Wednesday, March 21, 2012
Saturday, January 23, 2010
Tips for buying a foreclosure or short
Nowadays, it's likely you'll come across a short sale or a foreclosure in your home search, no matter the price range. You may be lured by the low price or the terms "motivated seller" or "bank-owned." It's true: You can get great deals on bank-owned and short sale properties. But my advice is, as always, to make sure you know exactly what you're getting.
Here are my top five tips for buying a foreclosure or short sale property, whether it's in San Francisco, Santa Fe or South Dakota:
1. Get a home inspection. Know what you're getting. There aren't always appropriate disclosures in short sales or foreclosures. If possible, get a home inspection before you write an offer, but definitely before you close escrow.
2. Knock on the neighbors' doors. This is a huge investment and you need to do your due diligence. Your potential neighbors are likely to know something about the house or the neighborhood you don't. Remember: the seller isn't there to disclose the crime from last year or the loud music down the block.
3. Review the preliminary title. Make sure there aren't any past liens or owners still on title. Also, be assured the bank has paid all taxes and delinquencies before you close escrow. In a condominium, make sure there aren't back homeowner's association dues. Once you close, those liens, unpaid taxes and delinquencies can become your problem.
4. Go to the local building/planning department. Make sure there aren't outstanding permits on the house. If it looks like there was a recent renovation, be sure it was done legally and the city has signed off on them. If not, and there's a problem, the city can cite you. This could result in thousands of dollars in unexpected renovations or "fix it" work.
Also, find out if any neighbors have submitted plans to build a mega house or demolish a house nearby. Any nearby plans or work would normally be known and disclosed by the seller, but not always in the case of a foreclosure or short sale.
5. Know the tenants' rights. If you're buying a property occupied by a tenant, you need copies of any leases, knowledge of deposits and length of tenancy. Ask for a tenant "estoppel" or questionnaire from the tenant. Once the property is sold, the tenant becomes your responsibility. You'll have to adhere to the terms of any outstanding leases. Check your local rent board, because there are some instances where the tenants may have more rights than you think.
Friday, January 22, 2010
REAL ESTATE INFORMATION
Glossary of Real Estate Topics
Real estate law includes lots of jargon and legalese that can be intimidating or at least confusing, especially to first-time homebuyers. An attorney with experience in real estate law, like the skilled professionals at Law Offices of H. Michael Soroy in Los Angeles, California, can help a buyer or seller understand the terms and concepts involved in real estate transactions. Read on to learn more about the terminology of this specialized area.
Appraisal: An appraisal is the estimate of value of real property made by a third party not involved in the transaction. Appraisals usually involve comparing the sales price to the value of similar properties in the area. Mortgage lenders typically require an appraisal before they will make a loan.
Assessment: An assessment is a charge for improvements made by the local government that are beneficial to adjoining property. Sidewalks and road work are common examples of improvements which give rise to an assessment charge. Property owners who receive a benefit from the improvement are assessed a proportional share of the cost of the improvement.
Broker: A real estate broker is a licensed person or organization who negotiates real estate contracts, mortgages, leases, and other agreements between the parties in a real estate transaction. Real estate agents (or realtors) are also licensed representatives who work for brokers.
Closing: A closing (sometimes called a settlement), is the last stage of a real estate transaction. At the closing, the buyer finalizes his or her mortgage and pays any closing costs for which he or she is responsible, while the seller finalizes and hands over the deed and the keys to the property.
Condominium: Condominium (condo) owners own their individual residential unit and also have a right to use the common areas in the development, which are owned by the condominium association. The association maintains the property, pays taxes and insurance, and deals with improvements. A condo owner will probably have to pay association fees in addition to mortgage payments.
Contract for Deed: A contract for deed allows a seller to keep legal ownership of property while the buyer uses the property and makes monthly payments until the purchase amount is paid.
Deed: A deed is a document that transfers an interest in real property. A warranty deed is a deed in which the seller promises that the title to the land is good and complete. A quit claim deed transfers only the rights that the transferor has, with no promise that the transferor has full title or that there are no liens against the land.
