are they looking for your home? Is your home ready to be bought?
Still not convinced? There is pent-up demand and cash buyers have been waiting on the sidelines. They sold a home perhaps and decided to rent until markets stabilized and they felt confident about buying another home. Do you really believe that financially conservative, long-term homeowners will stay out of the market much longer? Will they be happy as renters in limbo when they see an opportunity to buy the right home in a desirable neighborhood at a reasonable price?
New Home Construction
Have you heard the sound of hammers as new home construction begins again? Builders know they have to build a few spec homes to have in inventory when the buyers are ready to buy. The financially sound builders have taken over where others left off and now they’re betting on improved sales. Will they build a few too many homes, building up inventory with which you will have to compete? I wouldn’t wait to find out that I waited too long to sell my house.
Open House
If your home is listed for sale, do your thorough spring cleaning, call in the landscaping service and ask your listing agent to schedule that Open House. Your buyer may be searching the Internet right now or driving through your neighborhood on Sunday. Are you ready?
Don’t you feel more optimistic now that spring is here than you did during the February snow and ice? So do buyers!

What’s better than a new car, new clothes or new shoes? A shiny, brand spanking new house! Not just any new house, but a new house in a brand new community with all kinds of awesome amenities and special features! But beware:  It’s easy to be so dazzled by the decorating that the important questions never get asked.

If you are seriously shopping for a new house in a new community, be prepared to ask the questions that will help you make the right decision, especially if you are interested in a 55+ or Active Adult Community. Write out your questions before you go so you can be sure you get the answers you need, even if you find yourself getting caught up in the beautifully decorated models, the Clubhouse, the Golf Course, the pools and tennis courts, and other community amenities.

For example, in new construction we know that there are generally options and upgrades available. If you ask the salesperson, what options and upgrades do you offer?” you will likely hear about the optional sunroom or bonus room, the optional deck or fireplace. For upgrades, you will generally be offered different kitchen cabinets or counter tops, higher grade appliance packages or a more luxurious master bathroom. Some communities have pages of possible options and upgrades.

But if you are shopping for a home to live in the rest of your life, whether or not that home is in an Active Adult Community or other age restricted community, you may want to add this question: “Do you offer a Universal Design Package?” or “What Universal Design features do you offer in this house/community?”

Forward-thinking builders will not only have an answer but they will provide a comprehensive list of features that can be incorporated into their homes. The best builders will be able to point out Universal Design features that are already standard items and tell you about others that can be substituted or made available as upgrades.

Standard items might include:

• Rocker Light Switches at 42” instead of 48”
• Electrical Outlets that are 18” high instead of 12”
• Lever door handles
• Task lighting
• Reinforced bathroom walls for later installation of grab bars
• Decorator towel bars that work as grab bars

Options or Upgrades that should be available today include:

• 36” wide doorways with off-set hinges
• Showers with a low or zero threshold
• Variety in both bathroom and kitchen counter height to allow for seated use or wheelchair access
• Appliances with front controls for less reaching
• Washers, Dryers and Dishwashers installed on raised platforms for less bending

Why be concerned about buying a Universal Design home today? Even if you don’t plan on living in your new home for the rest of your years, over 37% of Eastern Sussex County is already over the age of 50. How old will the average buyer be when you’re ready to sell? In less than a decade, even the youngest Baby Boomer will be over 55.