Pearland Real Estate Expert

The process of buying or selling a home is filled with decisions. You can base many of those decisions on objective criteria, like how many bedrooms you want or what price comparable homes have fetched. Often, though, people decide which agent to hire without giving it much thought at all. That could be a big mistake. Just because an agent is successful doesn't guarantee that he or she is the best agent for you. With so much riding on this transaction, you not only want someone who understands your goals and has the ability to help you achieve them; you also should make sure you have a good rapport with that person.

Who do you know?

A good starting place in choosing an agent is asking family and friends for recommendations. But don't stop at asking them for a name. Find out what they liked about their agent, if they encountered any problems working with that person, how (and how often) their agent communicated with them, and what kind of results the agent helped them achieve. Sure, it's helpful when someone says, "My agent was great," but try to find out exactly what that means.

On the other side of the equation, feel free to ask for references from any agent you are considering hiring. Don't just get a list. Call those people and ask them questions about their experience.

One and done?

Research from the National Association of Realtors consistently shows that most people hire the first agent they contact. The first person you contact may very well be the best choice for you. However, you might want to interview a few agents to see how they differ and figure out who you believe will do the best job for you.

What is the agent's track record or specialty?

When interviewing an agent, you will want to know if that person has the ability to accomplish what you want. For example, you may decide that a condo specialist will have more success finding you the condo of your dreams, or you may want to list your home for sale only with an agent who does a certain amount of business in your neighborhood. You can find out if the agent has advanced education or designations in certain disciplines, like working with buyers, seniors, or commercial property.

What will you actually do for me?

Make sure you know how an agent will help you market and sell your home, or locate a home to buy. The more specifics you find out, the better. Agents and firms offer various levels and different types of service. Some agents will even offer different services and fees depending on what you require.

How will we keep in touch?

Communication is a big part of any relationship. If you expect to hear from your agent every morning by e-mail and she only calls you every Friday, things will not work out the way you hoped. Make sure you're both on the same page, so everyone benefits.

Make sure your agent is a Realtor

Perhaps this should be the first question you ask any agent: "Are you a Realtor?" You might think there's no difference between an agent and a Realtor, but you'd be wrong. A real estate agent is someone who is licensed by the state of Texas to sell real estate. That agent only becomes a Realtor by joining the local association of Realtors, such as the Houston Association of Realtors. Realtors go above and beyond what is required of agents. Realtors also subscribe to a strict code of ethics. This ensures that you receive the highest levels of professionalism and integrity throughout the home buying or selling process.

For more information on buying or selling property in Texas, I invite you to visit http://www.texasrealestate.com/ or http://www.har.com/ and for all of your Pearland TX and Northern Brazoria and Galveston County real estate needs, please visit my site at http:///www.danfrankrealty.com.  Danny Frank is a local Pearland Real Estate expert.

This column was published in the 25May08 edition of the Galveston County Daily News.

Could you pay cash for a home? Not many people can. Thankfully, we have mortgages at our disposal to make such a hefty purchase. But we're all painfully aware of problems in the mortgage industry these days. What does this mean for your planned house purchase?

How did we get here?

For a time, some lenders were making loans they shouldn't have made. I'll give you a hypothetical example: If someone with a shaky credit history applies for a loan; and his monthly payments on that loan represent 50 percent of his monthly income; and those payments have a good chance of going up after one year; you might guess that loan application stands little chance of being approved. Unfortunately, lenders were approving applicants like that and others when it should have been obvious the borrowers were getting in over their heads.

Many of those homebuyers couldn't keep up with their payments, foreclosures mounted, and some lenders themselves declared bankruptcy. This scenario unfolded in the subprime market first. Subprime loans are mortgages for borrowers who have poor credit history or other factors that make the loans less desirable than those for the best-qualified buyers.

Because problems in the subprime lending industry grew, the pendulum has been swinging away from approving many subprime borrowers, especially those on the more questionable end of the spectrum. In fact, a recent survey by the Federal Reserve shows that more than half of banks have strengthened their standards for subprime loans.

Effects beyond the subprime market

Subprime borrowers are not the only homebuyers who might find it more difficult to get a loan. That same Federal Reserve survey reports that about 14 percent of banks have made their lending standards more stringent for prime borrowers. Also, 40 percent of banks have toughened their lending practices for non-traditional loans like interest-only mortgages. Borrowers are finding that some lenders are requiring larger down payments, higher credit scores, and asking for additional verification of income.

What does that mean for homebuyers?