Foreclosure: When a homeowner defaults by failing to make payments on his or her mortgage, the bank or financial institution that holds the mortgage note may foreclose on the property. Foreclosure gives the legal ownership of a property to the bank to allow the bank to recoup its investment. Foreclosure proceedings vary by state but usually involve court appearances to ensure the foreclosure is warranted.
Mortgage Loan: A mortgage loan is a loan secured by the real estate the loan is allowing the buyer to purchase. Mortgage terms may allow for fixed or adjustable interest rates or may include balloon payments. The functioning, legal effect, and foreclosure of mortgages vary greatly from state to state.
RESPA: The Real Estate Settlement Procedures Act, or RESPA, imposes obligations on mortgage lenders and other vendors involved in real estate transactions. Under RESPA, borrowers must receive disclosures detailing the costs associated with the transaction, copies of the lender's servicing and escrow account practices, and a description of the relationships among the service providers to the transaction. Mortgage lenders must also give borrowers a fair estimate of the service charges for which he or she may be responsible.
Survey: A survey is a mapping of land boundaries, improvements, and easements on real property. A lender will frequently require a survey of property, especially commercial or un-platted property, and will require the parties to address any irregularities that show up on the survey.
Title Insurance and Title Opinions: Title insurance protects against title defects not excluded by the policy. A title opinion is a lawyer's written statement of the current condition of the title. Title insurance, a title opinion, or both can help a buyer to feel comfortable with the validity of the title.
Conclusion
A real estate buyer or seller will encounter most, if not all, of the above topics when involved in a real estate transaction. Each of the above topics is complex, with details that vary greatly from state to state and transaction to transaction. An attorney from Law Offices of H. Michael Sory who has experience in California real estate law can help a buyer or seller interpret and analyze the application of all of the laws related to the above topics to his or her transaction.
Copyright ©2009 FindLaw, a Thomson Business
DISCLAIMER: This site and any information contained herein are intended for informational purposes only and should not be construed as legal advice. Seek competent legal counsel for advice on any legal matter.
For Move any product then Click here
Real estate law includes lots of jargon and legalese that can be intimidating or at least confusing, especially to first-time homebuyers. An attorney with experience in real estate law, like the skilled professionals at Law Offices of H. Michael Soroy in Los Angeles, California, can help a buyer or seller understand the terms and concepts involved in real estate transactions. Read on to learn more about the terminology of this specialized area.
Appraisal: An appraisal is the estimate of value of real property made by a third party not involved in the transaction. Appraisals usually involve comparing the sales price to the value of similar properties in the area. Mortgage lenders typically require an appraisal before they will make a loan.
Assessment: An assessment is a charge for improvements made by the local government that are beneficial to adjoining property. Sidewalks and road work are common examples of improvements which give rise to an assessment charge. Property owners who receive a benefit from the improvement are assessed a proportional share of the cost of the improvement.
Broker: A real estate broker is a licensed person or organization who negotiates real estate contracts, mortgages, leases, and other agreements between the parties in a real estate transaction. Real estate agents (or realtors) are also licensed representatives who work for brokers.
Closing: A closing (sometimes called a settlement), is the last stage of a real estate transaction. At the closing, the buyer finalizes his or her mortgage and pays any closing costs for which he or she is responsible, while the seller finalizes and hands over the deed and the keys to the property.
Condominium: Condominium (condo) owners own their individual residential unit and also have a right to use the common areas in the development, which are owned by the condominium association. The association maintains the property, pays taxes and insurance, and deals with improvements. A condo owner will probably have to pay association fees in addition to mortgage payments.
Contract for Deed: A contract for deed allows a seller to keep legal ownership of property while the buyer uses the property and makes monthly payments until the purchase amount is paid.
Deed: A deed is a document that transfers an interest in real property. A warranty deed is a deed in which the seller promises that the title to the land is good and complete. A quit claim deed transfers only the rights that the transferor has, with no promise that the transferor has full title or that there are no liens against the land.
Foreclosure: When a homeowner defaults by failing to make payments on his or her mortgage, the bank or financial institution that holds the mortgage note may foreclose on the property. Foreclosure gives the legal ownership of a property to the bank to allow the bank to recoup its investment. Foreclosure proceedings vary by state but usually involve court appearances to ensure the foreclosure is warranted.
