Once you have selected a home that perfect for you and/or your family there are several steps to complete before you take ownership. I will be right by your side and will assist you throughout the entire process to ensure your home purchase experience is a care and worry free.
Once you discover a home that you would like to place an offer on, it is important to review the Seller’s Disclosure. Its purpose is to reveal any known defects the seller is aware of that could affect your offer to purchase. After we thoroughly review the disclosure statement, I will help you determine on how it might affect your offer.
SUBMITTING YOUR OFFER
As your buyer’s agent, I provide you with a market analysis and we will take into consideration any defects known at the time of the offer before we establish an offer price. After we’ve established a price, I will ensure it meets your needs and provides a solid basis for negotiating with the seller.
NEGOTIATING THE OFFER
I will present the offer to the listing agent and negotiate on your behalf. The seller will have a choice of
- accepting your offer as presented
- rejecting it completely
- responding to our offer with a counter offer
I will communicate to you the seller’s response and will provide additional negotiating options, as necessary. The negotiating process could be a very short process or it could take a few days to arrive at an acceptable agreement.
TITLE & OPTION
Once the offer is accepted, your option period will begin the following day after the offer is signed and initialed by all parties involved. Option period times can vary, but most are between 7 and 10 days, or whatever was agreed upon in the contract. The earnest money (good faith money), option money and the contract will be delivered to the title company. Both earnest and option money are reduce the money you are required to bring to the table, if any. however it depends on what was agreed upon in the contract. The tile company will issue a title insurance policy based on a search of public records that discloses whether any others have legal claim to the property. It insures you against loss due to certain title defects.
During the option period, you will have time to hire a professional inspection company to inspect the home, review the inspection report and have time to negotiate repairs, if any, with the seller. If for any reason you decide to not purchase the home during the option period, the most you will lose is your time and your option money. The earnest money is refundable to you by the title company if you should back out of the contract anytime during your option period.
APPRAISAL & LENDER REQUIREMENTS
Once we have negotiated repairs and you are comfortable moving forward with the purchase your lender will order the appraisal to satisfy the underwriters requirements.. At this point, it is important to be sure your loan officer has sufficient information from you to obtain an approval. If there are any items you still haven’t provided to your lender to issue an approval, I recommend gathering and submitting any outstanding items immediately.
UNDERWRITING & FINAL APPROVAL
After the appraisal is complete, the appraisal and any items not previously submitted to underwriting will be submitted for final approval. Once the lender has issued the final approval, the title company will work closely with the lender to provide necessary title costs and additional information to facilitate a closing. Once the lender has approved the HUD-1 or Settlement Statement, we are ready for closing.
It is common to do a walk of the house a few days prior to closing to ensure everything is still in order and all repairs agreed upon are completed. This lets you confirm the condition of the property and if a concern should arise, I will help you resolve it.
The closing will take place at a title company with an escrow officer and I will be at closing to answer any questions you may have. The escrow officer is responsible for facilitating the closing, including ordering mortgage payoffs, prorating taxes, reviewing the title commitment, ensures all documents are signed on behalf of the lender and they collect and disbursing funds as needed. If you are required to bring any funds to closing to the title company, they can be brought in the form of a cashier’s check or be wired directly from your bank.
It is a policy that provides repair-or-replace coverage. A home warranty can be purchased by you or by the seller, as agreed upon in the contract.