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Problem Free – Home Buying! |
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This outline was developed by David and click any of the following to go directly to that topic or just scroll down |
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§ Understanding Agency Relationships Available To You § Mortgage Finance (Pre-Approval And Comfort Level) § Describe The Type Of Home/ Property You Want § Total Exposure To Homes In The Market Place o MLS (Multiple List Service) o Our Personal Web Site: HomesJustForYou.com o Open House Ads o Advertised Homes o For o Foreclosures (After Foreclosure) § Save All Information On Properties You Are Interested § What To Do When You've Found The One You Want But Your Not Totally Sure § Determine A Purchase Price You Are Comfortable With § Purchase And § Reputable Mortgage Lender Process Time § Preparation For Closing, Comprehensive Follow up Process § Final Walk Through Property, Before Purchase § Closing |
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The RE/MAX Advantage ! * Why You Can Trust A RE/MAX Agent ! |
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Decision To Buy To avoid missing properties that would be just perfect for your situation, you need to have a firm resolve that you want to buy a home now! Otherwise a “just looking frame of mind” will cause you to miss terrific opportunities that will not exist when you really want to make that important purchase. A firm resolve to purchase causes you to look at homes differently: comparing prices, the location, how the floor plan works for you etc. click here to Return Back to the beginning of Problem Free – Home Buying! Understanding Agency Relationships Available To You: There are two types of agents § Buyer Agency Cost? In most instances there is no cost to you. There are instances where you may want to compensate the agent differently depending on the type of seller you are dealing with. In all instances there is no added cost unless you agree in advance. By legal contract, a Sellers Agent cannot: click here to Return Back to the beginning of Problem Free – Home Buying! Mortgage Finance (Pre-Approval And Comfort Level) Meet with a mortgage lender you trust, someone you know who has an excellent reputation for completing loans quickly and competently. (We maintain a list of proven lenders who can be trusted to work for your best interest.) § With this person determine how much of a mortgage you can QUALIFY FOR and what the estimated payment will be (principal, interest, taxes and insurance). This is the maximum you could afford at this time. It’s what you will use for a pre-approval letter when you begin negotiations with a Seller. o When negotiating with a Seller, a mortgage pre-approval letter with the highest amount of a mortgage that you could qualify for if you wanted to, sends a message to the seller about how well qualified you. It does not mean that you are willing to offer this to the seller or even take out a mortgage for this amount. When the amount of the pre-approval is greater than the price of the property, it let’s the seller know you could be looking at other properties, not just theirs o A pre-approval letter that is less than or equal to the price you offer for a property makes a seller wonder can you even afford to purchase their property or if they were to counter offer your proposal, can you even qualify for the higher mortgage required. A situation like this puts you at a real negotiation disadvantage. § Now determine a monthly payment you are COMFORTABLE with, one that may be much lower than what you may qualify for. This gives you the price range of homes you should be looking for. click here to Return Back to the beginning of Problem Free – Home Buying! Describe The Type Of Home/ Property You Want Single family, condo, multi-family or land to build on. Each type offers you different benefits and responsibilities. What things must the property have: size of home, yard, number of rooms and bathrooms and type of location. No home/ property will have everything your looking for, so leave in some flexibility. The key is to make sure your basic needs and wants are taken care of. It's important to be open minded! click here to Return Back to the beginning of Problem Free – Home Buying! o MLS (Multiple List Service) § We have access to all homes for sale with all real estate companies, through MLS where approximately over 95% of the homes are purchased. Working with us, gives our Buyers the advantage of up to the minute knowledge of all homes available not just homes for sale with RE/MAX Property Promotions. o Our Personal Web Site: HomesJustForYou.com § Available to you 24 hours, continually gives access to detail information of all homes currently available with ALL real estate companies, (not just RE/MAX). ! Receive Daily Emails of NEW or Changed homes that fit your needs or you can do Your Own Searches! o Open House Ads § Sometimes these ads represent homes that are new to the market, but most are old. Call us and let us find the current status and arrange to see it together. Use caution when attending an open house. If you are attending the open house without the representation of a buyer agent you could be setting yourself up to lose $$ Thousands: click to see Understanding Agency Relationships Available To You o Advertised Homes § With other real estate companies will normally be found on MLS or HomesJustForYou.com. If you think we've missed an opportunity call us and let us investigate to determine the current status. If this is a property that makes sense we will see it together quickly. Remember you always want to maintain the advantages of your Buyer agent relationship. o For § Let us contact the owner. Most times an owner will cooperate with us allowing you to keep the advantages of your Buyer agent relationship. o Foreclosures (After Foreclosure) § Unless you are experienced with the total foreclosure process, our recommendation is to wait until the lender takes ownership of the property and puts it back on the market. It is the cleanest way to be somewhat sure of a clean title with no hidden cost you may not be aware of. click here to Return Back to the beginning of Problem Free – Home Buying! Don't just get addresses and drive