Buying a home is a major decision, and asking the right questions can make all the difference. To help you avoid mistakes and make an informed purchase, I’ve compiled 13 essential expert-recommended questions to ask real estate agents before you commit to a property.
These questions cover everything from market conditions to property history, ensuring you’re fully prepared before making an offer.
1. How long has this property been on the market?
The length of time a property has been on the market can tell you a lot about its desirability and potential issues. If the home has been listed for a long time (e.g., 60-90 days or more), it could be overpriced for the area or have defects that have turned off other buyers.
This information can help you negotiate a better price or determine if it’s worth digging deeper into why others have passed on it.
Additionally, a property that has been on the market too long may be perceived as “stale,” which could influence its future resale value.
2. What is the current state of the housing market in this area?
Real estate markets fluctuate between buyer’s and seller’s markets. In a seller’s market, demand exceeds supply, and homes tend to sell quickly, often above asking price.
In a buyer’s market, there are more homes for sale than buyers, which can give you more negotiating power and a better chance of finding deals.
Understanding the local market conditions helps you set realistic expectations for negotiations, timelines, and pricing. Your agent’s insight into the market will help you decide whether it’s better to act quickly or wait for a better deal.
3. What are the property’s known issues?
Every home has its quirks, but some issues could be deal-breakers. You want your real estate agent to be upfront about any problems the property might have, such as outdated plumbing, a leaky roof, or an inefficient HVAC system.
Some of these issues may be expensive to fix, and you’ll need to factor them into your offer or decide if it’s worth walking away.
Additionally, certain problems might prevent you from obtaining financing or insurance. So knowing about these issues early on can save you time and money down the road.
4. What is the neighborhood like?
The neighborhood can dramatically impact your quality of life and your home’s long-term value. Ask your real estate agent about the area’s safety, amenities, and local culture.
- Is it a quiet, family-friendly area or a bustling, urban environment?
- Are there parks, schools, or grocery stores nearby?
- What’s the traffic like?
Also, consider how the neighborhood is likely to evolve. A neighborhood that’s up-and-coming could see property values rise over time, while one in decline could hurt your investment.
5. Why is the seller moving?
While the seller’s motivation might not always be shared, understanding why they’re selling can provide valuable insight.
For instance, if the seller is relocating for a job and needs to move quickly, they may be more willing to negotiate on price. On the other hand, if they’re simply upgrading to a larger home or downsizing and aren’t in a rush, they may hold out for their asking price.
A seller’s urgency can create opportunities for you to negotiate a better deal.
6. What’s the history of the house?
The history of the property includes everything from past ownership to any significant renovations or repairs. For example, if the home has changed hands frequently, it could indicate issues that caused previous owners to sell quickly.
Alternatively, if the house has been with the same owner for decades, it might be well-maintained or in need of modernization. Renovations can add value to the home, but only if they were done properly and with the necessary permits.
A well-documented history gives you confidence in the property’s condition and longevity.
7. What’s included in the sale?
In real estate, it’s important not to make assumptions about what’s included with the property.
While you might expect appliances like the refrigerator, washer, and dryer to stay with the home, this isn’t always the case. Sometimes sellers take certain fixtures, like chandeliers, with them.
Getting clarity on what’s included can help you avoid disappointment on moving day. Additionally, negotiating for certain items to be included (e.g., outdoor furniture, security systems) can save you money in the long run.
8. How does this price compare to other homes in the area?
Your real estate agent should be able to provide you with a Comparative Market Analysis (CMA), which shows how the home’s price compares to similar properties in the area that have recently sold. This helps you determine whether the asking price is reasonable, too high, or a steal.
If the price is above the average for comparable homes, ask “why?“. There may be unique features or upgrades that could justify the premium. But if it’s below the average, find out if there are underlying issues that explain the discount.
9. What are the average utility costs?
The monthly cost of utilities like heating, cooling, electricity, and water can vary significantly depending on the size of the home, the age of its systems, and the local climate. This information helps you accurately budget for ongoing expenses.
Older homes may have higher utility bills due to outdated systems or lack of insulation, while newer or renovated homes might have energy-efficient features that reduce costs.
Knowing the average utility costs allows you to plan your finances effectively.
10. Has the house been subject to any recent renovations or upgrades?
Recent renovations can be a major selling point, but only if they were done well and with proper permits.
For example, a newly renovated kitchen or bathroom can significantly boost the home’s value, but shoddy workmanship or unpermitted work can lead to headaches down the road.
Ask your agent about any upgrades and make sure the seller can provide documentation proving the work was done by licensed professionals. Additionally, consider how these renovations align with your lifestyle and tastes.
11. What are the future development plans for this area?
Future development projects, such as new commercial centers, schools, or residential neighborhoods, can have a significant impact on your home’s value and your quality of life.
For example, a new shopping center could increase traffic in your neighborhood, but it could also boost property values.
On the other hand, new infrastructure projects like highways could introduce noise or other disruptions.
Ask your agent to research any upcoming developments that might affect the area, and factor this information into your decision.
12. What are the local property taxes like?
Property taxes can vary widely depending on the location, and they can have a big impact on your monthly housing costs. Some areas have higher tax rates to support local schools, infrastructure, and services, while others may have lower rates.
Additionally, property taxes can increase over time as the value of your home appreciates. It’s important to understand how much you’ll be paying in taxes so you can factor this into your overall budget.
Your real estate agent should be able to provide an estimate based on the local tax rate and the property’s assessed value.
13. What should I know about the homeowners’ association (HOA)?
If the home is in a community governed by a homeowners’ association (HOA), you’ll need to understand the rules, fees, and regulations that come with it.
HOAs can impose restrictions on everything from the color of your home’s exterior to the types of landscaping you’re allowed to have. HOA fees can also add to your monthly expenses, so it’s important to know what you’re signing up for.
Ask your agent for a copy of the HOA’s guidelines and budget, and make sure you’re comfortable with the community’s rules before moving forward.
Bottom Line
Asking these expanded questions to ask real estate agents ensures that you’ll be well-prepared and informed throughout the homebuying process.
These questions will help you avoid potential pitfalls, as well as give you a clear understanding of the property. You will also understand the neighborhood and the market conditions. These will help you make a sound investment.
By being proactive and getting answers to these questions, you’ll be able to navigate the complex real estate landscape with confidence and peace of mind.
