Being an Empowered Buyer and using the BUY NOW feature.
Frequently Asked Questions:
Q: Who should use the BUY NOW service?
A: BUY NOW is a service designed for those buyers that know what they want, do not need to view multiple properties (6+), do not need guidance helping them discern what they should or shouldn’t buy, do not need an agent to find properties for their consideration, do not need an agent to help them evaluate what is going to be the best suited home for them, do not need real estate investment advice. Empowered Buyers are educated in the market, have gone to open houses, have reviewed information on recent sales and paid attention to recent listings and sales in a given area. Empowered buyers are also ones that do their own research and find properties that are for sale that best suits them. They determine if the location works for them by doing a drive by or using google earth/maps. A Empowered Buyer takes ownership of their purchase by fully reviewing listing pictures and any supporting documents such as floor plans that are provided by the sellers agent.
Q: Who can use this service?
A: Anyone that is NOT represented by another real estate agent/brokerage and not under a buyer brokerage exclusive contract.
Q: Will a real estate agent from Empowered Real Estate help me with my purchase when I use BUY NOW?
A: Yes, you will have highly talented, experienced, licensed real estate expert from Empowered assigned to you. Buyers using Buy Now typically enter into a Customer Status type of representation (see below in Q&A). You will also be given the option to have a more in-depth form of buyer representation should you require it.
Q: Can I view a property with my Empowered Agent before buying?
A: Yes, as part of the Buy Now service, we include a viewing of the property. Should you decide to not proceed with buying the property viewed, Empowered charges $175 per home viewing.
Q: Can I call the listing agent to view a property I am interested in?
A: Yes, this will save you money and allow you to get some insight into the sellers property free of charge. The sellers agent is being paid by the seller to expose the sellers property to potential buyers. So, don’t feel bad. They just won’t be getting paid double. There are no “Threshold rights” in Alberta. In other words, unless you sign a buyers brokerage agreement, you are under no obligation to any agent or brokerage. It is suggested that if you are having the sellers agent give you a private viewing, you respect their time and also notify them at some point in the viewing that you already have a agent you wish to use to represent you (Once you pick the property you want to buy, get hold of Empowered and we will start the process. Note: Open houses are also a great way to see potential properties.
Q: What is Customer Status?
A: Customer Status is usually reserved for buyers that know what they want and have educated themselves on the market and feel comfortable purchasing a property with limited help. We provide you with the following services (a) give you statistics and information on property, including comparable property information from listing services or other local databases. (b) provide you with agreements for purchase and any other relevant forms, and help you complete them. (c) give you the names of real estate service providers you may wish to consider that we have found helpful and good at what they do. However, the caveat is the rules by which we are governed state we are not supposed to recommend a specific service provider. (d) We will present all offers and counter-offers to and from you, (e) In the case we represent the sellers, we can pass on information to our client that you want them to know. (f) keep you informed of progress.
Under custom status, the assigned Empowered Agent and the Brokerage are governed by the Real Estate Council of Alberta and must (a) act honestly. (b) exercise reasonable care when we provide our services to you, (c) make sure deposit monies received are held in trust, as the Real Estate Act requires. (d) comply with the Real Estate Act and its regulations and the rules and bylaws of the Real Estate Council of Alberta. (e) give you a copy of this acknowledgment as soon as possible after signing.
Q: How much can I expect to receive as cash back on closing? How much does Empowered Real Estate charge?
A: The cash back on closing amount partly depends on how much the seller is willing to pay a buyers brokerage. When you submit an offer, we will let you know your approximate cash back amount. Empowered Real Estate charges $3,000 as a base price to submit an offer on your behalf and provide you with a base set of services which comes off the amount the sellers brokerage is paying the buyers brokerage. You get the balance. Example: Sellers offer $12,000 to the buyers brokerage. You just use the basic set of services from Empowered charged at $3,000. Thus, your cash back on closing would be $9,000. Should your offer not be accepted by the seller, you will be charged an administration fee of $250 to submit the offer and $175 to view the property. Costs associated with unsuccessful property bid/offer can be taken off the total cash back you are to receive once you find and successfully purchase a home/property through Empowered.
Q: What services can I expect to receive from Empowered Real Estate as an Empowered Buyer?
A: You will be assigned an Empowered Buyers Agent to assist you in your purchase and the negotiation of your offer with the seller. Competitive sales data will be provided to assist you in determining the goal posts of what a property is worth. If you require a viewing of the property, Empowered will organize and facilitate that. One viewing is included in your base fee. Additional viewings are charged at $175. A home inspection and other inspections can be facilitated by Empowered. On a successful purchase, these additional costs come off the total cash back you are to receive from a successful purchase.
Q: What is a Buyers Brokerage Agreement?
A: This is an agreement you enter into with a brokerage to represent you in the purchase of real estate. In Alberta, representation comes in 3 forms: 1) Exclusive Buyers Brokerage. This is where you have an exclusive agreement with a brokerage and a specific agent to represent you. 2) Non Exclusive Buyers Brokerage: This form of buyers brokerage allows you to be represented by another brokerage and/or agent if you wish 3) Customer Status
Q: When is the deposit due and who holds the deposit in trust?
A: The sellers brokerage typically holds all deposit funds in trust. Funds are due as per the purchase contract which is usually within 2 business days. Deposit funds are refundable to you if you sign a non waiver of conditions prior to the condition due date. The sellers brokerage is responsible to return your funds to you in a timely manner and they will make arrangements for said return. Once you remove your conditions and have a firm sale, the deposit funds goes toward the purchase price and also your downpayment should you be doing financing with a bank.
Q: Will my Empowered assigned agent help me organize and attend a home inspection, well test, septic system review and test, other property, building and home related due diligence and assist in the review of the inspections?
A: Yes. The amount of cash back you are to receive on closing will depend on how much time is needed and the scope of the work required of your Empowered agent. We bill out at $200 per hour and this comes off how much cash back you are to receive. A typical home inspection takes 3-4 hours plus an extra 1 hour to review.
Q: As an Empowered Buyer, Do I have to pay for services rendered by Empowered Real Estate even if I do not proceed with buying a property?
A: Yes. Our time is money. If you do not proceed to purchase a property, then you will owe us for the time allocated to you. If you are unsure if you are going to buy a property within a reasonable time frame (6 months), need to view more than 10 properties with us before you buy, and/or need a higher level of service, then it is recommended you consider our Elevated Buyers program. Under the Platinum Buyer Program, you don’t pay and you don’t receive any cash back incentive. Risk/Reward.