Now that’s a smart move

Tips From Texas REALTORS® to help you avoid expensive

mistakes in your next real estate transaction
Macrovector/Shutterstock

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 Real estate transactions are This valuable guide gives you tips
complicated. If you’re not sure what gathered from a survey of Texas
you’re doing, you can lose money or REALTORS® from all over the state.
wind up in court. Even when things
are going well, making decisions with Remember … every real
so much on the line can be stressful. estate transaction is
That’s why having a Texas REALTOR® unique. Talk to a Texas
at your side is a smart move. REALTOR® to get the best
Your REALTOR® will: advice when you want
• Help you sift through the
mounds of data and info to buy, sell, invest in, or
• Explain each step of buying or lease property.
selling
• Discuss your best options
• Help you accurately assess Now that’s a smart move.
property values
• Negotiate in your best interests
• Keep your transaction running
smoothly
• And more!
Macrovector/Shutterstock
Buying a home?

Purchasing your first home? Upsizing? A Texas REALTOR®

Downsizing? Relocating? will help you make
smart buying
decisions.
Avoid these mistakes
44 %
of Texas REALTORS® say
26
say being
%
not working on your unrealistic about
financing early enough what you can
in the process is the afford
biggest mistake home-
buyers make.
Elegant Solution/Shutterstock

Other top mistakes REALTORS® mentioned?

Letting emotions get in the way of good decisions
Not defining desired criteria prior to your property search
VSForever/Shutterstock

COMMENTS FROM TEXAS REALTORS®

Don’t mistake the In a seller’s market, Don’t ask for

real world of buying be ready to make an unnecessary repairs
a house with what offer quickly … there in a seller’s market.
you see on HGTV. is no tomorrow. You may lose the
property.
Buying a home?

Your REALTOR®
Watch out for surprises Nearly half of Texas helps you navigate
REALTORS® say that the biggest surprise to first-time these and other
homebuyers is how many steps there are between steps based on the
getting an accepted offer and closing the deal. Here are specifics of your
just a few of those steps you may take in a transaction: transaction.

Req
ues
s
ion
t fro
ect

ms
insp

el e
ing

rm
dur

anu
ted

als
tec

and
s de

Arrange for a survey

doc
blem

um
ent
pro

Purchase title insurance

s fo
ny
na

r ex
po

istin
wu

ga
Work through any issues discovered during the title search
ol o

ppl
to f

ian
Follow up on issues in seller’s disclosure ine how

Provide appraiser with comparable properties and information relevant to the value

ces
/sy
Deliver termination-option fee to seller

stem
erm

Get cashier’s check for downpayment

Det

s
Consider proposing amendments Review seller’s disclosure
Provide paperwork to lender

Coordinate utility connections

Purchase home warranty Schedule pest inspection
Schedule the inspection Monitor deadline for terminating contract without penalty
Review appraisal Review Closing Disclosure
Review title commitment
Negotiate amendments
Monitor loan process Verify HOA documents
Review inspection report Choose a home inspector
Review all closing documents for problems, omissions, and math errors
Buying a home?

Texas REALTORS® say Don’t get

overwhelmed!
buyers need the most help Work with a
in these areas: Texas REALTOR®.

Finding a property Determining if a

that meets your price is fair/what Dealing with
needs and budget offer to make Negotiations paperwork

30 %
30 %
22 15 % %

COMMENTS FROM TEXAS REALTORS®

Buyers need help with

The most difficult
task depends on
market conditions. If
VoodooDot/Shutterstock
all of it … finding a
property, determining
a fair offer, assessing
the quality of the home, The most difficult part

supply is low, finding

negotiating, dealing with depends on the buyer
a house is difficult …
the forms, and keeping and their experience.
but if supply is high,
negotiating is the it all together between
getting a contract and
VSForever/Shutterstock

most difficult.
closing the transaction.
Buying a home?

Expensive mistakes Texas Your REALTOR® will

REALTORS® have seen help you avoid
buyers make. costly errors.

Not getting a home inspection

because the buyer wanted to
save a few hundred dollars.
Big mistake.
Assuming that the highest
loan they are approved for
means they can afford it. Not realizing
Purchasing a
co-signing a loan
Making too low of an cheap home and
for your son can
offer when really wanting not understand-
tank your credit
Not getting a home a home, then losing it to ing the costs to
score.
warranty. The AC failed others who made a fair make it livable.
three months after they offer.
bought the house.

Not knowing
about
assistance
programs for
buyers.

Not shopping for Offering much more than the

a mortgage. Rates market value of the home be-
and closing costs cause of multiple offers, then Deciding they didn’t want the home
can vary widely. not being able to sell in a few after the termination period. The
years because they owed more buyers lost their earnest money.
than the home was worth.
Faber14/Shutterstock

Overlooking structural problems because the

cosmetics of a remodel were so pretty.
Buying a home?

