Member Perspectives

What advice do you have for first-timebuyers? What are some of the ways you work with first-time buyers, and what is your best advice for fellow REALTORS® when it comes to the market and first-time homebuyers?

Please share your advice for first-time homebuyers, and how you work with them. What are your best practices when it comes to helping clients achieve the "American dream" for the first-time? Whether it's tips on looking for financing products, starting a home search, helping clients narrow down types of housing and neighborhoods, what tips would you share on working with first-time buyers? How do you prepare them for the process involved in buying a home? And, in your opinion, what are the most important things first-time buyers need to know before meeting with a REALTOR®?

Jim Roehrenbeck
The Roehrenbeck Group
RE/MAX Town Center

Owning a home is part of the "American dream" regardless of the economy. We try to emphasize that there are two important parts to buying a home. First, you have to like the home and area and second you need to feel that your purchase was a good value. We tell our buyers there are opportunities, in this market, to buy "wholesale" instead of "retail". Many of our first-time buyers are purchasing HUD homes and they are taking advantage of the $100 down payment FHA financing and receiving a $2,500 credit at closing. Several of our buyers are using the FHA 203K streamline program to repair or update their new home. Another program we offer our first-time buyers is working with the Ohio Housing Finance Agency.

When we meet a first-time buyer we refer them to a mortgage company that is very familiar with the many financing options available to first time buyers. Our lender will do what it takes to assist and service our clients during the financing process. If your client is unhappy with the lender they could very well be unhappy with you. We always encourage our clients to be conservative with their money and keep an emergency cash reserve when purchasing their first home. We want our clients to be repeat clients and not a foreclosure statistic.

We furnish our clients with as much information as possible about areas, financing options, neighborhoods and school systems so that they can make an informed decision on a home. We tell our clients that this will probably not be the last home that they purchase. We encourage them to buy a home that would appeal to the most people when reselling the home. We always try to point out the negatives of a home as well as the positives. The positives are usually very apparent to the buyers but they overlook the negatives. Buyers will appreciate your honesty. When you can establish a sense of trust between you and your first-time buyer and they feel you have their interests at heart, you have a client for life.

Chris Pedon
Real Living HER

I believe if you have the ability to buy and are relatively certain you will stay put a minimum of three to five years, there is no reason you shouldn't be looking to buy and especially now! Rates are great and there are still great programs available through FHA and conventional lenders for first-time buyers. Many people do not want the responsibility of owning a home so I direct them to the condominium market, which is a happy medium. I tell them to be careful of the condominium market where they are looking and that it may take a little more time for condos to appreciate.

As for my advice for REALTORS®, they should know that first-time buyers are the key to getting our market back and going! When we sell the first-time buyer, there is often another deal that will follow. Beware of deals that seem to good to be true especially with financing options and foreclosures. As REALTORS®, we should be looking for those first-time buyers, because many people could make a career out of them in a market like this. A little secret is that those first-timers will be second-timers when things are back on track. Remember, "The Grass is Greener Here!"

Deborah A. Hutchings
Coldwell Banker KingThompson

Ask friends and family members for the name of a REALTOR® who they have used in the past and contact that person. Secondly determine a monthly mortgage amount you are comfortable with and get pre-approved. Be up front and honest with your REALTOR® at all times - this will help them assist you in many facets of the transaction - price, location and size of the home.

When working with a first-time homebuyer I sit down with them in a buyer counseling session to review the entire process with them. Buying your first home is a big step and can be intimidating for many but if they know what the process is, then it can become a fun experience not just a stressful one. During the first meeting, we identify how much they want to spend, talk about getting pre-approved, and what type of home they are looking for. It is truly about identifying their needs. Then I discuss my role from beginning to end. Communication and setting expectations are the keys; we live in a world of great technology and it is great to use this but verbal communication still needs to be a part of it as well.