Mortgage Loan: A mortgage loan is a loan secured by the real estate the loan is allowing the buyer to purchase. Mortgage terms may allow for fixed or adjustable interest rates or may include balloon payments. The functioning, legal effect, and foreclosure of mortgages vary greatly from state to state.
RESPA: The Real Estate Settlement Procedures Act, or RESPA, imposes obligations on mortgage lenders and other vendors involved in real estate transactions. Under RESPA, borrowers must receive disclosures detailing the costs associated with the transaction, copies of the lender's servicing and escrow account practices, and a description of the relationships among the service providers to the transaction. Mortgage lenders must also give borrowers a fair estimate of the service charges for which he or she may be responsible.
Survey: A survey is a mapping of land boundaries, improvements, and easements on real property. A lender will frequently require a survey of property, especially commercial or un-platted property, and will require the parties to address any irregularities that show up on the survey.
Title Insurance and Title Opinions: Title insurance protects against title defects not excluded by the policy. A title opinion is a lawyer's written statement of the current condition of the title. Title insurance, a title opinion, or both can help a buyer to feel comfortable with the validity of the title.
Conclusion
A real estate buyer or seller will encounter most, if not all, of the above topics when involved in a real estate transaction. Each of the above topics is complex, with details that vary greatly from state to state and transaction to transaction. An attorney from Law Offices of H. Michael Sory who has experience in California real estate law can help a buyer or seller interpret and analyze the application of all of the laws related to the above topics to his or her transaction.
Copyright ©2009 FindLaw, a Thomson Business
DISCLAIMER: This site and any information contained herein are intended for informational purposes only and should not be construed as legal advice. Seek competent legal counsel for advice on any legal matter.
For Move any product then Click here
TOP 10 Real state home Buying mistakes
1. Doing it alone. Buying a house is a complex transaction. Even if you don’t use an agent, you’ll need a complete, dependable team: lender, lawyer, inspector, insurer, as well as referrals and advice from friends and family. Enlist the help of these individuals early in the buying process.
2. Buying at first sight. You may be in love with the place, but does it fit your family’s needs and budget? Make a list of your needs and wants and make sure the house fits your requirements. Check out the neighborhood and the community before you buy by visiting at different times of the day and week to learn about noise and traffic patterns. Even if you don’t have kids, check out the local schools to make sure your resale value will be good.
3. Not getting pre-qualified and pre-approved. Being pre-qualified gives you a general idea of how much you can afford to borrow. Being pre-approved means a lender has verified your information and credit rating and agreed to provide you with a specific amount of money. You are in a better position to go house hunting knowing exactly how much you can afford and that you have financing.
4. Overbuying. You may qualify to borrow more, but can you afford to? Analyze your monthly costs: debt, food, transportation, entertainment, and savings. As a general rule, your total monthly debts, including your mortgage, should not exceed 36 percent of your income before taxes. Be sure to budget enough to cover closing costs (often two to five percent of the home’s purchase price), plus moving, redecorating and maintenance. Allow for increases in ongoing expenses such as utilities and taxes.
5. Misplacing your trust. No matter how much you like the agent, sellers, inspector, or the guy down the block who vouches for them, remember this is a business transaction. Your decision is binding. Do your own research and know your support team’s roles and responsibilities.
6. Relying on oral agreements. Get it right and get it in writing. Written agreements almost always trump oral ones when it comes to contracts. If the offer says the lawnmower is negotiable, but the agent says it’s included, get it in writing.
7. Skipping the fine print. You need to understand what you’re signing before you pick up a pen. Ask for documents in advance, make time to read them and ask questions. Get copies of your mortgage papers a few days ahead of closing.
8. Forgetting or betting on resale. Avoid buying a home that costs 50 percent more than neighboring homes and think before buying the most expensive home on the block. Your neighbors’ lower home values will weaken yours. Remember, markets change. If you buy intending to flip your investment and the market falls and you have to sell, your selling price may not be enough to even cover your mortgage.
9. Making an unconditional offer. Protect yourself with at least two of these contingencies in your offer:
* Mortgage financing -- You’re pre-approved, but is the house? Before a bank will lend you money, it will want a formal appraisal of the property to confirm that there is sufficient equity in it to warrant the loan. If the house appraises lower than the sales price, the loan may be declined.