A Texas
If you can’t afford the exact home you REALTOR® will
want, 56% of Texas REALTORS® say buying discuss all your
a smaller home is the compromise you options, so you
will least regret. That came in way ahead make the best
of buying a lower-quality home, buying a decisions.
different type of home (like a condo instead
of a detached home), or buying in a less
desirable or less convenient neighborhood.

Don’t get too Make sure you’re

emotionally attached transparent with your
to a home. You need Texas REALTOR®. We
to be realistic about can’t do the best job
how much work and for you if we don’t
expense will come know what your real
after you buy it. situation is.
Faber14/Shutterstock
Selling your home?

Your Texas
Putting your home on the REALTOR® can
market is no easy task. help you sort
through all these
You will have a lot of questions: considerations.
• What price will maximize my profit?
• How do I market my home to the
widest audience?
• Should I accept the first offer?
• Is staging important?
• Should I make repairs or lower the
price?
• Will remodeling pay
off when I sell?

Avoid these mistakes

54 %
of Texas REALTORS® say
15 %
say letting
12 %
say not making
overpricing your home emotions affect repairs prior to
is the biggest mistake negotiations putting the house
sellers make on the market

Other top mistakes REALTORS® mentioned?

Thinking that online home valuations are accurate
Enmaler/Shutterstock

Interacting directly with buyers and compromising negotiating positions

Selling your home?

Make a good first impression with buyers Every property

is unique. Get
What Texas REALTORS® say are the most your REALTOR®’s
valuable projects prior to putting your house advice first.
up for sale

1 2 3
Regular/Shutterstock

Declutter Paint interior Paint exterior

matrioshka/Shutterstock

What should you do if your home

has worn, stained carpet?

72 % of REALTORS® recommend
replacing the carpet
before putting the house
on the market.

28% suggest leaving the car-

pet and offering a carpet
allowance or reducing the
price of the home.
It may depend on your market and other
factors. Talk to a Texas REALTOR® to discuss
what option makes most sense for you.
Selling your home?

Expensive mistakes
Your REALTOR® will
Texas REALTORS® have seen help you avoid
sellers make. Telling the buyer costly errors.
they would fix
whatever was
listed on the
Spending too inspection report,
Not accepting a good offer much money on thinking there
because it came ‘too quickly.’ upgrades and not wouldn’t be much.
They waited three months and getting a return
got less than the first offer. on that amount The seller lied on the
when they sold. disclosure notice. That
led to a lawsuit after
closing!
Not remedying pet Over-improving
smells or cigarette for the area.
smells. Buyers cannot
get over it.

Doing a
bathroom
remodel
themselves.
Everything but
the toilet had to
be removed and
redone.

Selling for the Repainting with pale pink

amount of an because it matched their
online valuation furniture. That cost them
and never realizing almost a year on the
The sellers didn’t disclose
they lost a lot of market and $40,000 off
previous flooding. The
money. the asking price.
neighbors told the new owners
about it. Awful mess!
Faber14/Shutterstock

Not taking an offer that came in the

first couple of days. We never got
another offer.
 Which remodeling projects are Find out what
your REALTOR®
the best and worst returns on your thinks about
investment? projects you’re
considering.
Project costs recouped at resale

Attic insulation (fiberglass) 123%

New garage door (midrange) 101%
Manufactured stone veneer 100%
New steel entry door 91%
New garage door (upscale) 85%
59% 58% 57% 57% 55%
Midrange deck Master suite Upscale Bathroom Upscale deck
addition addition bathroom addition addition
remodel (midrange)

Source: 2016 Cost vs. Value

Report by the National
Association of REALTORS® and
pnDl/Shutterstock

Remodeling magazine
Beresnev/Shutterstock
Selling your home?

Texas REALTORS® say sellers need the Let your Texas

most help in these areas: REALTOR® help
you through the
process.

Dealing with
forms and
Pricing the home Negotiations paperwork

39 %
23 20 % %
SiuWing/Shutterstock Enmaler /Shutterstock VoodooDot/Shutterstock Elegant Solution/Shutterstock

How do you compare to other sellers?

90 %
of sellers in Texas worked with
an agent to sell their homes.
 How do you find the right Texas
REALTOR® for you?

Ask friends and family for a recommendation.

Or look for REALTORS® on the
texasrealestate.com Find a
Texas REALTOR® search.
You can learn about each agent’s specialties,
professional designations, background, and
more.

Make sure the agent you work with is a Texas

REALTOR®. Not all licensed real estate agents and
brokers are REALTORS®. Only REALTORS® pledge to
abide by the REALTOR® Code of Ethics.
PureSolution/Shutterstock
Whatever your real estate needs, ask a Texas REALTOR®

Now that’s a smart move

texasrealestate.com