Trust and the Real Estate relationship / Tucson Home buyers

Though it's not in the forefront of our minds most of the time, trust is one of the most significant aspects of any relationship. It starts when we're young, when we trust our parents to love and take care of us. As we become independent teenagers the roles are reversed, and our parents trust us to make wise decisions. In our relationships, whether personal or professional, trust impacts every decision we make and every emotion we feel. And though it's not something we consciously think about when buying a home, trust plays a very central role in every real estate transaction. Trust and real estate are rarely discussed but often implied. That's why I felt the need to bring up the two. In this blog I'll discuss trust and the home buyer; trust and the home seller will be a future entry.

Trust in the real estate relationship begins before a potential client and a real estate professional even meet. As 80% of home buyers begin their initial home search online, they trust that the real estate agent they locate online is professional and reputable. The home buyer trusts that this agent will help them to meet their needs; to help them find the right house in the right location at the best price while protecting them throughout the transaction. Then trust moves into a more significant role as emotions take over. Often when a person finds their dream home, logic goes out the door and emotion controls their every decision. With this the individual trusts that their agent will "guide" them to make logical and rational decisions and protect their best interests. Unfortunately this is not always the case. Though building a real estate relationship with someone you trust is very important, home buyers must remember to take the emotion out of the situation and take the initiative in making decisions. Below are just a few examples of how trust has played havoc on the lives of home buyers.

• My bother in law had exponentially increased the size of his family and needed a bigger home in California. He enlisted the help of a buyer's representative and found a home that would be perfect for his family and lifestyle. This real estate professional suggested he just offer full price if he really wanted the house. Mind you this is a house that had been on the market a LONG time, so there was room for negotiation. Under the guidance of this agent he also chose not to have any home inspections; he was told that the house seemed to be in fine shape and there wouldn't be any problems. After the closing was when the nightmare began. First there were numerous electrical problems with the house. The previous owner had been a "handyman" that had made several updates and changes to the home and none were up to code. Still today there is a never ending list of issues with the plumbing and roof. Unfortunately my brother in law trusted his emotions without using his better judgement and ended up on the short end of the stick.

• After getting married my sister in law and her husband decided it was time for a bigger house in Portland. Hoping to save money, they chose not to enlist the help of a real estate agent in their home search ( I know, I know.....but my attempted guidance fell on deaf ears). After several months of looking they finally found a home in the perfect neighborhood which was for sale by owner. They decided to make an offer, and at this point they put their trust in the home owners. After negotiating and agreeing on a price, they had successful inspections and finally closed on the house. Eagerly they picked up the keys to their new home, raced over and entered to find that the sellers had left the house a total disaster. Beside being just plain filthy, there were holes in the walls, stained carpet and several other issues. Unfortunately these home buyers had placed their trust in the home seller; they assumed that since he was a corporate executive with a big company that the home would be left in good condition.

• My father decided to buy a house back in Kansas. The home was for sale by owner, but my father was wise and followed my suggestion of having a real estate agent represent him. He contacted the city's top sales agent, one he had sold a home with in the past. They sat down and determined that both the home seller and buyer would contribute towards the commission, then wrote an offer on the house. During escrow the real estate agent referred my father to a so called reputable home inspection company she had used on numerous occasions. The home inspection came back with minor issues which were resolved by the seller. My father closed on the house, received his keys and moved in. Right away he began to notice problems with the house; problems that the home inspector was responsible for but missed. After much harassment on his part my father received reimbursement from the inspection company. Unfortunately he had trusted and relied on the real estate agent to refer an inspection company that was reliable.

My point in this blog entry is not to say that real estate professionals cannot be trusted; we already get a bad rap for that. As usual a few bad apples spoil the bunch. In all the above scenarios the buyers could have been more proactive in investigating and decision making. My point is that though there are many real estate agents you can trust your life with, you shouldn't trust anyone but yourself when it comes to making important decisions. As a real estate professional my job is to help buyers and sellers make informed decisions; I give clients all the information they need to make decisions that are best for them. But I still encourage my clients to investigate every avenue before making a decision, because in the end they are the ones that will have to live with the result. My final words are just this, remember that working work with a real estate agent is just like any other relationship; at the end of the day make sure you've trusted your own judgement first.