* Inspection -- never buy an existing or new home without a thorough home inspection. Walk through the home with the inspector to learn more about the house and any concerns he or she may have.
* Insurance -- confirm you can get adequate coverage. In some areas, it’s difficult to get hazard insurance.
10. Having buyer’s remorse. No place is perfect. There will always be surprises. Don’t let a few initial blips spoil the whole ride. And don’t miss a great house waiting for the perfect one!
2. Buying at first sight. You may be in love with the place, but does it fit your family’s needs and budget? Make a list of your needs and wants and make sure the house fits your requirements. Check out the neighborhood and the community before you buy by visiting at different times of the day and week to learn about noise and traffic patterns. Even if you don’t have kids, check out the local schools to make sure your resale value will be good.
3. Not getting pre-qualified and pre-approved. Being pre-qualified gives you a general idea of how much you can afford to borrow. Being pre-approved means a lender has verified your information and credit rating and agreed to provide you with a specific amount of money. You are in a better position to go house hunting knowing exactly how much you can afford and that you have financing.
4. Overbuying. You may qualify to borrow more, but can you afford to? Analyze your monthly costs: debt, food, transportation, entertainment, and savings. As a general rule, your total monthly debts, including your mortgage, should not exceed 36 percent of your income before taxes. Be sure to budget enough to cover closing costs (often two to five percent of the home’s purchase price), plus moving, redecorating and maintenance. Allow for increases in ongoing expenses such as utilities and taxes.
5. Misplacing your trust. No matter how much you like the agent, sellers, inspector, or the guy down the block who vouches for them, remember this is a business transaction. Your decision is binding. Do your own research and know your support team’s roles and responsibilities.
6. Relying on oral agreements. Get it right and get it in writing. Written agreements almost always trump oral ones when it comes to contracts. If the offer says the lawnmower is negotiable, but the agent says it’s included, get it in writing.
7. Skipping the fine print. You need to understand what you’re signing before you pick up a pen. Ask for documents in advance, make time to read them and ask questions. Get copies of your mortgage papers a few days ahead of closing.
8. Forgetting or betting on resale. Avoid buying a home that costs 50 percent more than neighboring homes and think before buying the most expensive home on the block. Your neighbors’ lower home values will weaken yours. Remember, markets change. If you buy intending to flip your investment and the market falls and you have to sell, your selling price may not be enough to even cover your mortgage.
9. Making an unconditional offer. Protect yourself with at least two of these contingencies in your offer:
* Mortgage financing -- You’re pre-approved, but is the house? Before a bank will lend you money, it will want a formal appraisal of the property to confirm that there is sufficient equity in it to warrant the loan. If the house appraises lower than the sales price, the loan may be declined.
* Inspection -- never buy an existing or new home without a thorough home inspection. Walk through the home with the inspector to learn more about the house and any concerns he or she may have.
* Insurance -- confirm you can get adequate coverage. In some areas, it’s difficult to get hazard insurance.
10. Having buyer’s remorse. No place is perfect. There will always be surprises. Don’t let a few initial blips spoil the whole ride. And don’t miss a great house waiting for the perfect one!
Wednesday, January 20, 2010
Real Estate Tip for Buyers
1. Committing to the Process for buying a home.
· Buying a home is the largest and most important purchase in the lives of most people. However, far too many want to treat it like shopping for new clothes - drop by the mall on your lunch hour, get excited about the suit in the window, put it on your credit card. What may work for your wardrobe is often a disaster with a home purchase.
· The savvy home buyer makes a conscious decision and commitment to buy, plans carefully and deals with financing issues first, allocates adequate time off from work to look, keeps emotions in check, listens to the advice of a professional.
2. Try to Hire a Buyer's Agent to Represent You
· Just a few years ago there was only one type of real estate professional serving the home buying public. They were Seller's Agents or Sub-Agents of the Seller's Agent. Although they worked intimately with the home buyer they were bound by contract to do everything possible to protect the seller and obtain the most favorable price and terms for the seller. The problem was that most buyers were unaware of this situation - they thought the agent was working for them.
