Pebble Pointe Realty: What you need to know about closing on property

CLOSING COST - GENERALLY

The bundle fees associated with the buying or selling of a home are called "closing costs". Certain fees are automatically assigned to either the buyer or the seller. Other costs are either negotiated / dictated by local custom.

"Your Real Estate Closing" can legally be arranged and conducted by some(not all)
Title Closing Companies OR Real Estate Attorneys. Normally the seller chooses
the Closing Company , because the Seller normallly is the
one paying the Title Insurance for the property.

BUYER CLOSING COSTS

When a buyer applies for a loan, lenders are required to provide them with
a "good faith estimate" of their closing costs. The fees vary according to several
factors, including the type of loan they applied for and the terms of the purchase
agreement. Likewise, some of the closing costs, especially those associated
with the loan application, are actually paid in advance
.

OTHER TYPICAL SELLER CLOSING COSTS ARE
SOME TYPICAL BUYER CLOSING COSTS ARE The Downpayment Loan Fees (points, application fee, credit report) Prepaid Interest Inspection Fees Appraisal AND Survey Mortgage Insurance AND Hazard Insurance Title Insurance (see your closing company for details in your area) Documentary Stamps on the Mortgage Note
SELLER CLOSING COSTS If the seller has not yet paid for the house in full ... the seller's most important closing cost is satisfying the remaining balance of their loan.
Real Estate Broker's Commission Documentary Stamps on the Deed (like sales tax) Title Insurance(see your closing company for details) Property Taxes (prorated) Other Costs That Could Be "Negotiated Between the Buyer and the Seller" Are... Minor Repairs, Home Warrenty, Home Inspection, Appraisal, Survey

At The Date Of The Closing The Buyer And Seller Will Recieve A "HUD STATEMENT" Which Is A Detail Accounting Of "Who Is Paying For What And The Amount".

BE KNOWLEDGEABLE OF CURRENT
REQUIREMENTS AND COSTS

Property and Casualty insurance has become more difficult and expensive for residential as well as commercial properties. Insurance is necessary to secure a mortgage, and lenders require ongoing coverage. Availability and affordability of insurance are critical to home ownership. Increases in insurance premiums are preventing some potential homebuyers from qualifying for a loan to purchase a home. Owners of multifamily properties are facing lender demands for additional" insurance coverage beyond what has been traditionally required. You should talk to several different Insurance Companies to get a good understanding of current conditions and costs.

HERE ARE SOME TIPS ON "DEADLY MISTAKES" THAT
CAN GET YOU STARTED OUT "WRONG" !

NOT PREPARING YOUR HOME FOR THAT
"BUYER FIRST IMPRESSION"
Curb appeal can make a potential buyer want to "GO INSIDE" for a further look or "NOT". It can make a huge difference in your final price you get for your home.

Remember that even though people are different, expectations can be the same. In other words, a prospective buyer would probably like to see a "perfect" home when they see your home. To you it may be perfect, but take the time to analyze it from a buyer's eyes
FORGETTING TO TELL YOUR AGENT ABOUT THE

" PROPERTY, HEALTH OR SAFETY ISSUES"
Be upfront and Disclose any problems because eventually there will be an inspection and it is better to let it be in the open from the beginning. There are alot of enviromental issues that the seller has to disclose to the buyer. Like any knowledge of existing problems such as existence of mold, lead-based paint, asbestos or radon gas ... etc.

BEING HOME WHEN YOUR HOME IS BEING SHOWN TO BUYERS
Most buyers feel more comfortable if the seller is not present. If someone "unaccompanied by an agent" requests to see your property ... you should "refer them to your real-estate agent for an appointment".
NOT KNOWING HOW TO PRICE YOUR HOME TO SELL
Putting it on the market for sale with the correct price can be challenging ! The assistance of a "Professional Agent " can more than pay for itself for this task. Listing your home at a price "Too High" can leave out many buyers looking in the price range of what it really should be listed at in regards to the market and what is actually selling at that point in time. Chances are buyers won't even look at it let alone put in an offer, and by the time you realize this, and correct the price, the buyers have been looking at other properly priced homes and perhaps even put in offers ... leaving yours still on the market. A well trained Agent will know the market trends often even more than appraisers who typically focus on value of property being sold ... right now.
NOT PLANNING YOUR "MOVE OUT" EARLY ENOUGHNot planning your moving details soon enough can make it an overwhelming task by the time you close the sale of the house and must be out.

First Time Buyer... yes/no

Meet with a mortgage brokerage or bank and find out how much you can afford to pay for a home.

Get "Pre-Approved" rather than "Pre-Qualified". "Pre-Approved" for a particular amount means paperwork details were acutally "verified".

Make a list of your needs, then add "wants or would like to have" to the list.

Make contact with a real estate agent, preferably a Agent who can assist you in finding the type of property you want. Working with only "One" AGENT will save you alot of time and he/she will actually be "on the look out" for when they see property coming on the market that might be what you are looking for.

Make a file and make notes on each property the things you liked and disliked about the property.

When you see a property, look beyond the furnishing , etc. Keep focused on if it fits your needs or not.

Ask to see a property several times if it is of interest. You may see good or not so good things the second time. Of course once you put an offer in and it is accepted, you will do what we call a final walk through the day before closing to make sure everything is as it should be.

REMEMBER ... You still need to get an inspection by a professional as soon as possible after you have an agreeable sales contract signed by you and the seller ... talk to your Agent.

Having a Professional Agent represent you will help you keep track of all the details and make it not so overwhelming. They will always be available to answer questions or offer their assistance in making purchasing your home a happy experience.

CLOSING COST - GENERALLY

SOME TYPICAL BUYER CLOSING COSTS ARE

SELLER CLOSING COSTS