Spain Advisors

Hiring a Buyer's Agent in Barcelona
Mark Carr is a Spanish-speaking 'buyer’s agent’ who’s been living in Barcelona for 21 years. An attorney from the USA, he’s been helping foreigners buy property in the Barcelona area for over eight years and bought a flat there himself in 2010.

What is a Buyer's Agent?
An advisor who is duty-bound to advance the buyer’s interests in a property purchase. In the US, 88% of buyers hire them and 91% say they would do so again. Why? It’s worth it. A buyer's agent can save you time, stress and sometimes money.

A Real Estate Agent vs. a Buyer's Agent
The real estate agent is duty-bound to represent the property owner and help them sell the property. The buyer’s agent is on the other side advocating for the buyer.

The Buyer's Agent’s Responsibilities
Help find properties that meet the buyer’s criteria
Determine its fair price (there’s no ‘market price’ for property in Barcelona)
Investigate the real estate agent, the property and the seller (due diligence)
Negotiate the price
Manage the purchase process
Recommend mortgage banks, surveyors and other real estate professionals

Four Features to Look For in a Buyer’s Agent
1. Local Market Expertise. There is no ‘market price’ for property in Barcelona so sellers list for the price they want. Assessing a property’s fair price requires comparing it to past sales and visiting similar properties. As most buyers don’t have the resources or time, experienced guidance is necessary.
2. Direct Experience. Since the process can be unpredictable and complex, only an agent who has managed several previous purchases can foresee problems and avoid them, such as the pitfall below.
3. Contacts. A purchase can require the assistance of several parties: a mortgage bank, an architect, a plumber, an electrician, a renovation specialist, etc. Having an agent with reliable professional contacts is invaluable.
4. Passion for the Work. The best agents have a deep-rooted desire to help their client find their dream home in Barcelona. Perhaps because they already did so themselves.

How to Find a Buyer’s Agent
Recommendation from a trusted source. The most popular method for the obvious reason — if an acquaintance had a positive experience with an agent, you’ll likely enjoy the same.
Reviews from previous buyers posted on Google and social media. Google reviews are not edited by the agent.
Recommendations from other professionals in the real estate sector.

A Typical Pitfall - The Mortgage Bank’s Assessment
The bank assesses the property’s value and grants a percentage of either the assessed value or the purchase price - whichever is lower. If the assessment is lower than the purchase price, the mortgage might not be enough to buy.
True Case. The purchase price was 300k€ and the Buyer paid a 10% deposit. They needed 240k€ (80% of 300k€) to buy. The bank’s assessment came back at 290k€ and they granted 232k€ (80% of 290k€). Unfortunately, 232k€ was not enough. The buyer either had to cancel the deal and get their deposit back (good luck) or start over with another bank and a new assessment. Assessments are paid by the buyer and they’re not cheap. Preparing for this, and other risks, will help you avoid them.

This article was co-written by Rachel Maison of a USA real estate service. See more at this link. https://cashformichiganhouses.com/