For Buyer's

Your REALTOR

Know your credit score

The knowledge and help of a REALTOR® can make all the difference! It’s important to understand what’s involved in having a REALTOR® represent you as your agent. It’s your choice.

In Tennessee, a REALTOR® does not become your representative or agent until you have signed a Buyer Representation Agreement with them. This is an actual contract for representation, detailing how you will work together. All licensed professionals are real estate agents, but a REALTOR® is a member of the National Association of REALTORS®.

Know your credit score

Knowing your credit score prior to meeting with an agent will help them determine the level of assistance you need. A good agent will have processes in place to assist you if your credit is not perfect. If an agent tells you to come back once you’ve fixed your credit, that should be the last time you see them. Find a realtor who is willing to work with you through the entire process.

Credit Scores

Know your credit score

Improving your credit

Credit Score Ranges:

579 and below – Bad Credit Score
580 – 619 – Poor Credit Score
620 – 679 – Fair Credit Score
680 – 739 – Average Credit Score
740 and above – Great Credit Score

Loan Requirements:

FHA Loan: 580+ credit score (special circumstances 500 – 579)
VA Loan: 620+ credit score (580 for some lenders)
USDA Loan: 640+ credit score
FHA 203K Loan: 620+ credit score
Conventional Loan: 620+ credit score

Improving your credit

Credit scores play a significant role in determining whether you’ll qualify for a loan and what your loan terms will be. To keep your credit score high, consider the following steps:

Check for Errors in Your Credit Report: Thanks to an act of Congress, you can download one free credit report each year at annualcreditreport.com (see resource page). If you find any errors, correct them immediately.
Pay Down Credit Card Bills: If possible, pay off the entire balance every month. Transferring credit card debt from one card to another could lower your score.
Don’t Charge Your Credit Cards to the Max: Pay down as much as you can every month.
Don’t Close Accounts: Closing accounts can potentially lower your credit scores.

5 Things not to do during the closing process

Change Your Marital Status: How you hold title is affected by your marital status. Be sure to inform both your lender and the title company of any changes in your marital status so that documents can be prepared correctly.

Change Jobs: A job change may result in your loan being denied, particularly if you are taking a lower-paying position or moving into a different field. Don’t assume you’re safe because you’ve received approval earlier in the process, as the lender may call your employer to re-verify your employment just prior to funding the loan.

Switch Banks or Move Your Money to Another Institution: After the lender has verified your funds at one or more institutions, the money should remain there until needed for the purchase.

Paying Off Existing Accounts Unless Your Lender Requests It: If your loan officer advises you to pay off certain bills to qualify for the loan, follow that advice. Otherwise, leave your accounts as they are until your escrow closes.

Make Any Large Purchases: A major purchase that requires a withdrawal from your verified funds or increases your debt can result in your not qualifying for the loan. A lender may check your credit or re-verify funds at the last minute, so avoid purchases that could impact your loan approval.

Who's on your team

Your realtor will assemble your team and track the process from start to finish. They should monitor deadlines and schedule appointments to ensure a timely closing. Other members of your team may include:

Lender
Home Inspector
Wood Destroying Insect Inspector
Insurance Agent
Appraiser
Closing Attorney

Your realtor should provide you with at least two to three options for each role.

During the search process, your realtor will:

Analyze your needs and wants.
Walk you through the pre-qualification or pre-approval process.
Provide prospective homes based on your desired location.
Schedule home showings.
Present and negotiate offers on your behalf.
Coordinate with vendors during the inspection period.
Monitor timelines during the contract period.
Coordinate the pre-closing and closing process..

For Seller's

When selling your home

Before Putting Your Home up for Sale

The knowledge and help of a REALTOR® can make all the difference! It’s important to understand what’s involved in having a REALTOR® represent you as your agent.

In Tennessee, a REALTOR® becomes your representative or agent when you sign a Listing Agreement with them. This is an actual contract for representation, detailing how you will work together to market your property successfully.

Once you have signed a Listing Agreement, your agent is obligated to be your loyal advocate and to promote your best interests above all others during the negotiation and closing of a successful sale. As your agent, the REALTOR® will follow your lawful instructions and cannot suggest any price for your property to a buyer or buyer’s agent without your authorization.

Before Putting Your Home up for Sale

Schedule an Agent Pre-Sale Home Tour: The agent will provide valuable insights into trouble areas that may stand out to potential buyers.
Organize and Clean: Pare down clutter and pack up your least-used items. Store items off-site or in neatly arranged boxes in the garage or basement. Clean the windows, carpets, walls, lighting fixtures, and baseboards to make the house shine.
Get Replacement Estimates: Identify big-ticket items that may need replacement soon. Find out the cost to repair an older roof or replace worn carpeting, even if you don’t plan to do so. This information will be useful during negotiations.
Spruce Up the Curb Appeal: Walk out to the front of your home, close your eyes, and imagine you’re a prospective buyer seeing the property for the first time. As you approach the front door, assess your impression of the property. Do the lawn and bushes look neatly manicured? Is the address clearly visible? What do you see framing the entrance, if anything?

Get Ready for a Home Showing

Before Putting Your Home up for Sale

Get Ready for a Home Showing

Remove Clutter: Clear off counters and pack unnecessary decorative items. Put extra furniture in storage and remove out-of-season items. Don’t forget to clean out the garage, too.
Let It Shine: Clean windows and screens to bring more light into your home. Replace burnt bulbs and consider higher wattage in low-light areas. Clean the walls or apply a fresh coat of bright, neutral paint. Replace heavy curtains with sheer ones to show off your view.
Keep It Clean: A deep clean before listing your home will make upkeep easier. Consider hiring a cleaning service to help.
Maximize Comfort: In summer, shut A/C vents on the first floor so more air will get upstairs. Reverse the process in winter. Perform a sniff test: clean carpeting and drapes to eliminate odors, open windows to air out the house, and consider using potpourri, scented candles, or diffusers.
Take Care of Minor Repairs: Sticky doors, torn screens, cracked caulking, or a dripping faucet may seem trivial, but they’ll give buyers the impression that the house isn’t well-maintained.
Additional Tips:
- Make the bathroom luxurious.
- Send pets to the neighbors.
- Lock up valuables, weapons, and medication.

Head Out: It can be awkward for everyone if you’re home during a showing.

Before going to market.

Get Ready for a Home Showing

Before your home goes to market, your realtor will:

Conduct a home tour and provide recommendations on how to maximize your return on investment.
Provide you with a market analysis of current market conditions.
Develop a marketing plan to ensure maximum exposure of your home.

While on the market.

Before going to market.

While on the market.

While your home is on the market, your realtor will:

Schedule all showing appointments.
Provide a weekly update on showings.
Monitor market conditions to ensure your home remains competitive.
Assist you with the negotiation process.

Closing

Before going to market.

While on the market.

During the closing process, your realtor will:

Monitor timelines after an offer has been accepted.
Coordinate with buyers’ vendors to access your home and meet with the appraiser during the appraisal process.
Coordinate the pre-closing and closing process.

Things to know as a home buyer or seller:

If you are a buyer and your agent is using an MLS, you will need to sign a written agreement with your agent before touring a home so you understand exactly what services will be provided, and for how much.
Written agreements are required for both in-person and live virtual home tours.
You do not need a written agreement if you are just speaking to an agent at an open house or asking them about their services.
Agent compensation for home buyers and sellers continues to be fully negotiable.
When finding an agent to work with, ask questions about their services, compensation and these written agreements.
More details about these changes and what they mean can be found at facts.realtor.