Questions to ask to determine whether to buy

- Has the market peaked?
- What is the average list price to sales price ratio in the last three months for this area?
- Where are interest rates heading?
- Is this a buyer’s market, or a seller’s market?

Questions to ask about financing a home

- Who is the direct to loan originator you work with?
- Can you refer me to a mortgage broker? How many mortgage brokers, with whom you do business, will explain yield spread premium to me?
- If considering a condominium or co-op, how much are the association dues for maintenance and repairs, and what do they cover? (Each condominium has different dues. There are no general rules. Read the bylaws).

Questions to ask when choosing an agent

- Are you an agent or a broker? Who is your managing broker?
- Do you work full time or part time?
- Can you recommend a reputable property inspector? Any agent will recommend a minimum of 3 names.
- I don’t need help finding a home. Can you just help me with negotiating the contract and the closing, and charge a fee for those services?
- Do I need to sign an exclusive contract with you?
- What services do I get as part of the contract?
- Will you show me FSBO properties?
- How do you negotiate the offer – in person or by fax?
- Can you tell me about price trend of the neighborhood I’m interested in?

Questions about foreclosures and fixer-uppers

- What experience do you have with foreclosure properties?
- Are there any outstanding liens or other issues that could impede ownership, and has the house been inspected?
- How does the asking price of the house (foreclosure or fixer-upper) relate to comparable homes in the neighborhood, and is the difference great enough to warrant moving forward?

Questions on pricing your home

- How will you arrive at a price for my home?
- What is the average length of time houses are currently on the market in this neighborhood, by number of days?
- What do you think my home is worth?
- Questions to ask about listing and marketing your home
- Will you list my home on non-MLS Web sites?
- Do you have a personal Web site where you’ll feature my home?
- How are you going to keep the flyers on my sign fresh?

Questions to ask on showing your home

- How many open houses are you planning? When will they occur? Do open houses really bring buyers, or just looky-loos?
- What are the hours agents can use the lock box?
- Will you call ahead of time before bringing a buyer?
- Can you suggest anything else that would help my home be attractive to buyers at an open house?

12. What is MLS?

Multiple Listing Service (MLS) is the most comprehensive computerized database of homes for sale with over millions of listings nationwide. This database is used by Realtors to market and promote their own listings and to cooperate with other Realtors. Realtors, in turn, are compensated with part of the commission. A large portion of real estate transactions are a result of direct MLS exposure. By having your home in MLS, it will be exposed to thousands of local real estate agents who otherwise would not have known that your property was for sale and would not have shown it. This is the same MLS used by traditional brokers who charge a 6 percent commission.