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 Precision Realty 2600 Berlin Turnpike Newington, CT 06111 Bus: 860-665-0850 Fax: 860-665-9868
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Precision Realty 2600 Berlin Turnpike Newington, CT 06111 Bus: 860-665-0850 Fax: 860-665-9868
Bookmark: |
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I am pleased to work for you as a Buyer Agent. The following discussion is provided so that you may understand more detail about the buying process. |
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Beginning the Process
First, I'll listen to you and try to match your description of
the home you want with the inventory available. You will need
to bear in mind that there is no such thing as the absolutely
perfect home and that finding the right home is a series of choices
and compromises. Most people simply fall in love with a particular
home and decide to purchase it!
An agent can represent the Seller (Seller's
Agent is the most common form of representation), the Buyer (Buyer's
Agent) or both (Dual Agent).
If you will require a mortgage to purchase you new home, you will
need to obtain a prequalification or precommitment letter from
a lending institution. This prequalification or precommitment
letter is an important element in any future negotiation
and makes you a strong bidder in case there is a competing offer
on the home you select.
The Offer
Once you have decided on a home, I will help you fill
out an offer form. This is a legal document and sets the terms
and conditions under which you will buy the home. There is a small
deposit required (usually $1,000) which is totally refundable
if your offer is not accepted exactly as you have written it.
Occasionally the Seller will make a counter to your offer. we will relay the counteroffer to you and you will decide whether
or not to:
(a) Accept it
(b) Reject it
or
(c) Modify it.
All decisions about all aspects of the contract are yours to make.
I may have advice or recommendations for you to consider,
but you are free to make your own decisions.
Home Inspections
Once your offer has been accepted by the Seller, you may want
to engage a licensed home inspector to check the condition of the home
you are buying. It is
a good idea to be present at the inspection so that you may ask
questions and become familiar with the systems in your new home.
If there is a septic system, the Seller will usually provide you
with a Certificate of Compliance showing that the system is functioning
properly. If there is a serious structural or health issue, we
may need to renegotiate the terms of your offer.
Purchase and Sales Agreement
After the inspections are completed and accepted, we turn our
attention to the Purchase and Sales Agreement. Many buyers engage
an attorney to advise them on this complex document. The Purchase
and Sales Agreement is a legally binding document which sets the
final terms under which you will purchase the home and the Seller
will sell the home. A deposit, usually 1% of the purchase price,
is put into escrow when this document is signed. This money cannot
be released by the escrow agent until your closing or until Buyer
and Seller agree in writing to the release. Once the P & S is
signed, there are usually no further issues remaining except for
a mortgage approval by your lending institution.
The Mortgage
Once you have decided on a lender be sure to watch the dates.
You are responsible for submitting your application on time (you
can submit more than one if you wish) and will need to have a
commitment letter by the date specified in the P& S. Your lender
will order an appraisal and a survey of the boundaries of the
property. When you receive your commitment letter from your lender,
sign it and return it. Make sure you understand and act on any
conditions, and mail or fax a copy to me so that we can notify the Seller that you have met the final condition
of the P & S.
Insurance and Miscellaneous
Now it is time to arrange for your homeowner's insurance. Also,
you need to notify the telephone company and utility companies so
that the service will be changed to your name. If your new home
is heated by oil, you need to decide whether or not you would
like the Seller to have the oil tank filled (you can make the
financial adjustment at closing).
Closing
Many buyers elect to walk through the property just before closing.
At the closing you will need:
(1) Your Homeowner's Insurance policy with a paid receipt
(2) A bank check for any amount due above the escrow money (the closing attorney will tell you the amount a couple of days ahead)
(3) Your regular checkbook in the event of some last minute details such as the oil adjustment.
CONGRATULATIONS!
Questions Frequently Asked by Buyers
1. Should I offer low and expect to negotiate the price?
At this time homes in the area are selling for 95-98% of asking price. Offering too low may offend the Seller and he may reject your offer with no opportunity for negotiation. On the other hand, many agents recommend that your initial offer have some room for negotiation, either on prices or dates or other terms.
2. How do I determine a fair price for the home?
After a little "shopping around," you will be able to accurately determine which homes are priced correctly and which homes are overpriced or are bargains.
3. Should I wait to see if something better comes along?
We can't accurately predict the future and we don't know if the perfect home will ever appear. Furthermore, we can't predict the interest rates, and a slight movement upward in the interest rates may end up costing you thousands of dollars.
4. How much do all these inspections cost?
Home Inspectors are independent contractors and their rates vary on an individual basis. Some home inspectors will only check the structural integrity of the home, while other inspectors also check for insects, water quality, radon, etc. You should always ask the inspector which inspections are included. Rates can be as low as $350. and as high as $900.
