The Amsterdam housing market is overheat. After a few years of crisis a lot of buyers enter the market again. And there many. Dutch paper De Volkskrant wrote an article about the added value a purchasing realtor has. Branche organisation Vereniging Eigen Huis was sceptical about the purchasing realtor’s role. Luckily it hasn’t become a one sided article as they also asked me to explain the role a purchasing realtor has in more detail.
Amsterdam house prices have gone up more than 20% in 2016. Buyers are prepared to bid well beyond the asking price. They are even prepared to exclude subject to financing in the purchase agreement. Not something we would suggest.
What’s the purchasing realtors’ role?
As a purchasing realtor I’m guiding potential buyers. The most important task is judging whether a house is a good purchase against a fair price. In this process I pay attention to the structural state, the marketability of the house and of course the fairness of the asking price. I will slow down a buyer when I have the feeling I need to. Making a bid during a first house visit is something I recommend. I also prevent buyers from a possible bad investment. Buying a house that has structural problems isn’t a smart thing to do. Most of all if the asking price isn’t on line with the state of the house.
Misconceptions on the purchasing realtor’s role
In the article mentioned earlier I had the opportunity to explain my role. Vereniging Eigen Huis also got the opportunity to express their opinions. According to Vereniging Eigen Huis the purchasing realtor has become a necessary evil. We also believe you won’t be able to successfully buy a house without a purchasing realtor, but that’s to prevent you from making a bad investment.
What is Vereniging Eigen Huis’ opinion?
‘Only to have a chance in buying a house in Amsterdam you are forced to hire a purchasing realtor. Houses often are sold before they are even available to the public. Before houses are displayed on Funda, multiple potential buyers already have visited the house with a purchasing realtor or even already bought the house. Vereniging Eigen Huis: “It has become elbow-to-elbow”. That’s the reason buyers are driven into the arms of purchasing realtors.
What do I think about Vereniging Eigen Huis’ comments?
The Vereniging Eigen Huis isn’t accurate when describing the purchasing realtor’s role. They picture a situation that once in a while occurs, not something that is part of the everyday business of a purchasing realtor. I assist buying the house, but I don’t favour my clients with houses that aren’t for sale yet. Undoubtedly there are estate agents that operate this way, it certainly isn’t my standard.
It’s my duty to prevent potential buyers from making a mistake. Out enthusiasm or fear they won’t get the house, potential buyers are willing to take irresponsible risks. For example buying a house without subject to financing is dangerous. Certainly if bidding above the asking price takes place as you’re not sure if financing your new house will be granted. The collateral security (e.g. house) has to appraised high enough to even get a mortgage.
I am more than happy to assist you finding the perfect house. I always keep my feet on the ground and only serve your interests.