Betty Walls Associate Broker Wainwright Real Estate, 4908 Foxwood Dr Virginia Beach, VA 23462 757-898-6422 betty@bettywalls.com

For the Buyer, I ...

• Show you relevant properties, whether listed or for sale by owner; sellers usually pay the commission,
• Help negotiate the best prices and terms,
• Help you understand the financing plan best suited for you,
• Offer experience in VA/HUD owned properties,

Who Really Works for The Buyer?

You and your significant other decide to take a drive and check out some of the open houses in the neighborhood. Before you know it you're walking into a charming home, speaking to an equally charming real estate agent, who is telling you all the virtues of this wonderful home.

And then she pops the question: "Are you working with an agent?"

When you tell her your are not, suddenly you are her new best friend, and she is relating all the great things she can do for you as your agent. It all sounds so wonderful...yet it is the same you have heard from every other real estate agent you ever met. How can you really tell if you can trust this agent to look out for your best interest?

Indeed, the most important detail you have not been told at this point is-if you use the listing agent of the property to act as your agent in the purchase, then your agent will NOT be working primarily for you, but rather for the seller.

The simple fact is that the listing agent has been hired by the seller to represent their best interest, not those of the buyer. And part of the agent's responsibility to the seller is to disclose all material facts they discover about the buyer-in other words, everything they discover about YOU.

Can this be a problem?

Consider this, you have $10,000 in the bank and you wish to purchase a home with a VA mortgage. In the offer (written by the listing agent), you ask for the seller to pay all the closing costs, estimated at $4,000.

What do you suppose the seller will do with an offer asking for them to pay $4,000 in costs when they know you have $10,000 in the bank, a fact they've learned because "your agent" was obligated to tell them?

There is a very simple rule in real estate that can save you literally thousands of dollars of out-of-pocket money when buying a home. ENLIST THE SERVICES OF YOUR OWN AGENT, NOT THE AGENT REPRESENTING THE SELLER!

Any agent can become your buyer's agent and represent you. And best of all, it does not cost you anything extra to have your own representative.

For example-Would you want the same attorney representing both you and your spouse in a divorce proceeding? It is the same in real estate.

A few things to consider: Real estate agents work on commission only. If you don't buy a home, we don't get paid. So as agents we are doing everything in our power to:

1. help you qualify to buy a home
2. find the home you wish to buy
3. make sure the transaction goes smoothly with the least amount of problems

Only by meeting all three of these goals will we get paid. We are loyal to OUR clients. We ask the same in return WORK WITH ONE AGENT AT A TIME. And give them a fair chance to help you before moving on to someone else. This is all common courtesy and common sense and in your best interest!

DISCLOSURE OF BROKERAGE RELATIONSHIP

The Code of Virginia of 1950, as amended ("Code"), S 54.1-2100, et seq., sets forth the statutory framework which governs the obligations and responsibilities of real estate agents and brokers to the public, which framework is further supplemented by regulations issued by the Virginia Real Estate Board ("VREB"). The following is intended to give you a brief explanation of that framework. Real estate brokers and their agents are sometimes called "licensees" because they are required to obtain licenses from the VREB to sell real estate.

