By now it should be apparent to everyone that the real estate market in Atlanta is quite different that it was, say 10 years ago. Home appreciation has slowed tremendously. Refinances are closing at a much more normal volume because interest rates are not as low as in times past. The number of home purchases is down and the number of foreclosures is up. Way up. Lenders are therefore, being very cautious about making no or low down payment loans. As a result of all of the foregoing there are a larger number of Real Estate Professionals, Closing Attorneys, Realtors, Lenders and Builders competing for a smaller and smaller number of buyers and sellers.

The winner of course is the home buyer. Or should be. As the volume of housing related business has declined so have the costs of closing. It is a fact of the free market economy. You don’t have to look any farther than the television or newspaper to see discounted realtor fees and discounted closing costs. The reduced closing fees shown on this web site are a logical response to the age old laws of supply and demand.

However, there is another larger segment of the Real Estate market that consumers need to be aware of. As a way to guarantee a consistent volume of business, many law firms have formed legal partnerships or “affiliations” with realtors or lenders or builders. The goal here of course is to insulate themselves from competition usually at the expense of the buyer and seller. The choice of attorney is frequently never discussed but merely pre-typed on the sales contract. And you don’t have to be a rocket scientist to deduce that someone is probably benefiting from the recommendation. As an informed consumer, you need to know the facts and your rights.

So when a sales contract is presented to you to sign, you need to ask your realtor the following questions: Why are you recommending this attorney? Do you know him/her personally? Does he/she give excellent service? Are his/her prices competitive? Can I choose a different one?

You get the idea. The point is to be informed and knowledgeable about all the aspects of your home buying and home selling experience. If you have any questions about any of this, I hope you will give me a call or drop me an email.

I look forward to serving you in the new real estate market.

-FBP