Purchasing a property is a very important financial decision that will have great effects on most aspects of your life. whether this is your first purchase or you are an experienced buyer, this decision must be planed and made carefully.
We can assist you in every step of the way with proven Analysis, understanding of the market, Quick "outside the box" thinking, problem solvers and top Negotiating Skills.
We offer buyersExclusive Representation, which includes:
Exclusive Access to ALL Properties Currently Listed For Sale
including MLS and "Pocket" listings.
Daily Email Updates of New Properties & the Latest Price
Changes / Reductions. Exclusive MLS access.
Personal Attention for First Time or First USA Buyers.
Confidential Representation.
There is traditionally NO COST to my Buyer clients. It is
customary for the Seller to pay the sales commission fees of listed
properties.
Buyer broker short term agreement is signed highlights my duties as a broker and the fact that we work together toward a common goal of finding you a home or other type of properties. I work with limited number of preferred clients and provide the ultimate level of service. What else is required?
Buyers that plan to finance their
purchase are required to be pre-approved by a lender. This is essential
information for every Buyer and will assist in determining your preferred
price range. All Cash buyers need only to verify proof of available funds.
Preparations
1. Prepare all your important financial documents such as financial statements, two year tax returns, bank accounts, investments, 401K, debts etc. 2. Check your credit ratings on Equifax, Experian and Trans union on line and see if there are any incorrect information posted. It is wise to check periodically and send letter(s) to the above credit bureaus to correct any errors if any. 3. Your financial stability. Now is not a good time to make sudden career changes or large purchases. 4. Take a drive and get to know the neighborhoods, complexes, or subdivisions, which interest you. Check the schools, shopping, dining and other points of interest to you. 5. Make lists of Need and Want. you probably will not get everything on your wish list, but it will keep you on track for what you are looking for. 6. Narrow your search to few properties and get comparable of similar. 7. Visualize the house empty with your decor. 8. Be Objective. 9. Make an offer after knowing the costs and expenses associated with the property.
Escrow, inspection and appraisal
The Initial Agreement and Deposit. An effective agreement is a legal arrangement between a potential purchaser and the property's seller.
· Keep written records of everything. For the sake of clarity, it will be extremely useful to transcribe all verbal agreements including counter-offers and addendums and to convert them into written agreements to be signed by both parties. We will assist you in drafting all the paperwork for your purchase and make sure that you have copies of everything.
· Stick to the schedule. Now that you have chosen your offer, you and the seller will be given a timeline to mark every stage in the process of closing the real estate contract. Meeting the requirements on time ensures a smoother flow of negotiations so that each party involved is not in breach of their agreements. During the process we will keep you constantly updated, so you will always be prepared for the next step.
The Closing Agent. Either a title company or an attorney will be selected as a closing agent. The closing agent will hold the deposit in escrow and will research the complete recorded history of the property to ensure that the title is free and clear of encumbrances by the date of closing and that all new encumbrances are properly added to the title. Some properties are subject to restrictions which limit various activities such as building or parking restrictions. There may be recorded easements and encroachments, which limit the rights to use your property.
Inspections. Once your offer is accepted by the seller, you will need to have a licensed property inspector inspect the property within the timeframe that was agreed upon in the effective contract to purchase. You may elect to have different inspectors inspect the property, if you wish to obtain professional opinions from inspectors who specialize in a specific area (eg. roof, HVAC, structure). If you are purchasing a commercial property, then you will need to have an environmental audit done on the site for the lending institution. We can recommend several different inspectors.
Depending on the outcome of these inspections, one of two things may happen: 1. Either each milestone is successfully closed and the contingencies will be removed, bringing you one step closer to the close, or 2. The buyer, after reviewing the property and the papers, requests a renegotiation of the terms of contract (usually the price).
Appraisal and Lending. It is imperative that you keep in close communication with your lender, who will let you know when additional documents are needed to approve your loan application and fund your loan. If the agreement is conditional upon financing, then the property will be appraised by a licensed appraiser to determine the value for the lending institution, via a third party. This is done so that the lending institution can confirm their investment in your property is accurate. Appraisers are specialists in determining the value of properties, based on a combination of square footage measurements, building costs, recent sales of comparable properties, operating income, etc. When you are within two weeks of closing, double check with your lender to be sure the loan will go through smoothly and on time.
