When an offer is rejected most of the time the buyers want to know why and if an offer is rejected because of higher-priced offers, buyers may want to know what those other offers look like. So is it okay for the buyers to first of all, no why their offer was rejected or see the other offers? [Read more…]
You may have been toying with the idea of upgrading your home or upsizing for several months now, maybe even several years, how do you know you’re really ready to take on a different house? While nobody really loves the thought of moving, sometimes the idea of more space is really what will prompt you to make the move. As an agent, I’ve seen a lot of different families and experience a lot of different situations so if you’re considering moving or upgrading your home your five signs to know that you’re ready for that move. [Read more…]
Buying a house, they said. It will be so easy, they said. Until all of a sudden, you have these hidden costs and fees popping up all over the place. I don’t want you surprised at all with any of the costs or fees involved in buying or selling a house but you do need to know that buying a house does require some money.
There are many billboards, signs and advertisements out there touting the you can buy a house with zero down and no money. Do you really want to be a homeowner if you have no money in the bank? That’s a serious question that deserves some serious consideration.
Now, I’m not saying that you need hundreds of thousands of dollars or even tens of thousands of dollars in order to be a homeowner but there are certain costs and fees associated with buying a house that all homeowners, especially first-time homeowners can tend to be surprised about. I want you aware of everything and doing your homework, including reading this blog post, will put you in a better position financially.
This is one of the expenses that will not be included in your closing costs. Unless your real estate agent or financial lender has done some creative consolidating, chances are you’ll need to pay for your home inspection out-of-pocket. This means you’ll need to write a check or give a credit card to the home inspector while they are there before or right after the home inspection. Home inspections tend to run anywhere from $350-$800. On average is about $400. If you can’t afford a home inspection out-of-pocket, you probably should not be buying a house. The home inspection is a vital part of the home buying process and not understanding everything you can about the home from a professional’s point of view could lead to some costly mistakes in the future. Make sure you have this money set aside for the home inspection.
10 Point List to Know if You’re Ready to Buy a HouseWhen borrowing money your lender will want to make sure that the home you are purchasing is worth the amount you are borrowing, which is why they’ll need to order an appraisal that you’ll need to pay for. The lender will typically hire an independent certified appraiser to assess the property value of the home. It will document varies features that make the home valuable and they can typically run between $250 and $600. This upfront fee will be charged directly to the borrower by the lender and may or may not be included in the closing costs.
Some lenders will require that an escrow account be set up in conjunction with a mortgage loan agreement. This will house money to pay ongoing property related expenses on the homeowners behalf including homeowners insurance, private mortgage insurance and property taxes. There also may be an additional deposit required at closing for this account. Be sure to check with your lender or your real estate agent about these additional fees.
Not all homes will require a survey but it may be required so everyone knows exactly where your property’s boundaries are. This could be several hundred dollars but again, not required however, you will be paid directly to the surveyor.
When you first make an offer on a home you’ll need to write a check or money order for an earnest money deposit. This holds the property as the first right of refusal to buy the home. This could be anywhere from 1% to 5% of the purchase price of the home so this is a good chunk of money that could be several thousand dollars. This will go toward your down payment at closing. This money will not be deposited until mutual agreement is secured on the purchase and sale contract.
When you finalize the sale on your new property closing costs will include a variety of courier fees, escrow and title company fees, appraisals, lending fees, points etc. and may or may not include some of the previous points as well. This could be anywhere from $5000-$20,000 based on the price of the home. This can be rolled into the cost of the home if the property can bear the value however, talk to your lender about this so that you’re not stuck with a $10,000 bill that you didn’t know about.
Buying a home should be fun but understanding all of the details about the transaction and the lending practices will help you be better prepared for the entire process. For more information or to get started or to answer any questions you might have about homebuying in the Tri-Valley area contact my office today.
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Finalizing documents after closing or signing is one of the most exciting and sometimes terrifying things in the buying process. However, there are some things you don’t want to miss when buying a home. Before grabbing the keys from your agent you want to make sure you do these five things, which most reputable real estate agents will verify ahead of time but it’s important to understand them on your own.
Your agent, as long as they didn’t start yesterday, should walk you through all the different contingencies throughout the process. This means that your financing must go through, the sale of the previous house if applicable, your home inspection, and appraisal all need to be satisfied before you move in.
If you had anything done during the home inspection, or even if you didn’t, a final walk-through is crucial to the buying process. The sellers legally have to leave the property similar to the last time you sought meeting they can’t trash the property when they move out. You also want to make sure that anything requested on the inspection report is completed. You need to verify that the home is in the condition agreed upon in the contract and if there are any issues that don’t match up with the contract, it’s better to take care of them now before you close on the property.