· Today, home buyers can and should be represented by their own agent - A Buyer's Agent - who is bound by contract to do everything possible to protect the buyer's interests. Only with a Buyer's Agent can the buyer be assured of getting the best service and counseling thorough out the buying process. To be represented by a Buyer's Agent normally requires a written agreement. Visit the Buyer's Page for further information on how to choose a Buyers' Agent
3. Try to Get Pre-Approved For Financing money.
· When a home seller receives an offer to purchase there are two primary factors that are always considered immediately - How much is the offer; and, does the buyer really have the money? After all, a seller has no way to know who you are or how reliable you may be. In every case a seller is more willing to negotiate price and/or other terms if the availability of the money is assured.
· When a home buyer makes the effort up front to get pre-approved for financing it does two things - Establishes exactly how much home you can afford; and, puts you in the strongest possible negotiating position with all home sellers. See our Mortgage Tips and Links for more info.
4. Choose the Neighborhood or friend
· After arranging financing, the infamous "location" issue is the next thing a buyer should consider as the home buying process is begun. The fact that a home is a "good buy" or is "so beautiful" can never cure the ills of being in an undesirable area. Most buyers should consider neighborhood factors like schools, distance from work, distance to shopping or hospitals, general appearance and relative affordability before running out to start "looking inside" various homes for sale. The worst thing a buyer can do is "Fall in Love" with a home in an unsuitable or unaffordable area.
5. You have to be Realistic About Needs and Wants
· There is no reason that a home search should take more than a week in a normal market. But, everyone has heard about someone who looked at over 500 homes during the course of 18 months utilizing the services of 5 RealtorsÒ before finally finding that "just right" home. This only happens when the buyer has not come to terms with what they really need, want and can afford to buy.
· Everyone needs and wants enough bedrooms and bathrooms to serve their family adequately. Everyone needs and wants a nice kitchen, comfortable living area, and sufficient storage. Everyone would like the home to be in relatively good condition. But, the buyer who just can't live without the three car garage, the brand new A/C & heating system, and the special oversized game room is usually in for great disappointment.
6. You have to Make the Right Offer
· Once the Buyer's Agent is hired, loan is approved, neighborhood is determined and the home is selected an offer has to be made. It needs to be the right offer. To be successful the buyer should listen closely to the advice of the Buyer's Agent.
· A rule of thumb is that a too low first offer usually results in the buyer either losing the home or ultimately paying more than he should for the home. Why? Among other factors, a low ball offer puts the seller on the defensive and contaminates the environment needed to result in a Win-Win negotiation. An offer that is too high can also send the wrong signal to the seller, especially when the home was just recently put on the market. A too high offer may not only cost the buyer money but could cause the seller to be less agreeable with other terms and conditions.
7. Get a Home Inspection
· The home looks clean and well maintained so there is no need to check further. Wrong! Most home buyers, even those who have bought and sold many times, are not experts in construction issues, building codes, safety issues and many other items. Home inspectors, usually guided by state regulations, are able to find things of concern that the buyer would otherwise overlook. Since this is likely to be the largest purchase of your lifetime the few hundred dollars spend on a home inspection is always money well spent.
· Does this mean that if an inspector finds things in need of repair that the seller will automatically fix them? No, it does not. Depending upon the specific issues and the terms of the sales contract the buyer may be able to have some things fixed by the seller. Each situation if different and the buyer should look to his Buyer's Agent for advice on the types of things a seller normally can be expected to repair given the sales contract terms and market conditions at the time.
8. Try to Avoid Midstream Changes
· Nothing is ever constant except change. But, the wise home buyer avoids non-essential changes if at all possible - particularly when it comes to their financial picture.
· A buyer who will utilize mortgage financing should have mortgage pre approval before starting the search process. This pre approval is always subject to financial issues remaining unchanged until closing. Buying a new car, loaning money to a relative, splurging on a vacation, missing a credit card payment, etc., all can be factors that impact the pre approval and jeopardize the buyer's ability to finalize a mortgage loan for the amount desired.
