The Following Are Steps To The Home Buying Process:
Finances First:
Most home buyers find that they need to finance at least part of their home purchase. So, in many respects, owning your dream home hinges on your ability to get the financing you need, in the price range you can afford.
Pre-approval:
Pre-approval is not the same as pre-qualification. Pre-qualification is an estimate of how much you can afford in a mortgage payments. It is based upon information provided by you, which will later be subject to the approval process and additional information, including a credit report, appraisal and income verification.
Pre-approval is a firmer commitment on behalf of the mortgage company. Obtaining pre-approval is a more formal process that includes a credit check and employment verification. The mortgage company does all the work during this process similar to a full approval minus the appraisal and title search.
Finding The Perfect Home:
Once you, your family and I have done research on the home that you would like to purchase (see "selecting your new home" link), I will schedule appointments to view the homes that best meet your criteria.
Negotiating A Contract:
Now that we have found your perfect home, we will sit down to work up an offer (contract). There are three possible scenarios that can arise while negotiating an offer with the seller. The seller can accept your offer, reject your offer or counter your offer. It is not uncommon for negotiations to go back and forth several times before both parties agree to the terms of the contract.
Signed Contract:
Once we have negotiated the contract successfully my job is to take the necessary steps to ensure a smooth and successful closing: 1) Order Title Insurance; 2) hire a professional home inspector; and 3) order an appraisal.
Title Insurance:
Siimply explained "title" is the right to own, possess, use, control and dispose of property. When you buy a home you are actually buying the seller's title to the home. A deed is the written legal evidence that the seller has conveyed his or her ownership rights to you. Title insurance is the best way to protect yourself against title defects that have occurred in the past, which may not appear until after you have taken ownership.
Home Inspection:
The goal of a home inspection is to give the client a better understanding of the physcial condition of the structure and the systems than would otherwise be known. Typical homes take 2-3 hours to inspect.
Additional inspections not included in a standard home inspection include: pools, spas, barns, wood destroying insects, sprinkler systems, fences, water, radon, lead and asbestos.
The Appraisal:
An appraisal is an estimate of the value of a property, made by a qualified professional. The appraisal is a critical factor in determining the size of the loan the bank or mortgage company will approve. The lender usually hires the appraiser and charges the buyer a fee for the service.
Closing:
Closing is the legal transfer of ownership of the home from seller to buyer. One or two days before closing, the closing agent will provide you with a Settlement Statement or a HUD-1. These documents will contain a detailed description of all costs associated with the transaction, including the dollar amount you will need to bring to closing.
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Welcome to the Home Buyers section, assisting buyers looking for real estate or homes for sale in the Triangle Area. Buying a home is one of the biggest investments you may ever make financially. While it is a major commitment and responsibility, it can also be a thrilling experience and a very exciting time in your life.
Buying a new home can sometimes seem like a daunting process, but we want to assure you that our goal is to make that process as easy, carefree, and rewarding as possible.
As you embark on your mission of finding the "perfect home", remember that we are with you every step of the way - We are on your team! |
Why should you buy a home now? Interest rates are at historic lows – making home buying even more affordable for more individuals Housing inventories are up, giving buyers abundant choices and expanded negotiation leverage At the same time, the Triangle Area is one of the most stable real estate markets in terms of home appreciation values – steady increases versus wide swings
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What Home Is The Right Home?
How will you know when you see the house of your dreams? A common reply is always "I'll know it when I see it"! However, if you logically analyze your needs ahead of time, you'll be better equipped to make an educated decision when you have an emotional response to a house that you see. The questions below will help you determine and prioritize which characteristics are most important in your new home.
Geography:
Will you be looking in urban, suburban, semi-rural or rural areas?
Do you prefer natural features like woods, hills and lowland?
How will you be commuting to work?
How long will your commute be?
Surrounding Areas:
Is there a central commercial district?
Are there any shopping malls?
Are there any supermarkets?
Are there any drug stores?
Neighborhood Focus:
What is the general apppearance?
Are the homes maintained?
How far apart are the homes?
Are vehicles primarily parked in garages and driveways, or on the street?
Are emergency personnel such as fire and police close by?
How close is the nearest hospital?
How do children primarily get to school?
What type of sports programs and clubs are offered?
Community Involvement:
Do the neighbors socialize regularly?
Is there a Home Owner's Association? How active are they in the community?
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Buying Services for the Raleigh Area Home Buyers
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Below, select desired reports and complete the form provided.
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You have not selected any of the above reports.
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Interest Rate
The monthly effective rate paid (or received if you are a creditor) on borrowed money. Expressed as a percentage of the sum borrowed.
MLS- IDX
IDX, or broker reciprocity, is a listing sharing arrangement between brokers within a Mulitple Listing Service.
Market Value
An asset's market value is the price it would fetch in the market, if it were sold in the current marketplace.
Title Insurance
A type of insurance which guarantees the ownership and quality of title to land.
Appraisal
An educated estimate of the value of a property on a certain date given by a person, usually after an inspection of the property.
As is
Implied in most Agreements of Purchase and Sale, suggests the buyer is accepting the property in it present state and relinquishes and responsibility from the buyer.
Bankruptcy
a) A person who has done any of the acts that by law entitle his creditors to have his estate administered for their benefit; b) a person judicially declared subject to having his estate administered under the bankrupt laws for the benefit of his creditors; c) a person who becomes insolvent.
Bid
To offer (a price) whether for payment or acceptance.
Property Tax
A tax levied on real or personal property
Interest Rate
The percentage usually on an annual basis that is paid for the use of money borrowed from another
Home Loan
a) Money lent at interest; b) something lent usually for the borrower's temporary use.
Credit Risk
An estimate of the amount of credit that can be extended to a company or person without undue risk.
Credit Union
A cooperative organization that makes loans to its members at low interest rates.
Prime Rate
The lowest rate of interest on bank loans at a given time and place, offered to preferred borrowers.
ARM
A mortgage whose interest rate is raised or lowered at periodic intervals according to the prevailing interest rates in the market.
Home Equity Loan
A loan or credit line that is secured by the equity the borrower has in a home.
Mortgage
A temporary, conditional pledge of property to a creditor as security for performance of an obligation or repayment of a debt. |
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