Related: How an Offer Gets Accepted
This is what title insurance is four and before you can take title to the property and establish legal ownership, your mortgage lender and title company will perform a title search. This means that they will cover everything from top to bottom to verify that the seller has the legal right to sell the property. While insurance covers any discrepancies if found later on, it’s important to get this cleared now.
Before you can close you want to make sure that your mortgage has been finalized and approved. There are so many facets to a real estate transaction that we need to make sure everything lines up perfectly in order to close. This means your financing as well. The underwriter will check your final credit score, review the home appraisal, and ensure your financial legitimacy so that you can start making payments when your mortgage comes due.
You’ll want to make sure that your closing disclosure or final settlement statement is accurate and everything is correct including your interest rates, loan terms, closing costs, how much you’re paying for the house, and any other details even including how your last name is spelled and that your address is correct. You’ll also need to bring certain documentation to closing such as proof of homeowners’ insurance, any home inspection reports, any additional documents that escrow is requesting and a government-issued photo ID.
Once all of these issues are satisfied you can sign the final documents and either that day or a couple of days later you will finally close and be handed the keys. You cannot get the keys and tell escrow closes the transaction and the deed is recorded with the county in which the property is located.
If you have other questions or would like to start the process of opening escrow on a new property in Tri-Valley area give me a call at any time.
Plan on relocating? You probably have already started some sort of a binder or checklist of how to pack, window pack, and what to pack, but you may not have thought of ways to save money while you are relocating.
If you’re thinking about improving your home, remodeling, or doing some renovations it’s important to get a lot of information beforehand so that you can plan, prepare, and budget accordingly. We’ve undertaken a few renovations over the years and while I’m not an expert, I can definitely appreciate advice and tips from those that of been there before or constantly do it as in real estate investors or flippers. Here are some of the 10 best home improvement tips from the experts. [Read more…]
Buying a home in the Tri-Valley area? Maybe it’s time for an upgrade? But there are a lot of questions to be answered. Here are some of the most common from people moving to a bigger home. [Read more…]
Having the right Realtor® is a huge part of ensuring the home shopping and buying OR selling experience is a good one. A good Realtor® is constantly working for you. They’re constantly finding homes that meet your search criteria, sometimes even before they’re officially on the market, meeting you to look at potential homes on YOUR schedule and pulling strings with colleagues in the business to get your deal to go through. When selling your home, they work just as hard or harder. Home buying and selling can also be so emotionally and physically exhausting, that a good Realtor® is also an encourager and occasionally needed a reality check for you during the process. A bad Realtor® is none of that and tons of frustration and even heartache. When choosing the RIGHT Realtor® for you be scrupulous. It’s no little wonder that choosing the wrong Realtor® is one of the many reasons homes fail to sell. Therefore, keep these Realtor® choosing mistakes in mind, when you start the hunt. [Read more…]
We all have plenty of household chores on our to-do lists, but many of us can probably agree that hardly any of them are on our want to-do list. Here is something exciting to hear: some chores around your home only need to be done once a year. We made a list of household chores below that only need to be taken care of every 12 months. [Read more…]
The home office. It’s a place of intentional work, pay bills, or just sit and manage your home life. Maybe you work from home so it’s literally your office. Many sellers are creating a home office setting when staging and listing their home but is it necessary? Do buyers really expect homes to have an office?
In today’s odd climate the home office is definitely a perk. More and more people are working from home and it just makes sense but are there other uses to that spare room that people are looking for?
This might sound extreme but in many markets around California, this type of room is becoming very popular. The dedicated space with surround sound, high-quality TV and visual dynamics are making a comeback in many homes.
It all depends on how much space you have and if it’s a closed off room or open area. Many new homes have a landing at the top of the stairs that can be turned into a large play room or family room instead of an office space, which feels awkward when you have to walk through it to get to the bedrooms.
This could be an arts and crafts room or a space that one could get messy in. The floor may be tile or other material that’s easy to clean.
If you have plenty of books, try dressing up a space room into a quaint library. Large bookshelves can even serve as dividers to section off the room into a sitting area and library. Create an inviting space by using comfy chairs or couches, blankets and good lighting.
Related: 10 Projects to Complete Before Selling Your House
The guest room doesn’t have to just be a bed. Create a neutral bedroom that could suffice for anyone for the nights. A neat nightstand, lamp, good book, vase of flowers, dresser, neutral decor and fluffy linens all invite guests to make the space their own for the night.
But again, with more people working from home, a home office may be among the top perks, however, having more space for enjoying the home in differnt ways are also very appealing.
There are lots of different things you can do to a room beside the typical office. If you’re selling in the Tri-Valley area, give me a call! Let’s talk about what buyers are looking for and how you can appeal to all buyers out there.