PREPARING TO BUY:

Before You Start Shopping for Your Property, It’s Important to Make Some Key Preparations. Build Your Green File.

Your “green file” should contain all the essential financial documents you’ll need to secure financing for your property. A typical green file includes:

• Financial statements
• Bank account details
• Investment records
• Credit card statements
• Auto loan documents
• Recent pay stubs
• Tax returns for the past two years
• Copies of leases for investment properties
• 401K statements, life insurance policies, stocks, bonds, and mutual fund information

CHECK YOUR CREDIT RATING:

Your credit score plays a crucial role in determining the type of property you can purchase and the price range you’re eligible for. price range you’re eligible for.

Start by checking your credit rating with a reputable lending institution to assess what you can afford.

The lender will review your credit ratings from the three major credit reporting agencies—Equifax, Experian, and TransUnion. reporting agencies—Equifax, Experian, and TransUnion. We can recommend experienced and knowledgeable lenders specializing in residential, construction, commercial, and investment sale team to guide you through this process.

Be Careful With Your Finances:

Now is not the time to make sudden career changes or large purchases. It’s essential to approach your property purchase from a position of financial stability.

CHOOSE A SALE AGENT:

Buying a property involves making crucial financial decisions, understanding complex issues, and completing a significant amount of paperwork. Having an expert by your side can make this large purchase much smoother. We’re here to guide you through every step of the process and offer you access to exclusive property listings before they hit the general market.

When choosing your sales agent, consider the following factors:

• Look for a full-time agent who has experience handling transactions similar to yours.

Their expertise is key to a successful outcome.

• Interview a few agents to ensure they are familiar with the area you’re interested in.

Local knowledge can make a significant difference in finding the right property.

• Ask about their availability. It’s important to know how much time the agent can dedicate to you and if they are available during evenings and weekends.
• Check their credentials and education. A good agent will continuously strive to improve their knowledge of the latest sale team trends and hold top designations in their areas of expertise.
• Does the agent return your calls promptly? In sale team, time is money. An agent who is responsive can help you secure the best opportunities.
• Request a list of properties they’ve sold or a list of references. This can provide insight into their experience and success rate.

Choose an agent who listens attentively to your needs and concerns. It’s essential to work with someone you feel comfortable with and who genuinely understands your goals.

TIME TO GO SHOPPING:

BUYERS

Once those preparations are out of the way, it is time to find the right property for you.   Take a Drive. Get to know the neighborhoods, complexes, or subdivisions, which interest you. Drive around and get a feel for what it would be like to own a property in the area.   Start getting a sense of the properties available in those areas.  Narrow Your Search. Select a few properties that interest you the most and have your sale team agent make appointments to visit them. Ask your sale team agent about the potential long term resale value of the properties you are considering. Time to Buy. Once you have picked out the property you want to purchase, your sales agent can help you make an offer that the seller will accept. A good agent will investigate the potential costs and expenses associated with the new property. An agent can also help you draft your offer in a way that gives you the advantage over another offer.

The Process

Step-by-Step

The Initial Agreement and Deposit:

An effective agreement is a legal arrangement between a potential purchaser and the property’s seller.

Some important tips to keep in mind to streamline the process:

• Keep written records of everything. For the sake of clarity, it will be extremely useful to transcribe all verbal agreements including counter-offers and addendums and to convert them into written agreements to be signed by both parties. We will assist you in drafting all the paperwork for your purchase and make sure that you have copies of everything.
• Stick to the schedule. Now that you have chosen

your offer, you and the seller will be given a timeline to mark every stage in the process of closing the contract. Meeting the requirements on time ensures a smoother flow of negotiations so that each party involved is not in breach of their agreements. During the process we will keep you constantly updated, so you will always be prepared for the next step.

The Closing Agent:

Either a title company or an attorney will be selected as a closing agent.  The closing agent will hold the deposit in escrow and will research the complete recorded history of the property to ensure that the title is free and clear of encumbrances by the date of closing and that all new encumbrances are properly added to the title. Some properties are subject to restrictions which limit various activities such as building or parking restrictions. There may be recorded easements and encroachments, which limit the rights to use your property.

How to Hold Title:

You may wish to consult an attorney or tax advisor on the best way to hold title.  Different methods of holding title have different legal, estate and tax implications, especially when selling or upon death of the title holder.

