Step by Step Guide to Buying

It is therefore vital to urge educated on the important real estate method and trade. we have a tendency to area unit talking concerning one in every of the most important investments of most people’s lives; a bit time to empower yourself can go a really ways. There area unit many resources you’ll be able to address for data.

The Internet – The internet is truly the information database. If it isn’t on the internet, it probably doesn’t exist.

Libraries or Bookstores – There area unit thousands of books written on property. If you’re still hungry for data, stop by your native library or favorite shop. try and follow one thing that’s touching on the country or space you reside in, because the laws and procedures is dramatically completely different.

Schedule a Meeting with your real estate agent – It is so important that you understand how the current real estate market will affect your particular situation.

After selecting your real estate agent, you will want to schedule a sit down meeting. At this time you can officially meet your realtor

You don’t wish to skip this step. it’ll be just about not possible to properly represent you while not having really Saturday all the way down to discuss things, as they suit your distinctive state of affairs. the important real estate market is consistently dynamical and you need to remember of wherever you stand. Once you’ve got assessed your state of affairs, this is often wherever you’ll categorical your goals associated confirm an applicable action set up therefore you’ll be able to with confidence move forward.

There are multiple options when it comes to financing, but you should have a good idea of how you will purchase your next home before you get too committed to looking. There are three main sources of financing

Traditional Banks – If you already have a great transactions with your current bank, this is a good option. Usually you will be able to get pretty good terms on your mortgage.

Mortgage Brokers – They have the most options. They can use most of the major banks, plus many other lenders. They will be your best bet to truly finding the best option for your particular situation.

Creative Financing – The options here are endless and are great for investing, or if you cannot access a mortgage through the banks or mortgage brokers.

Now this can be once most of the joy very starts to happen. You already apprehend the kind of home you are looking for and also the value you’ll be able to afford. A property search can got to be found out to send word you (typically via email) once a brand new property enters the market that matches your criteria. Once you have got known some potential properties, it is time to hit the pavement.

This is wherever you actually need to stay the goal you set throughout the initial meeting prime of mind; it’ll create this method an entire ton easier, to not mention less trying. throughout your showings, if you visit a property that won’t inline along with your goal, it’s straightforward simply to erase it from your mind. However, if it’s inline, you’ll be able to simply add it to your rank or maybe write a suggestion. Quickly distinguishing a property that is inline along with your goal can prevent the headache of viewing many homes and obtaining discouraged.

Once you have found a home that will suit your requirements, the next step is to prepare and present an offer. There are several steps that have to be taken when you write your offer

Property Research – This is where you find the selling history of the home and the price is relative to the market. To do this, an assessment of the current homes on the market and properties which have recently sold will have to be done.

Terms – Contract terms, these are the items that are agreed to and will be upheld, otherwise there is a breach of contract. In addition to the standard terms that will be reviewed with you when preparing the offer, you can add in whatever else you need to, however, these are open for discussion.

Conditions – Typical conditions are for a home inspection, or for the buyer to be approved for financing. The buyer or seller is then given a few days to fulfill the conditions (typically 7 to 10). This is what it is meant by a property status that is listed as pending (P) or conditionally sold (C/S). If something happens where either the buyer or seller are not satisfied with the results of their trying to satisfy their conditions, then they may walk away from the contract at no cost and with no further obligation (deposit cheques are returned). Conditions are most commonly for the buyer, but you may have a seller’s condition as well.

Deposits – In order to write an offer, you will need a cheque and some available money for a deposit. This is initially a show of good faith in a transaction and is fully refundable if the conditions on the purchase are not removed. After the conditions are satisfied and removed in writing, the deposit becomes the seller’s security that you will complete the purchase (non refundable).

Price – There are only two things that are negotiable in a real estate transaction, price and terms. Once you know what terms and conditions you would like on the contract, and have completed your property research, you can now effectively determine the appropriate offer price. We will not be discussing negotiating strategy here, but remember this: What unique way can we meet the seller’s needs and still achieve our goals. This isn’t always strictly involving price.

The Offer Presentation and Acceptance steps – After the offer is written and signed, it is the agent’s job to present the offer to the seller. This will typically happen one of two ways.

First, if the seller is available, the offer can be presented in person or directly to the owner of the home. The listing agent will be there to represent their client, however this is a good opportunity to meet the seller and present your case in person.
An alternative method is by faxing the offer. This means that you will need to be accessible by phone for negotiations to occur. Once a counter offer is received, or the offer is accepted, all parties will now need to sign the documents.

Once the offer is accepted, it is time to proceed with satisfying your conditions. This process usually involves arranging and performing a home inspection, getting all your personal information and the property information to your mortgage broker or bank, or simply doing research to gather whatever information is required. As real estate professionals, we play a huge role in gathering this information and making the necessary arrangements to ensure the process continues to run smoothly.

After the necessary information is verified, a decision to proceed is made, and the appropriate written notice is provided to the seller and their agent. Once the conditions are removed, the sale is considered “firm” and the property will be marked “sold” for advertising purposes.

Typical possessions are 30 – 60 days, however they may be quicker. The following items completed as fast as possible for possession:

Lawyers – it is now mandatory that we know who will be handling the transaction. Once you have a lawyer chosen, they will need all the required paperwork prior to you meeting with them. This is usually handled by your agent to ensure they get absolutely everything they need. You will be meeting with the lawyer about a week before you take possession and will need to provide your insurance information, the balance of your down payment, payment of fees, payment of any adjustments or taxes, sign documents, and finalize anything else that is required before you own the home.

Down Payment – If your down payment is not readily available, make the necessary arrangements to obtain it. You may need to transfer money, cash in bonds/stocks, or move money in another way. It is important to note that liquidating certain assets can take upwards of 30 days, be sure to consult your Bank or Mortgage Broker about this.

Movers – If you are using professional movers, book early. Possession dates commonly fall on the 1st, 30th, or 15th of the month. Movers fill up their schedule very fast, so call ahead and make the arrangements early.

Insurance – When you actually meet with the lawyer they will ask to see a copy of your insurance, as it is a requirement of the mortgage. No insurance, no money. This step usually involves a simple phone call and/ or a lengthy survey. Have a copy of the listing available with all of the specifications of the home on it. Be prepared to answer questions regarding the age of the house, furnace, electrical system and roof, as well as general questions regarding square footage and the features.

Utilities – When you take possession of your new home it is very important to change your utilities over to your address in advance. This includes your phone, cable, internet, power, water, and gas services. Also, don’t forget to cancel the utilities at your previous residence.

Mailing Address – This is the least favorite of all the steps, but it is a necessary. Gather all of your bills, statements, tax information, healthcare information, anything you make automatic payments on, any subscriptions, any clubs or organizations in which you belong, etc. Sit down and make a big list of these things early. Then pick up the phone and begin giving out your new mailing address and the date you will be taking possession or moving in. You might also want to have your mail forwarded, through the post office, for anything you may have missed.

On the possession day you will need to meet with us at the property at least a half hour before for a complete walk through of the home. At this time, we can look around the home and make sure that everything is as it was agreed to be in the contract. The typical things to look for is damage from moving, and things that don’t work when it was agreed upon that they would.

By walking through the property, we can notify the lawyers of any problems before the keys officially change hands. If there is a problem, keys will still change hands, however, the seller will be responsible to take reasonable action to remedy the problem or be in breach of the contract and the buyer can then pursue legal remedies accordingly.

After you take possession, the transaction is complete. But, questions may still arise after the fact. Who should I contact about this? Or what should I do about that? After a few days in the property you will receive a follow up call to ensure things are in order. Write down your questions so you will be prepared for the follow up call.