January 13th, 2023 2:05 PM by Linda Holley
Good afternoon,
My blog last week about condo inspections and funding was read by 4,500 the first day. LindaHRealtor.com/blog.
Today in Sarasota and Manatee Counties, there are approximately 1,500 active listings for new homes (townhomes, condos, and single family); 900 under contract; and 1,700 sold the past six months. New homes are selling faster than they are being built.
I want to represent you if you are interested in buying a new home BUT I must go with you or register you before you enter the model home and speak with the on-site agent. After that, it's too late to have me by your side through this process. When I'm your Realtor, I'll bring in an independent, experienced home inspector who looks at everything before the sheetrock and roof go up. He will inspect the windows to be sure they are properly installed. He'll also inspect before the contractor comes back and writes up the "punch list" of things they agree to take care of after closing. You'll have your own list to add to the items discovered by the contractor's rep.
If only Chloe had known about getting her own Realtor and inspector! My book, Failure to Disclose--a Double-Edged Sword, is ready for publication. It's a novel about a buyer, Chloe, an inexperienced real estate investor who bought a new ski condo in Wyoming. She and many other other buyers in this new ski-in-ski-out mountain condominium community worked with the brokerage that advertised and listed these properties. After closing on the properties, many code violations were discovered and several caught on fire one night when Chloe was asleep. She was lucky to get out alive.
This book is a "lessons-learned" about buying new construction for investors, all buyers, agents, and real estate brokers. You'll learn why it's very important to bring your own agent with you when you purchase a new home. Why? Because the on-site agent works for the developer, not you, since the developer pays the real estate commission. If you bring your own agent from another brokerage, you'll have an ally and advocate who will work hard for you and disclose everything they learn from their independent research. If things aren't looking good, YOUR agent will show you how to terminate the contract and get your deposit back. Getting your own agent when buying any home costs you nothing because the developer always pays 100% of our commission. Some agents will just refer you to the developer's on-site agent. I represent you, which is very different.
**Ask your Realtor, "Are you representing me?"**
Some states and brokerages do not allow agents to represent their buyers and sellers. The agents work as transaction brokers or Intermediaries. Under those relationships, the brokerage is allowed to handle both sides of the transaction, working with both the buyer and seller. They are neutral and do not owe loyalty or confidentiality to either party. Transaction brokers or intermediaries perform ministerial duties, which means getting the property under contract, referring buyers to home inspectors and lenders, and coordinating the closing date with all parties. When you work with a transaction broker, you are a customer and not a client. That's real estate law about brokerage relationships and agency.
I have been a transaction broker and a single agent (representing buyers and sellers). I prefer being a single agent because I like to explore, do my own fact-finding, and advise my clients. Transaction brokers make referrals and their customers must do their own research. Their customers are not allowed to rely on their advice.
If Chloe had known to use her own Realtor when she bought the ski condos, she would have known why closing dates were postponed months at a time. Her Realtor would have referred her to an attorney who would have helped her terminate the contract and get her $30,000 deposit returned.
I hope you enjoy reading Failure to Disclose when it comes out in February. It is being published by Peppertree Press. Much credit goes to Linda and Dick L., friends and editors.
If you are looking for real estate anywhere in Sarasota and Manatee Counties, call Linda Holley, Realtor, GRI, SRES, Fine Properties, 941-914-4914.
Linda
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