Inspections:

Once your offer is accepted by the seller, you will need to have a licensed property inspector inspect the property within the time frame that was agreed upon in the effective contract to purchase. You may elect to have different inspectors inspect the property, if you wish to obtain professional opinions from inspectors who specialize in a specific area

(eg. roof, HVAC, structure). We can recommend several different inspectors.

Depending on the outcome of these inspections, one of two things may happen:

1. Either each milestone is successfully closed and the contingencies will be removed, bringing you one step closer to the final closing date.
2. After reviewing the property and the papers, the Buyer requests a renegotiation of the terms of contract (usually the price).

Appraisal and Lending:

It is imperative that you keep in close communication with your lender, who will let you know when additional documents are needed to approve your loan application and fund your loan. If the agreement is conditional upon financing, then the property will be appraised by a licensed appraiser to determine the value for the lending institution, via a third party. This is done so that the lending institution can confirm their investment in your property is accurate. Appraisers are specialists in determining the value of properties, based on a combination of square footage measurements, building costs, recent sales of comparable properties, operating income, etc. When you are within two weeks of closing, double check with your lender to be sure the loan will go through smoothly and on time.

Association Approval:

If the property that you are purchasing is conditional upon an association approval, request the rules, regulations, and other important documents from the seller as soon as you have an effective agreement to purchase.  Make sure that the application documents and processing fees are submitted to the appropriate person at the association by the required time. Fill out all of the information completely and legibly so there is no delay in processing the application. If you are required to meet with the association for your approval, make an appointment as soon as possible for the interview. Most associations require a certificate of approval before move-in. Your closing agent will request that the original copy of this approval letter be brought to the closing, so that it can be recorded with the deed in the county public records.

Property Insurance:

If you are obtaining a loan, you will be required by your lender to purchase a certain amount of insurance on the property. The value will depend on the lending institution and the purchase price of the property. You may be able to save hundreds of dollars a year on homeowners insurance by shopping around for insurance. You can also save money with these tips.

• Consider a higher deductible. Increasing your deductible by just a few hundred dollars can make a big difference in your premium.
• Ask your insurance agent about discounts. You may be able get a lower premium if your home has safety features such as dead-bolt locks, smoke detectors, an alarm system, storm shutters or fire-retardant roofing materials. Persons over 55 years of age or long-term customers may also be offered discounts.
• Insure your house NOT the land under it. After a disaster, the land is still there. If you do not subtract the value of the land when deciding how much homeowner’s insurance to buy, you will pay more than you should.
• We will be happy to recommend experienced knowledgeable insurance agents for every property type.

MOVING IN

Closing Day: Final Steps Before Ownership

You’re almost at the finish line, but before you celebrate, make sure to address these final details: Final Walk-Through Inspection

• Timing: The final walk-through usually occurs the day before or the day of closing.
• Purpose: This is to confirm that the property is in the agreed-upon condition.
• Check that all systems are functioning, no new damages have occurred, and that everything included in the sale is still present Also, ensure that the seller hasn’t left any unwanted items behind.

Home Services and Utilities

• Preparation: We will provide you with a list of essential contact numbers for setting up home services and utilities. Make arrangements to have these services activated as soon as the closing is complete to ensure a smooth transition into your new home.

Be Prepared for Last-Minute Issues

• Unexpected Problems: Even at this late stage, unforeseen issues can arise, such as something breaking down at the property or a minor contractual detail needing attention. Don’t worry —we’re here to help you navigate these hiccups efficiently and with minimal stress.

FINAL STEPS BEFORE OWNERSHIP

Closing Process

• Settlement Statement: The closing agent will present a settlement statement that outlines all financial transactions related to the sale. You, the seller(s), and the closing agent will sign this document to certify its accuracy.
• Financing Documentation: If you’re financing your purchase, be prepared to sign all required loan documents.
• Attendance: If you cannot attend the closing in person, we can arrange alternatives, provided we have adequate notice.
• Bringing Funds: If additional funds are required, you can either wire the money directly to the closing agent’s escrow account or bring a certified bank check for the specified amount.
• Property Handover: The seller will arrange to provide all property keys and any other necessary information at closing, ensuring a smooth handover of your new home.

By carefully following these steps, you’ll ensure a successful and stress-free closing, bringing you one step closer to officially owning your new home.