1. AGENCY is the relationship formed when a real estate licensee acts for or represents a person by express authority in a real estate transaction, unless a different relationship is intended. People whom licensees represent are called clients. People who receive services from licensees without being represented are called customers. A licensee does not necessarily represent the person who pays the licensee. As a result, a licensee may represent the buyer, but be paid by the seller. Although agency relationships may be formed without a written agreement, you should not assume that any person represents you unless you have a written agreement. The contractual relationship between the licensee and the client, whether verbal or in writing, defines the brokerage relationship. A licensee is required to treat all parties honestly and shall not knowingly give any party to the transaction false information. A licensee engaged by the seller shall disclose to prospective buyers all material adverse facts pertaining to the physical condition of the property which are actually know to the real estate agent. A licensee engaged by a buyer shall disclose to a buyer material facts related to the property or concerning the transaction of which the licensee has actual knowledge. A licensee engaged by a buyer shall also disclose to a seller the buyer’s intent to occupy the property as a principal residence. A licensee may provide assistance to other parties by performing ministerial acts. A brokerage relationship may
   1. include the duties of a standard agent set forth in S 54.1-2131 through S 54.1-2133 of the Code, which duties are more particularly described in Paragraph 4 below, and may include duties in addition to those set forth in the Code sections referenced above; or
   2. may specifically state that such licensee is an independent contractor and only has the obligations which are specifically set forth in the agreement establishing the independent contractor brokerage relationship.
2. CLIENT STATUS A buyer or seller may enter into a brokerage relationship with a licensee for that licensee to represent such buyer or seller. For sellers, this agreement is usually called a listing. For buyers, this agreement is usually called a buyer broker or exclusive right to represent buyer agreement. The buyer or seller is then that licensees’ client. If the agreement is an exclusive agreement, the client is required to work through that licensee. The licensee will generally be entitled to a commission if the buyer buys or seller sells property, even if they do not use the services of that licensee.
3. CUSTOMER STATUS A buyer or seller may elect not to establish a brokerage relationship with a licensee (although they will still be required to sign a disclosure form), but rather have the licensee perform ministerial acts. Ministerial acts are routine acts which a licensee can perform for a person which do not involve discretion or the exercise of the real estate agent's own judgment. The buyer or seller is then the real estate licensee's customer. The licensee may represent the other party in the transaction, who will be the licensee's client. The licensee may give the customer general advice and is required to treat the customer honestly and disclose material facts actually known to the licensee regarding the physical condition of the property, but the licensee generally may not give advice regarding price or assistance in negotiating favorable terms. The licensee is required to disclose to its client any information regarding the customer which may be helpful to the client. Another form of customer representation arises when the seller does not offer any agency relationship to a selling firm. The selling firm would act only to the capacity of facilitating the transaction and would represent neither the seller nor buyer. The buyer would remain a customer to the selling firm. Selling firm responsibilities to the customer would remain the same as previously outlined in this paragraph.
4. RESPONSIBILITIES OF STANDARD AGENT The Code sets forth the framework of a standard agent which requires that the licensee shall perform in accordance with the brokerage relationship and maintain the confidentiality of
   1. all personal and financial information received from the client and
   2. any other information that the client requests be maintained confidential during the brokerage relationship except as otherwise provided by law. Additionally, a standard agency relationship requires the licensee to promote the interest of client by seeking a buyer, tenant or property, as the case may be, in terms agreed upon in the brokerage relationship; however, the licensee shall not be obligated to seek additional offers to purchase or lease or seek additional properties, as the case may be, if the client has entered into a contract, unless agreed to as part of the brokerage relationship. A standard agency relationship requires the licensee to present in a timely manner all written offers or counteroffers to and from the seller. A standard agency relationship requires the licensee to account for in a timely manner all money and property received in which the client has an interest.
5. DUAL REPRESENTATION Dual Agency, or Dual Representation, occurs when the same company represents both the buyer and the seller. These situations typically arise when a buyer who is a client of a licensee becomes interested in property which is listed with the broker for whom the licensee works. Virginia law permits real estate companies to handle dual representation in two different ways. The first alternative permits the broker and all salespersons to continue to represent both the buyer and seller, but they will not share any confidential information. The other alternative involves the use of Designated Representatives. With this alternative, the broker is still a dual agent, but separate agents are designated to represent the buyer and seller, and these agents represent their respective clients as if the agents work for separate companies. Both agents give their best advice and keep the confidences of their respective clients. Real estate agents are required by law to disclose both the buyer and seller whenever a dual representation relationship arises and any time designated representatives are used. In the event of a dual representation is agreed to, all parties must enter into a separate Disclosure of Dual Representation/Disclosure of Designated Representatives Form.
6. COMPENSATION Prior to entering into any brokerage relationship, a licensee shall advise the prospective client of:
   1. the type of brokerage relationship proposed by the licensee, and
   2. the licensee's compensation and whether the licensee will share such salary or compensation with another licensee who may have a brokerage relationship with another party to the transaction.
7. CHANGE IN STATUS If a licensee's relationship with a client or customer changes, the licensee shall disclose that fact in writing to all clients and customers already involved in the contemplated transaction.

The Five Dumbest Mistakes Smart People Make When Buying A Home

#1: Not knowing how much they can afford before they make an offer. The easiest way to avoid this mistake is to get pre-qualified for a mortgage. Go to http://www.brickhousehomeloans.com under "About Us" loan officers choose Betty Walls and complete the long form to be pre-qualified.

#2: Not realizing who the real estate professional represents. Most people think that the agent they are working with is working for them. But unless they are working as your buyer representative, they represent the seller.

#3: Not realizing that the wrong mortgage can cost thousands of dollars in needless expenses.

#4: Not discovering hidden defects before they buy a home. Have a professional pre-purchase home inspection.

#5: Not knowing how much their credit can affect their ability to buy or refinance a home. Your mortgage professional can help you review and prepare your credit file in advance to clear up any negative credit history.

Buyer Needs Assessment

Fill out a buyer needs assessment and submit it for professional assistance.