· Similarly, a cash buyer who needs to sell stocks, make IRA withdrawals or otherwise move funds around should do so well before closing and preferably before the search process begins. An unexpected delay of days or weeks while a retirement plan administrator processes your withdrawal could make the difference between buying the home you want or watching someone else buy it.
9. Get a Survey and Title Insurance
· Real estate purchases are among the most complex business transactions that most people ever undertake. There are a multitude of factors to be considered and many things that can go wrong. However, there is no reason to not receive clear title and a property free from encroachments.
· The Survey is a verification of property boundary lines and should display any encroachments or easements. For example, assume you are a buying a home in an older subdivision where many homeowners have added decks, garages and so forth over the years. It is possible that one of your neighbors' additions was not built within his property boundaries but is situated partly on the lot you are purchasing. A survey should reveal this problem before you become the owner.
· Title Insurance is a guarantee that when you purchase real estate there is no one else with any claim to your property. Should someone claim a prior ownership interest subsequent to your purchase of the property the title insurance company is obligated to protect your ownership interest. An alternative to title insurance is something called an Abstract of Title which is a condensed history of all transactions affecting a particular tract of land. Consult your attorney if you are considering an Abstract of Title.
10. You have to be Pro-Active
This may seem to be a given to most people but it is truly amazing how many home buyers think that all they have to do is sign the contract and everything else will magically occur without their participation. The fact is that there are many details that only the buyer can resolve to assure a timely, trouble free purchase and closing. The Buyer's Agent will counsel and assist throughout the process but the buyer will have the best overall result by being fully aware of all aspects of the process and asking as many questions as possible along the way.
· Buying a home is the largest and most important purchase in the lives of most people. However, far too many want to treat it like shopping for new clothes - drop by the mall on your lunch hour, get excited about the suit in the window, put it on your credit card. What may work for your wardrobe is often a disaster with a home purchase.
· The savvy home buyer makes a conscious decision and commitment to buy, plans carefully and deals with financing issues first, allocates adequate time off from work to look, keeps emotions in check, listens to the advice of a professional.
2. Try to Hire a Buyer's Agent to Represent You
· Just a few years ago there was only one type of real estate professional serving the home buying public. They were Seller's Agents or Sub-Agents of the Seller's Agent. Although they worked intimately with the home buyer they were bound by contract to do everything possible to protect the seller and obtain the most favorable price and terms for the seller. The problem was that most buyers were unaware of this situation - they thought the agent was working for them.
· Today, home buyers can and should be represented by their own agent - A Buyer's Agent - who is bound by contract to do everything possible to protect the buyer's interests. Only with a Buyer's Agent can the buyer be assured of getting the best service and counseling thorough out the buying process. To be represented by a Buyer's Agent normally requires a written agreement. Visit the Buyer's Page for further information on how to choose a Buyers' Agent
3. Try to Get Pre-Approved For Financing money.
· When a home seller receives an offer to purchase there are two primary factors that are always considered immediately - How much is the offer; and, does the buyer really have the money? After all, a seller has no way to know who you are or how reliable you may be. In every case a seller is more willing to negotiate price and/or other terms if the availability of the money is assured.
· When a home buyer makes the effort up front to get pre-approved for financing it does two things - Establishes exactly how much home you can afford; and, puts you in the strongest possible negotiating position with all home sellers. See our Mortgage Tips and Links for more info.
4. Choose the Neighborhood or friend
· After arranging financing, the infamous "location" issue is the next thing a buyer should consider as the home buying process is begun. The fact that a home is a "good buy" or is "so beautiful" can never cure the ills of being in an undesirable area. Most buyers should consider neighborhood factors like schools, distance from work, distance to shopping or hospitals, general appearance and relative affordability before running out to start "looking inside" various homes for sale. The worst thing a buyer can do is "Fall in Love" with a home in an unsuitable or unaffordable area.
5. You have to be Realistic About Needs and Wants
· There is no reason that a home search should take more than a week in a normal market. But, everyone has heard about someone who looked at over 500 homes during the course of 18 months utilizing the services of 5 RealtorsÒ before finally finding that "just right" home. This only happens when the buyer has not come to terms with what they really need, want and can afford to buy.