by. You certainly need to be comfortable with the area where the property is located but you also need to see the interiors of several homes. This creates value in your mind and will be important in the negotiation process when you find the home that you really like. You’re not wasting anyone's time by seeing a home that may not be right for you. When we see a home with you that you don't like, it helps us to understand the type of home, neighborhood and features that really make a difference for you. This helps us to quickly find a home that makes sense for you. click here to Return Back to the beginning of Problem Free – Home Buying! What To Do When You've Found The One You Want But Your Not Totally Sure click here to Return Back to the beginning of Problem Free – Home Buying! Determine A Purchase Price You Are Comfortable With Based on the homes you've seen, decide on a price. Talk to your Buyer Agent in confidence to receive the assurance and guidance you need to make an informed decision. Decide on a price you won't go above, (ready to walk price). This is the price you will absolutely not go above. Don't tell this to anyone but your significant other and your Buyer agent. Your agent needs to know this price so that a negotiation strategy can be created that will give you the best advantage. click here to Return Back to the beginning of Problem Free – Home Buying! The major parts of the Offer To Purchase are: What the property is, What stays with the property, The total amount you are willing to pay, The deposits that will be made if the offer is accepted by the seller, The date and time the offer will expire, The date and time the Purchase and Sale agreement will be signed, The date the home will be sold, Who will hold the deposits, Other contingencies (addendums or stated things such as satisfactory review of the lot lines with the seller, Date home inspection will be completed by, How much of a mortgage will be needed by the buyer, The date the buyer will have a final commitment from the mortgage lender. This is why you need to put the offer in writing. It answers all the important questions a seller will have regarding who you are and what you are proposing. Negotiation It’s very rare for a offer to be accepted initially. Your offer could be accepted, rejected or countered (seller will come back with another price or different terms other than what you proposed.) You must make a timely decision and respond to the seller's proposal. You will have a home inspection, as a condition of your offer to purchase, to determine if there are any major flaws you were not aware of when you made your offer. Make sure you are present to ask questions and to see first hand what the home inspector is checking. The inspector will give you a written report outlining all of the defects that were discovered during the inspection process. Your concern should be for the major expenses not little fix it items that are easy to take care of. You will have a stated number of days to respond to the seller to inform them of corrections you would like them to make or any price adjustment from the agreed price. Whatever is agreed on needs to be included into the Purchase and Sale Agreement. click here to Return Back to the beginning of Problem Free – Home Buying! As stated in your offer, you need to sign this formal contract which specifies all the legal terms of your original offer. As with any legal document you have the right to have an attorney review the contract and we recommend that you give this consideration ahead of time. It is important for you to understand and be comfortable with this agreement. You will also be contributing more earnest deposit money as agreed in your original offer, to be held in escrow, subject to all the terms of the agreement. click here to Return Back to the beginning of Problem Free – Home Buying! Reputable Mortgage Lender Process Time This can take from 4-8 weeks depending on the mortgage lender you chose to finance with, the information you need to provide to them and any of your own particular financial circumstances . If the buyer chooses, this process can be completed in less than 3 weeks if the Buyer is pre-approved. click here to Return Back to the beginning of Problem Free – Home Buying! Preparation For Closing, Comprehensive Follow up Process Home owners insurance, Title Insurance decision, Switch over of utilities into the buyers name, Change of Mailing address. click here to Return Back to the beginning of Problem Free – Home Buying! Either prior to or the day of your closing, you have right to personally inspect the condition of the property you are purchasing. If the general physical conditions are not what you saw when you made your agreed offer, then you have the right to have the issue fixed before you purchase. This time can also be used to verify that any agreed repairs were actually made. click here to Return Back to the beginning of Problem Free – Home Buying!
Buyer Agent: Represents you the buyer, including negotiations and is obligated to maintain confidentiality of the buyer and by law must work on your behalf and best interest.
Seller Agent: represents the seller and is obligated to negotiate for the seller. A sellers agent must maintain confidentiality of the seller and not the buyer. However, a sellers agent has an ethical and legal obligation to show honesty and fairness to the Buyers in all transactions.
Total Exposure To Homes In The Market Place
Save All Information On Properties You Are Seriously Interested In
Discard all other properties, these will only confuse you.
click here to Return Back To The Beginning of Problem Free – Home Buying!
Revisit your first and second choice, then pick the one that is most appealing to you.
click here to Return Back to the beginning of Problem Free – Home Buying!
click here to Return Back to the beginning of Problem Free – Home Buying!
Purchase And
Final Walk Through Property, Before Purchase
This is time when you will sign a mortgage (promise to pay the mortgage lender, using the property as collateral). You then own the property and can move into the property subject to the recording of the deed at the Registry of Deeds.
click here to Return Back to the beginning of Problem Free – Home Buying!
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