What is meant by the term Dual Agent?
A Dual Agent, or Agency, occurs when one brokerage or Realtor represents both the Buyer and the Seller with respect to the purchase of a home or property. There are strict rules that must be followed in such circumstances, and it is important that all parties to the transaction understand and have explained clearly to them the implications of this type of Agency.

What is a contingency clause and should I include one in my offer?
Each offer to purchase property, each buyer and their individual circumstances are unique, but having said that, if you need to obtain a mortgage or some other type of financing, or have an existing property that needs to sell first you would want to make sure your offer is subject to you doing that within a reasonable time.

If you have concerns about the structure or condition of the property, you would want to make the offer contingent on having a home inspection, or engineer’s report on the property.

A word of caution; an offer to purchase is a legally binding agreement and should be completed only by someone who has the experience to protect your interest.

How should I prepare to buy in a competitive market?
A competitive market, or hot market, is usually defined as one where there is a relative shortage of marketable properties coupled with an increase in demand for those properties. This would describe the Grande Prairie market at this time.

There are three things you need to do in order to buy successfully in such a market. First, you need to make sure you are up to speed with what your buying dollar will purchase. In other words, you need to be familiar with the Fair Market value for the type of property you want in the area that you are looking in, so you know a good buy when you see it. Secondly, you need to have all the financing pre approvals in place. Thirdly, you need to have a qualified, experienced Realtor on your team to find the right property and to position your offer to purchase for success. In this type of market it is not unusual to have multiple offers on the same property brought in at the same time.

What’s a pre-approved mortgage? Is it better to look at financing before or after an offer to purchase?
A pre-approved mortgage is just like applying for a mortgage when you buy a home, but it is done ahead of time. Your financial institution will take all the information it requires from you to determine how much you can comfortably afford to pay each month and what price range of home you can look at purchasing. Talk to your broker\banker about a pre-approved mortgage or check out several financial institutions if you want to “shop around” to see what other banks offer. With a pre-approved mortgage you can shop with confidence, knowing that the biggest hurdle in home buying has been seen to ahead of time. Generally speaking, pre-approval terms and conditions are guaranteed by the financial institution for up to 60 days, giving you the protection of “locking in” a certain mortgage rate should rates climb higher while you look for a home to purchase. If interest rates go down, the banks will generally give you the lower rate — make sure to ask your broker. It is always better to look at your financial picture before rather than after you have made an offer to purchase. There is no use in looking at homes that you cannot afford, and naturally the seller of the property is interested in opening their home to only genuine qualified buyers.

Applying for a mortgage…What are my options?
The mortgage market is changing like everything else and one of the biggest changes has been the addition of Mortgage Brokers. They bring a new perspective.If for no other reason than for them to get paid they have to complete the deal, unlike a lending officer in most financial institutions who is on salary. Banks on the other hand offer a competitive rate plus other services that may be of benefit to you in purchasing a home.

About building inspections
There are several reputable companies in our area that I can recommend two of which are Home Alyze and Peace Building Inspections. The cost of a home inspection may vary depending on the details required in the report, but generally run from $200 to $400.

Why is it important to stay with one realtor when I’m looking to buy a home? Isn’t it better to have more people looking for me or to deal with the listing salesperson of the property I’m interested in?
It’s important to stay with one realtor when you are considering buying or selling for the following reasons:

With one Realtor working for you, you will develop a trusting relationship that will benefit both you and your Realtor. You cannot expect a listing Realtor to ensure that you will pay the lowest price for the property when his job is to get the highest price for his client, the seller.

Your Realtor will become familiar with your likes and dislikes and be able to ensure that your interests are protected in any negotiations during the sale of your property or purchase of a new property.

As a loyal, life-time client your Realtor can provide you with reliable information about the real estate market at any time, whether you are ready to buy or sell at that particular time. If you are willing to offer your realtor your loyalty he will offer you his.