· Everyone needs and wants enough bedrooms and bathrooms to serve their family adequately. Everyone needs and wants a nice kitchen, comfortable living area, and sufficient storage. Everyone would like the home to be in relatively good condition. But, the buyer who just can't live without the three car garage, the brand new A/C & heating system, and the special oversized game room is usually in for great disappointment.
6. You have to Make the Right Offer
· Once the Buyer's Agent is hired, loan is approved, neighborhood is determined and the home is selected an offer has to be made. It needs to be the right offer. To be successful the buyer should listen closely to the advice of the Buyer's Agent.
· A rule of thumb is that a too low first offer usually results in the buyer either losing the home or ultimately paying more than he should for the home. Why? Among other factors, a low ball offer puts the seller on the defensive and contaminates the environment needed to result in a Win-Win negotiation. An offer that is too high can also send the wrong signal to the seller, especially when the home was just recently put on the market. A too high offer may not only cost the buyer money but could cause the seller to be less agreeable with other terms and conditions.
7. Get a Home Inspection
· The home looks clean and well maintained so there is no need to check further. Wrong! Most home buyers, even those who have bought and sold many times, are not experts in construction issues, building codes, safety issues and many other items. Home inspectors, usually guided by state regulations, are able to find things of concern that the buyer would otherwise overlook. Since this is likely to be the largest purchase of your lifetime the few hundred dollars spend on a home inspection is always money well spent.
· Does this mean that if an inspector finds things in need of repair that the seller will automatically fix them? No, it does not. Depending upon the specific issues and the terms of the sales contract the buyer may be able to have some things fixed by the seller. Each situation if different and the buyer should look to his Buyer's Agent for advice on the types of things a seller normally can be expected to repair given the sales contract terms and market conditions at the time.
8. Try to Avoid Midstream Changes
· Nothing is ever constant except change. But, the wise home buyer avoids non-essential changes if at all possible - particularly when it comes to their financial picture.
· A buyer who will utilize mortgage financing should have mortgage pre approval before starting the search process. This pre approval is always subject to financial issues remaining unchanged until closing. Buying a new car, loaning money to a relative, splurging on a vacation, missing a credit card payment, etc., all can be factors that impact the pre approval and jeopardize the buyer's ability to finalize a mortgage loan for the amount desired.
· Similarly, a cash buyer who needs to sell stocks, make IRA withdrawals or otherwise move funds around should do so well before closing and preferably before the search process begins. An unexpected delay of days or weeks while a retirement plan administrator processes your withdrawal could make the difference between buying the home you want or watching someone else buy it.
9. Get a Survey and Title Insurance
· Real estate purchases are among the most complex business transactions that most people ever undertake. There are a multitude of factors to be considered and many things that can go wrong. However, there is no reason to not receive clear title and a property free from encroachments.
· The Survey is a verification of property boundary lines and should display any encroachments or easements. For example, assume you are a buying a home in an older subdivision where many homeowners have added decks, garages and so forth over the years. It is possible that one of your neighbors' additions was not built within his property boundaries but is situated partly on the lot you are purchasing. A survey should reveal this problem before you become the owner.
· Title Insurance is a guarantee that when you purchase real estate there is no one else with any claim to your property. Should someone claim a prior ownership interest subsequent to your purchase of the property the title insurance company is obligated to protect your ownership interest. An alternative to title insurance is something called an Abstract of Title which is a condensed history of all transactions affecting a particular tract of land. Consult your attorney if you are considering an Abstract of Title.
10. You have to be Pro-Active
This may seem to be a given to most people but it is truly amazing how many home buyers think that all they have to do is sign the contract and everything else will magically occur without their participation. The fact is that there are many details that only the buyer can resolve to assure a timely, trouble free purchase and closing. The Buyer's Agent will counsel and assist throughout the process but the buyer will have the best overall result by being fully aware of all aspects of the process and asking as many questions as possible along the way.
Real Estate Business now a days common in Dhaka city. More than thousands of company do this business. There are many renowned companies work is here. Some companies are concord ,Bashundhara group ,BTI , etc Most of the companies are the member of REHAB and some companies now don't get member ship .There are many advantages of these real estate companies such as some people or company have money but no time to build high raised building . So the Real Estate company help them to build up .
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