My advice for other REALTORS® working with first-time home buyers is don't beafraid to let your customer know what is going on; keep the communication open and remember that your terminology might be difficult to understand and always be prepared to answer more questions.

Trina Wiater, ABR
Sell and Save Homes

When working with first-time buyers, I like to make it an educational process. Most of them don't understand the whole picture, so I take a lot of time explaining things such as the mortgage process, basic real estate terminology, needs versus wants, new homes versus existing homes, negotiating, and responsibility of homeownership after the transaction. It's important that they feel comfortable with their lender so that they can understand their buying power and affordability. All too often, first-time buyers purchase a home that is beyond their financial ability just because they qualify but do not consider the expenses of owning and maintaining a home.

There are several financial programs available to help the first-time buyer, so it is important to understand their needs so that I can direct them to the types of programs that they could utilize and the lenders who can make that happen.

In addition, the advanced search features in TEMPO make it so easy to set up automated queries to e-mail them potential homes. Once they have narrowed down their list, we set out to find that perfect home. Often times, I take notes while touring the homes so that I remember what features they actually like and dislike and suggest additional homes based upon those findings. Most of all, it's important to listen so that I am putting their desires first since I am working for them.

The most rewarding times I have had as a REALTOR® have been the closings where the first-time buyer happily exclaims that they couldn't have done this without my help. It's so rewarding to see their own personal American dream come to pass and knowing that the education that I have given along the way has provided that opportunity.

Rick Benjamin, CRS
RE/MAX Premier Choice

When working with first-time buyers, I meet at their residence or my office for about an hour. I want to get to know them on a personal basis. We talk about financing preapproval so that when we find the right home, our offer will be perceived as serious.

They read the paper or listen to news so we get statistics on sold prices versus list prices to get a feel for what we may offer. As we view homes, I'll ask what they think of the homes when we've seen a few. I indicate a home inspection will trigger anxiety for both buyer and seller and that we'll deal with it as necessary. I insist on reviewing closing figures prior to closing so that the closing is smooth and there are smiling faces all around.

Gary Wolf
Coldwell Banker King Thompson

If you are a first-time homebuyer in the Columbus area, contact a lender and find what your ability is to buy and seriously consider FHA financing options. Contact a REALTOR® and start looking as you may never have a better opportunity to get the type of value in a home as is available at the moment. When working with a first-time buyer I've found that education in the total process from start to end and helping them develop a vocabulary seems to be of the most help. The same is true when we start looking at points to consider in each house to allow a good final decision by them. As a REALTOR®, be patient and a good listener. It's a big decision and the world is a little nervous right now.

Eric Schoen
Obvious Choice Realty

The market today is very frustrating with all that is out there people get confused. Take them out and learn what they like so that at the next meeting you are not wasting your time or theirs by you leading instead of them. The first meeting they should lead and you should learn! This will make them feel better about you and the decision that they ultimately come to.

I would also make sure they are prepared! Recommend your clients get pre-approved and know what to look at. There is a lot on the market and make sure to look at what fits your budget. I am very patient and will make sure that I know what their wants and needs are. Explain until you are sure they understand, not just head bobbing! Don't give up!

Barbara Neff, ABR, CRS, GRI, SRES
Coldwell Banker King Thompson

I meet with the buyers at my office to determine if they want to work together with me as a Buyer's Representative, and if so, sign a Buyer's Representative contract. At this meeting I try to get a feeling of what they want and need. I explain the buying process, providing a graph showing each step. This is approximately an hour of counseling and building rapport. We look at some samples of properties to make sure we are on the same page and I cover the purchase contract, inspections and other steps in home buying.

I explain location is the number one factor, and if they agree I ask them to drive through some areas that might fit their lifestyle. As for advice for my fellow REALTORS®, I guess it would be have patience and know your buyer! Always keep up on the market. We need to work together, not against each other as REALTORS®. I also tell first-time buyers to get pre-approved with a reputable lender and make sure they understand their financing options.