Home Buying Guide
Choosing a Realtor®
the decisions you'll face when buying a home, there's none
more important than the person you choose to represent
The job of your Sales Associate is to support you
in finding the right home with the best possible terms, and to
aid you through the entire process. Your Sales Associate will
explain the process of buying a home, and familiarize you with
the various activities, documents and procedures that you will
experience throughout thetransaction.
Selecting A Realtor
Your Real Estate Professional
- Knowledgeable about the communities of interest to you.
- Aware of the complicated local and state requirements
affecting your transaction.
- Effective in multi-party, face-to-face negotiations.
- Highly-trained, with access to programs for continued
learning and additional certifications.
- Supported by professional legal
Most real estate
professionals and mortgage lenders recommend pre-qualifying
for a loan before selecting a home to purchase. This process
will help you:
- Determine the price range you can afford.
- Understand the types of loans you qualify for.
- Determine what your monthly payment will be.
- Estimate the down payment and closing
The Loan Process
Associate will help you to select a mortgage lender. Once you
have made your decision, these are the steps of the
Application - All pertinent
documentation is obtained. Fees and down payments are
discussed, and the borrower will receive a Good Faith Estimate
(GFE) and a Truth-in-lending statement (TIL), itemizing the
rates and associated costs for the loan.
You will be
asked to provide certain documents to your lender in order
that your loan can be processed in a timely
Loan Submission - Once all the necessary
documentation is in, your completed file is submitted to a
lender for approval.
(Underwriting) - Loan approval, or underwriting, generally
takes 24 to 72 hours. All parties are notified of the approval
and any loan conditions that must be received before the loan
Closing - Once all parties have
signed the loan documents, they are returned to the lender. If
all the forms have been properly executed, the lender sends
the loan funds by wire transfer. At this point, the borrower
finishes the loan process and actually buys the
Finding and Choosing
the Right Home
Based on criteria that you and
your Sales Associate establish together, your Associate will
help you find the perfect home. There are many factors to
consider in selecting a property, including location, bedroom
and bath count, schools and amenities.
Associate will apply their extensive community knowledge and
professional resources to research available properties, and
show you the homes that best meet your needs. If you find a
property that interests you through the Internet or your own
research, let your Sales Associate know so that a showing can
As you view different properties, your
criteria may change. Open and direct communication with your
Sales Associate is a key element of a successful property
Once you have found the home that you wish
to purchase, your Sales Associate will apply their
professional training and do all the necessary research to
help you structure an effective offer.
This is where
your Sales Associate's negotiation skills come into play. When
an offer is made, the seller will have the option of
accepting, rejecting or counter-offering. Your Sales Associate
will negotiate the best possible terms for you.
Sales Associate will draft the purchase agreement, advising
you of protective contingencies, customary practices, and
local regulations. Home warranty, title and escrow
arrangements will be detailed in the offer. Although your
Sales Associate will give you advice and information, it is
your decision as to the exact price and terms that you wish to
When the purchase agreement is accepted
and signed by all parties, your Sales Associate will open
escrow for you and your earnest money will be deposited. The
escrow is a neutral third party that will receive, hold, and
distribute all funds associated with your
to closing escrow, all of the contingencies of the Purchase
Agreement must be met. Your Sales Associate will coordinate
this process. Typical contingencies include:
- Approval of the Seller’s Property Disclosure Statement.
- Approval of the preliminary title report.
- Loan approval, including an appraisal of the property.
- Physical inspections of the property.
- Pest inspection and certification.
- Acquisition of homeowner's insurance.
Closing Escrow and Moving
When all of the conditions of the purchase
agreement have been met, you will sign your loan documents and
closing papers. You will deposit the balance of your down
payment and closing costs to escrow, and your lender will
deposit the balance of the purchase price. The deed will then
be recorded at the County Recorder's office and youwill take
ownership of your home.
Your Sales Associate is a
valuable source of helpful tips for planning and coordinating