Tips for Home Buyers

Once you find your dream home, the process to obtain your home is somewhat detailed. We recommend the following items to help you get started. You may have an attorney at any phase of the process. You can make your purchase offer contingent upon your attorneys approval.

1. Ask your real estate agent for a comparative market analysis, this is a history of what the homes have sold for in a development within the past year. This will help you to determine what is a fair price to offer the seller. There are many factors to the CMA, the average price range of the whole subdivision, days on market, what is the average percentage of list price the seller received and what the style of home you are considering sold for in the past. Basing your offer on data is a solid foundation.
   
   
   
2. When making an offer, your real estate agent will forward the offer to the listing agent. The seller's agent will set up a meeting with the seller to discuss the offer. The seller can do one of three things.
   

   1. Accept the offer as written
   
   2. Decline the offer and not counter back to you.
   
   3. Accept part of the offer and give a counter offer to the buyer stating the items that are not acceptable and any change in those items. The buyer can accept, reject or counter the offer to the sellers. During the time of negotiations, should the seller receive another offer, the seller can rescind their counter offer and accept the other offer, providing the buyers have not accepted the seller's offer and it has been sent to the listing agent prior to the seller rescinding. Remember your agent can not disclose anything to the seller or seller's agent unless you give them permission. When there are positives in your situation, financing, time at employment, ratios, etc., it may help to give your agent written permission to forward this information to the seller or seller's agent. This information may help if there are two contracts being presented to the seller at the same time or if you are offering less than list price.
   
   

   
   
3. When you have your home inspection, the inspector will go over the areas of the home that need immediate attention, the items that are normal for the age of the home and items that will need attention in the future. No home is perfect, there will be items that need attention, some small and some large. In our purchase offer there is a clause that addresses the home inspection. If you choose to have a home inspection, which is highly recommended by our agents and company, it is important that you have the home inspection within the time period in the contract. Once completed your options are: 1. You can accept the home in the condition it is in. 2. You can void the contract (not intended for cosmetic items). 3. You can request the seller to do some or all of the repairs needed, a copy of the home inspection report must be attached to the request. If the seller will not do the repairs, you can void the purchase contact, providing it is within the time period of the home inspection clause. Sometimes the buyer and seller can reach a compromise and each do some of the repairs. Also when doing the home inspection, most buyers have the termite and gas reports done at the same time. Should there be termites, you have the option to void the purchase contract or request the seller to have the home treated prior to closing within the time limit specified in the contract. In addition to your home inspection, the lenders appraiser may request certain repairs to be completed prior to closing. The appraiser is there to determine the value of the property not the condition. Please inform your agent of the time, date and company that will be doing all your inspections to ensure access to the property. The inspection dates on the contract are very important to follow. Failure to comply with the inspection dates on the contract is a wavier of your options.
   
   
   
4. Prior to closing, we recommend that you set an appointment with your agent to preview the home prior to closing, to make sure the home is in the same condition as it was when you offered to purchase the home. Also, you need to have a home owners insurance policy in effect for the closing date and a copy of the policy or a DEC page.
   
   
   
5. At the time of closing, you will be asked to sign documents from your lender and the title company (who assembles all the paper work for you to sign and disburses the funds). This process takes about one hour. Some buyers have an attorney clause put in the purchase offer when they write the offer. Some buyers have an attorney at closing, or have an attorney review the documents the buyer will be signing at closing. For more information on closing, see Preparing to close.