Welcome Home Buyer!
Congratulations on your
decision to buy a home! Whether this is your first home, second home,
investment property the market is always changing and here are some things you
need to know.
In today's market every buyer
before looking at property should be pre-approved from a lender. By law, you may
choose your own lender. However, a
lender and a real estate agent should work together for the best interest of
you! One of my most famous quotes is "No Loan-No Home" I cannot do my job by myself.
So we must be on the same page.
In order for your lender to
properly pre-approve you he/she will need a list of financial information. You
must prove to the lender you can afford to make the payments. Your finances
must be documented. If you tell the loan officer you make $100,000 a year; but
your taxes show you only take home $60,000 that is what the lender is going to use
to qualify $60,000. To obtain a home loan in 2014, lenders want your blood
type. Please be prepared to explain all deposits, gifts, bonus money and
transfers. I would advise you to always speak to your loan officer before
depositing a lump sum of money in your bank account. Also, watch your spending.
The number you qualify for is the based on the financials you submit on that
date. If you co-sign for a car or open a credit card, those debts will be
charged against you and the number qualified for may drastically be reduced.
Once you are pre-approved for
a certain amount, your loan officer will issue a pre-approval letter. This is your
license to shop for a home!
I always ask my buyers what
they want in their new home and what they need this form will help me find the
home that fits your needs. So, I may get started helping you find your Dream
Home, Click here and fill out this Evaluation of Your Needs Form!
A few other questions a buyer may have
When I find a home then what?
Once we find a home, I would
assist you in writing an offer. I always pull comparables to make sure you are
comfortable with your offer.
Many items are negotiable-
the price, closing cost, termite, repairs, and a home warranty.
Once you and the seller agree
on terms, you now have a home and we proceed to escrow!
What is Escrow?
? Escrow is a neutral 3rd party that among many
things coordinates the paperwork for your transaction.
they have received the signed contract, a few of their duties are:
your opening deposit and issue a receipt
the pay off for a seller's loan, any taxes and Homeowners Association Dues
the Preliminary Title Report- if there are liens on the property California law
says they must be paid before transfer of title
your loan documents received from your lender for you to sign
the deed for how you would like to hold title,for example: Single, married, joint
tenants, tenants in common- all of these will be explained to you by an escrow
Homeowners Insurance of your choice to the lender
any outstanding debt on the title, liens, a home warranty plan or services such
as termite as instructed by the you or the seller.
the buyer will usually sign your loan documents at escrow with a notary
fund your loan and settle disbursements.
will issue the final check to the seller and any remaining monies back to you,
a thorough Escrow Officer is one of the main ingredients to a successful
closing. They are an extension of my eyes and ears on your transaction.
you are in escrow there are a few things you are responsible for as the buyer.
1. Send your opening deposit
to escrow. Your opening deposit can be from 1-3% of the purchase price
depending on area.
Your lender is going to
immediately order your appraisal, which you pay for upfront. The appraiser will
contact the agent for entry in the property. I meet the appraiser to support the value.
3. The seller is responsible for giving you
the Transfer Disclosure Statements. These will tell you everything the seller knows
about the property.
4. They will also give you a Natural Hazard
Disclosure. This will notify you if you are in a Flood Zone, Earthquake Zone,
or Fire Zone. This is important for insurance purposes.
5. You are advised to obtain an inspection
on the property, which you pay for at the time of the inspection.
6. After your inspection, you may ask the
seller to repair items in the home. Health and Safety is always recommended.
7. We will review the title report together.
I call this the birth certificate of the property. It will disclose any liens,
judgments, easements, paid and unpaid taxes on the property. The seller must
issue you a clean title before the close of escrow.
8. You will also receive Escrow Instructions.
These are documents that you will need to return with your homeowners insurance
and instruct escrow who is names you would like to place on the title.
9. Your lender will continuously need
financial documents to submit for your loan. Please be timely in submitting
these documents as time is of the essence.
***Your offer to the seller identifies a closing
date- with your cooperation, my team will help you meet those timelines. If
you are unable to meet the deadlines, your deposit could be in jeopardy.
you have reviewed all of the disclosures including the title, insurability, completed
your inspection, repairs, decided how you would like to hold title, your
appraisal should be in, full loan approval should come next. Once you have full
loan approval, then you proceed to close.
process I will give you a folder for copies of all of your documents; however,
after the close of escrow, your entire transaction will be handed to you on a
disk. Bye Bye paper.
you are looking for an agent who has your best interest in mind, you have found
her. If you are looking for an agent who will listen and take you to the
neighborhoods you want to live in, you have found her. If you are looking for an
agent who can be honest with you and help you get the most house for your money
in the best area where it is vibrant and has a history of an increase in value
because I have been doing this for over a decade, you have found her. My team and I
are passionate, professional and personable. We focus on what is best for the
client and not just commissions.