9 Relevant Questions to Ask your Real Estate Agent Before Reservation

If you've worked hard most of your life, Lumina Homes deduces that buying a house and lot in the Philippines could be the most fulfilling and exciting endeavor you'd ever get into. While the pre-purchasing process could be a little overwhelming, what with the paperwork and legwork that needs to be accomplished, real estate agents shall accommodate and assist serious buyers like you through sealing your property purchase.

Suppose you are bombarded with legitimate real estate questions that you have yet to ask your agent. In that case, we at Lumina Homes advise that you list down your inquiries to make sure that you won't sign a deal with finality unless all concerns are addressed, and issues are clarified.

If you're not fully certain which are the right questions to ask your real estate agent, Lumina Homes will help figure everything out for your peace of mind prior to an actual home deal.

Ask your Real Estate Agent these 9 Pre-Reservation Questions

In addition to other concerns you already have, make sure to consider including all of the following questions when you come face-to-face with your agent (or even in an online setup). This is a necessary step to make sure that you are to embark on a homebuying journey without concluding, I should have asked my agent this before I signed the contract.

But we got you all covered! Refer to this list of questions to ask your real estate agent.

1. Can you show me your real estate license?

No, it's not paranoia. Scams are rampant, and the real estate industry is not off the hook. Asking a real estate agent about his or her license is only right so as to make sure you're transacting with a legitimate agent with a legitimate real estate license.

Now, many agents posing as licensed real estate professionals will always say yes to the question of whether they are licensed professionals, but sufficient proof must be presented. Aside from having your agent provide one to two valid IDs alongside his license, you can also go to the Professional Regulatory Commission's (PRC) website, where you can validate your agent's professional license.

To do this, search the agent's legal full name and profession. Another way is to key in their real estate license number and date of birth. Whether you're dealing with a full-time or part-time agent, they should appear in the system if they indeed are licensed.

2. How many clients have you assisted in the past?

More often than not, it is preferable to transact with somebody who has accumulated experience over the course of several years already. It would be even better if the great real estate agent had testimonials from previous clients, even a friend or a family member, vouching for the agent's expertise. This assures that all your concerns, questions, and clarifications will be responded to by an experienced realtor with impressive local market knowledge and overall real estate experience.

Now, the question must also be followed up with how well an agent handled problematic situations involving practically anything that makes a prospective buyer lose interest in sealing the real estate investment. The credentials of the agent you're dealing with shall give you enough confidence that you will be taken good care of before and during your property purchase.

3. What are the current trends in the local real estate market?

For example, you can specifically ask the ratio of potential buyers to serious buyers for a certain property. Asking this question gives you a clearer view of how much competition you're dealing with in the buyer's market. If a property has more than a few serious buyers, a bidding war could emerge. This only means that the property has some real good features that make several serious buyers offer more than what the initial asking price is.

Asking your agent about local real estate trends will also reveal the latter's adequate expertise. In so saying, ask your agent about any sales data he may have, and have him discuss to you good-to-knows in the real estate market to help you come up with smart decisions concerning a property purchase.

In the case of a property with several serious buyers, you can still achieve a home that corresponds to your daily needs without resorting to a bidding war that will make you shell out money more than you should. At Lumina Homes, you can seal an affordable house and lot while still being able to enjoy perks and amenities, such as being in relatively close distance to establishments, marketplaces, schools, and many others.

More than a few Lumina housing communities also feature proximity to tourist spots, like the Biak-na-Bato National Park near Lumina San Miguel, and the world-famous Mayon Volcano near Lumina Legazpi.

4. Can I have a thorough home inspection?

Before sealing a house reservation, one of the most crucial parts of the homebuying process is inspecting both the external and internal environments of a home. Not all house specifications highlighted by the seller or agent are without question. To verify the legitimacy of the house's durability and quality, you should schedule a thorough home inspection.

A thorough house checkup includes scrutinizing the wirings, floor plans, and the overall sturdiness of the house's foundation. If you are not adequately knowledgeable about these aspects, consider hiring a professional who could help you verify the quality of the house you're eyeing.

It is important to know not only the strengths of a house and lot but also its potential weaknesses. A seller or the real estate agent must demonstrate full transparency over a house's weaknesses, if any. If they are not completely honest about the house's features, also consider hiring a different agent with whom you could spend a completely transparent transaction.

5. Can you give me a walk-through of the homebuying journey?

Your homebuying journey will not be a walk in the park. But with the help of your real estate agent, paperwork and the legwork will be reduced significantly. Ask your real estate agent about timeframes, property appraisals, paperwork that you would have to undergo through, and any other important matters that you should be made aware of before sealing the home deal.

Not needless to say, a seller's agent also needs to give the seller a walk-through of the home-selling process. This includes scheduling a listing appointment with a listing presentation prepared by the seller's agent.

6. Is this area prone to calamities, crimes, and accidents?

Most, if not all, prospective property buyers want a neighborhood and community that is generally flood-free, less prone to accidents, and, as much as possible, with no record of serious crimes. No matter how seemingly ideal a location is at first glance, if safety is an issue, then it may not be the most ideal residential area after all.

At Lumina Homes, we have developed our housing communities to be strategically located. It is also considered generally flood-free, with a guarded entrance and a 24/7 security measure in place to protect homeowners from the danger of crimes.

7. Is it safe for me to have an escrow account?

Before getting an escrow account, you must have a good credit score to demonstrate your paying capacity. But once you have an escrow account set up, this is where money gets to be kept before any contract signing is made between the buyer and the buyer's agent.

An escrow account ensures that the money intended for the property taxes and insurance is easily accessible while remaining stored securely in the escrow. Having said that, the buyer can make modest monthly payments in an escrow.

When the need for payment comes, an escrow agent will then distribute the money for the taxes and insurance. It will be done in intervals rather than shelling out a substantial amount of money through a lump sum payment method.

8. What is PMI, and how does it exactly work?

A Private Mortgage Insurance (PMI) needs to be paid when a prospective buyer can only pay for less than 20 percent of the house's final purchase price. This is beneficial for both the buyer and the seller.

In the event of a loan default, this provides protection for the seller. Meanwhile, a buyer will not be cleared in the matter of foreclosure, but its benefits lie in being able to seal a home purchase with a lesser downpayment.

9. Will you or your team handle most of the necessary paperwork?

Doubtless, not everything will be handled by your agent. With legal matters, you certainly would find the need to also hire a real estate attorney to help you with legal documents such as the terms and conditions outlined in a contract, and whether there are written terms that needed to be further discussed with your seller's agent.

Other agents might fail to disclose relevant information, so be sure to take the initiative of asking important questions if your agent hasn't given you yet all the information you'd need during the entire property-purchase process. The same applies to sellers, who will get to transact with a listing agent.

With over 10 years of providing quality yet affordable house and lot for sale, giant homebuilder Vista Land's modest housing arm Lumina Homes ensures that our clients will be dealing with competent professionals in sealing their home deals. Lumina Homes has built a humble legacy with its provisions of affordable house and lot, with awards given by Pag-IBIG and Carousell Property as a top provider of affordable housing in the country.

Feel free to list all your questions regarding a property purchase, and rest assured that you will be accommodated by our team of experts in your homebuying journey.