A Texas mortgage broker who is also a net branch manager is advising prospective borrowers looking for a home to avoid real estate agents that advertise for customers.
Homebuying prospects should avoid Realtor brokers listed on 'For Sale' yard signs, Internet home listings or newspaper ads, according to a recent announcement by SmartHomeBuyersDFW.com. The Dallas-based organization was reportedly founded by Paul Marshall, a mortgage broker who "was frightened by common sales practices he saw which took advantage of uninformed buyers."
Marshall, who indicates he is a branch manager for Network Funding, LP, said borrowers waste thousands of dollars when they buy a home.
Prospects should avoid listing agents because they represent sellers and aim to sell the home for the highest price.
Instead, prospects should interview and select a buyer broker Realtor through Web searches or from the referral by their loan officer or trusted friends, Smart Home said.
When buying new homes, prospects should use Realtor brokers because they compete for business and avoid being forced to use the builder-owned lender, which is typically expensive, according to the announcement. An experienced Realtor can look out for the buyer by helping negotiate the price of the home separately from the mortgage.
Smart Home also advises prospects to avoid solving credit issues right before they are ready to buy. Instead, professional advice should be sought early on before buying to get more favorable loan terms.