Association Approval. If the property that you are purchasing is conditional upon an association approval, request the rules, regulations, and other important documents from the seller as soon as you have an effective agreement to purchase. Make sure that the application documents and processing fees are submitted to the appropriate person at the association by the required time. Fill out all of the information completely and legibly so there is no delay in processing the application. If you are required to meet with the association for your approval, make an appointment as soon as possible for the interview. Most associations require a certificate of approval before move-in. Your closing agent will request that the original copy of this approval letter be brought to the closing, so that it can be recorded with the deed in the county public records.
Property Insurance. If you are obtaining a loan, you will be required by your lender to purchase a certain amount of insurance on the property. The value will depend on the lending institution and the purchase price of the property. You may be able to save hundreds of dollars a year on homeowners insurance by shopping around for insurance.
Six common ways to hold Title
1. Single Man/ Woman: A man or women who is not legally married. 'i.e."s John Doe, a single man.
2. An Unmarried Man/ Woman: A man or a woman who has been married, and is legally divorced. 'i.e."s John Doe, an unmarried man.
3. Married Man/ Woman as his/her sole & Separate Property:When a married man or woman wishes to acquire title in his or her name
alone, the spouse must consent, by Quit Claim Deed, to transfer,
thereby relinquishing all right, title and interest in the property.i.e. John Smith, a married man, as his sole and separate property.
4. Community Property:The California Civil Code defines community property, as property
acquired by husband and wife, or either, during marriage, when no
acquired as the separate property of either. Real property conveyed to
a married man or woman is presumed to be community property, unless
otherwise stated. Under community property, both spouses have the right to will go to the surviving spouse without a will. 'i.e."s John Smith and Mary Smith, Husband and Wife, as community property.
5. Joint Tenancy:A joint tenancy estate is defined by the Civil Code as follows: A joint
interest is one owned by two or more persons in equal shares, by a
title created by a single will or transfer, when expressly declared in
the will or transfer to be a joint tenancy. A chief characteristic of
joint tenancy property is the right of survivorship. When a joint tenant dies, title to property immediately vests in the survivor or surviving joint tenants. As a consequence, joint tenancy property is not subject to disposition by will. 'i.e."s John Smith and Mary Smith, Husband and wife, as joint tenants.
6. Tenancy in Common: Under tenancy in common, the co-owners own undivided interests, but unlike joint tenancy, these interests need
not be equal in quantity or duration, and may arise at different times.
There is no right of survivorship; each tenant owns an interest that on
his or her death vests in his or her of survivorship; each tenant owns
an interest that on his or her death vests in his heirs or devisees. 'i.e."s
John Smith, a single man, as to an undivided ¾ interest, and Sam Doe, a
single man, as to an undivided ¼ interest, as tenants in common
You
may wish to consult an attorney or tax advisor on the best way to hold
title. Different methods of holding title have different legal, estate
and tax implications, especially when selling or upon death of title
holder.
Closing and moving in
Closing Day If you have come this far, then this means that it is almost time for a congratulations, but not yet. Do not forget to tie up these loose ends:
Final Walk-Through Inspection. More of a formality than anything else, the final inspection takes place a day before, or the day of the closing. You will visit the property to verify that all is in working order, everything is the same as when you last viewed the property, that there are no extra items left behind, and that everything included in your purchase is still at the property.
Home Services and Utilities. We will provide a list of useful numbers for the activation of home services and utilities.
We are here. We are ready to assist you should an unforeseen glitch pop up, even at this last stage. Something at the property breaks down, or some other minor detail - no need to worry. We have encountered these problems before so we know how to handle them efficiently and in a stress-free manor.
Closing. The closing agent will furnish all parties involved with a settlement statement, which summarizes and details the financial transactions enacted in the process. You and the seller(s) will sign this statement, as well as the closing agent, certifying its accuracy. If you are obtaining financing, you will have to sign all pertinent documentation required by the lending institution. If you are unable to attend the scheduled closing, arrangements can be made depending on the circumstances and the notice that we receive. If you are bringing funds to the transaction, you can elect to either have the funds wired electronically into the closing agent's escrow account, or bring a certified bank check to the closing in the amount specified on the settlement statement. The seller should arrange to have all property keys and any other important information for you at the closing so that you may receive these items at this time.
Purchasing a property is a very important financial decision that will have great effects on most aspects of your life. whether this is your first purchase or you are an experienced buyer, this decision must be planed and made carefully.