Though it may sound like a difficult time to get a mortgage, it may help to put the situation into perspective. For starters, lenders are still making home loans. Yes, most are reluctant to lend money to the riskiest borrowers-people who probably qualified a few months ago-but qualified buyers can still get the go-ahead for a mortgage.

You should start the mortgage process well in advance of when you plan to make an offer on a home. Your Realtor can help you sort through the process of understanding various types of mortgages and what might work best for you.

Also, keep in mind that interest rates are still low by historical comparison. Rates on a 30-year fixed-rate mortgage have reached into the double digits in the past; now you can find a 30-year fixed-rate mortgage around six to seven percent, depending on your finances, down payment and credit situation.

What about a little help?

Even with tighter lending practices, first-time homebuyers and those who need some help to afford a home may still qualify for assistance. Organizations like the Texas Department of Housing and Community Affairs, the Texas Veterans Land Board, and Fannie Mae offer programs that qualified homebuyers can use to qualify for lower interest rates or a low down payment. Again, your Realtor can explain how these programs work.

Don't get discouraged by news stories of subprime lending woes. Give yourself plenty of time, research your options, and you can find a mortgage to help you buy a home of your own.

For more information, I invite you to visit http://www.texasrealestate.com/ or http://www.har.com/ and for all of your Pearland TX and Northern Brazoria and Galveston County real estate needs, please visit my site at http://www.danfrankrealty.com.  Danny Frank is a local Pearland Real Estate expert.

This column was published in the 11May08 edition of the Galveston County Daily News.

With the DOJ at the heals of most every MLS in the county, may MLS's are in jeopardy of total collapse.  As REALTORS®, we must come to understand what it is the DOJ, Department of Justice. really wants.  When looking at the DOJ web site, one would think they want to put us out of business...  But I think it is just the opposite.  They want us to service our customers and clients MORE...  I found a blog titled "The War Against The MLS Continues | The MLS Must Fall!" dated may 6, 2008, and I think they are saying the sky is falling.... Look at www.har.com and how it is doing business.  They are winning awards and the consumar is getting what the DOJ wants for the most part. WWW.har.com is leading the industyr and setting standards that all MLS's could learn from....

WINNER: Outstanding Property Search Feature
Houston Association of Realtors®
http://search.har.com/engine/dispsearchclass10.cfm

No Realtor® wants to direct his or her clients to an online property search that will confuse and frustrate. That's why the ease of use of the Houston Association of Realtors®' property search stands out.

"Navigation couldn't get much easier," noted one judge. "It was easy to find all the information, and you can save the property in your shopping cart and continue to search through the site. ‘Home' is clearly visible at the top of every page."

"The site is professional looking, the colors are soft and not flashy, and, best of all, it is not consumed with advertising," another judge reflected.

Marrying ease of use with depth of functionality isn't easy, but this site achieves this critical balance with a multitude of features. "[Visitors] can customize their searches, contact the agent by e-mail, broker by phone, or the site administrator for feedback. They can save their searches in the shopping cart and return later or compare the properties," one judge noted.

The HAR.com property search integrates Microsoft Virtual Earth, which provides detailed, high-resolution satellite-image mapping-available with aerial, bird's eye, and 3-D options-so that visitors can examine fine details of most properties and the surrounding area from multiple angles and distances. It also enables property searches based on proximity to schools, hospitals, and police and fire stations, as well as businesses, such as supermarkets, restaurants, and banks. Traditional property option searches are also available with the use of drop-down menus.

An additional feature allows visitors to highlight a particular section of a map, called a polygon, if they have a specific neighborhood, subdivision, or area of town in mind. Properties that meet the criteria will be displayed with colored "pushpins" that reveal detailed information, including enlargeable photos.

"I personally liked the ‘make a flyer' button," one judge said, "because that feature would allow me to print a one-page hard copy that I could refer to without having to go online to view the listing data."

"The new search engine includes a listing of foreclosed properties, a feature that has grown in interest among prospective homebuyers in the wake of the subprime mortgage crisis," says Houston CEO Bob Hale. "HAR.com also displays detailed tax information for every property in the greater Houston and surrounding area."

Accommodating the tremendously diverse ethnic population in Houston, text within the site is available in multiple languages, including Spanish, Chinese, Vietnamese, French, German, and Italian.

"This is an excellent way to help the members make money-providing the public the avenue to search the members' listings and contact the members directly through the association's public MLS," a judge said.

For more information, I invite you to visit http://www.texasrealestate.com/ or http://www.har.com/ and for all of your Pearland TX and Northern Brazoria and Galveston County real estate needs, please visit my site at http://www.danfrankrealty.com/.  Danny Frank is a local Pearland Real Estate expert.