70 Ways for Home Buyers to Save Money When Buying a Home: Tip #17

Tip #17 in our series of 70 ways to save money250 thousand for a house.
when buying a house is to never tell your agentThere is no telling if your agent will keep your
the top price you will pay for a house.information confidential. By law, they are supposed
In our last tip, I explained to you the importanceto, but it is very hard to prove, and you do not
of having your own real estate agent on yourwant to take that chance. By giving them a range
side. And if you are going to but property youthey have all the information they need to do
should have an agent on your side, especially if ittheir job well. They can show you all the houses
does not cost you anything.that meet your needs in the price range you
But, your agent is human, and there is no way togave him. Then, if the agent shows you a house
tell if he/she has your best interest in mind. Thethat is above your price range, you might want
higher the price of the house you buy, and theto think about getting another agent.
more you pay, the larger the commission forAfter giving a solid range, there is no reason an
your agent. So if the agent was selfish, she wouldagent should show you a house that is above
try to get you to pay as much as possible. Sheyour range, unless there were not enough homes
wants you to buy the most expensive house youin your range. But if you do some homework,
looked at because if you buy it, it will be theyou should easily be able to choose a range that
largest commission for her.you will be comfortable with and that has plenty
By pushing you just a little bit towards the moreof homes to choose from.
expensive house, she will make a few hundredBy keeping this information to your self you
dollars more. Not bad for a few seconds of work.protect yourself from the human tendencies that
Or say you are negotiating with the sellers, andget us all in trouble. Realtors are human, and you
your agent knows you can pay more than youshould remember this.
are offering. Will she be able to go in to the sellersBy giving your agent a range of prices of homes
and really sell them on the offer? Probably not.you want to see, you are making it easier on the
That is why I suggest you never tell your agentrealtor to narrow down homes to show you and
or any real estate agent how much you can payyou can save yourself a boatload of money at
for a property.the same time. The best thing is, that you would
Your agent will ask you how much you cannever know if your realtor did something that
afford, but do not tell. Give a range. Tell him,made you pay more. Do not let the realtor screw
We would be comfortable paying between 225-it up for you. Keep this information to yourself.