Congratulations you finally got an offer that was accepted on a new home! Now what can you expect?
1. LOAN PROCESS
You were probably already pre-approved with a lender but now starts the actual loan application process. Double check the rate and terms of the loan. Sometimes the actual rate of the loan could have changed since you were first pre-approved and there is usually a disclaimer on the pre-approval letter from the lender stating such. If you had not already done so this is the time to double check and confirm closing costs and other prepaids.
Check out this article for more information on items that you will need when applying for a mortgage: https://www.yourpropertyman.com/items-you-need-when-applying-for-a-mortgage
And this one on how lenders verify your assets: https://www.yourpropertyman.com/how-lenders-verify-your-assets
Next comes the appraisal and inspection process. The lender will most certainly require an appraisal by a professional that is on their list of approved home value appraisers. The appraisal will be a detailed report on the value of the home. A lender will not give you a loan for more than the appraised value so if the appraised value comes back less than the contract price then you will either have to come up with a bigger down payment to bridge the gap or attempt to renegotiate a lower price. (I always include language in the contract for my clients that will give both parties the right to renegotiate the price in case the appraisal comes in below value.)
I ALWAYS advise my clients to get a home inspection, even if they are paying with cash. A home inspection can prove invaluable as it will often uncover hidden defects unknown to even the seller. It is also wise to get it checked for radon and potential pest issues.
Even if the contract stipulates that seller is not responsible for any repairs, having a home inspection will help you know the potential costs of any repairs and depending on how contract was written allow the potential buyer a legal way out if there are safety issues or the repairs are too exorbitant.
4. MAKE SURE YOUR FUNDS ARE IN ORDER
Make sure the money you need for the down payment, closing costs and other prepaids are in order. At the advice of your loan officer make sure that if you move funds from one account to another it is done in accordance with their guidelines. Keep records of any funds you may move and why. If you are getting a gift from someone to help cover the costs be sure and tell your loan officer so that a "gift letter" can be compiled and recorded. By all means do not take out any new loans or accrue heavy debt on your credit cards as this could affect your final debt to income ratio.
For more information on this subject check out: https://www.yourpropertyman.com/do-not-make-a-major-credit-purchase-during-the-home-buying-process
5. HOMEOWNERS INSURACE
You will want to shop and compare on homeowners insurance policies. Your lender will require proof that it is in place before approving the loan.
6. FINAL WALKTHROUGH
I recommend that my clients do a final walkthrough at least 24-48 hours before closing. This gives you the opportunity to inspect and make sure there have been no additional damages to the house while moving out and allows you the opportunity to note any deficiencies and confirm that any agreed upon repairs have been completed.
It is important that any issues are carefully noted and an agreement is signed by the sellers so that they can be taken care of before closing. In some cases certain small items may be taken care of post closing if agreeable by both parties.
This is the happy day that you sign the mortgage documents and finally get official ownership of the home. Your Realtor should be there with you and possibly the mortgage officer but most definitely your Realtor will be their for moral support and to answer any final questions you may have.
Be sure to bring your identification as well as a cashiers check in the final amount that your loan officer will tell you in advance. Congratulations, you are now a homeowner!
Author:Chris Johnson Phone: 859-382-9398 Dated: July 5th 2022 Views: 91 About Chris: With over 3000 realtors (yes I said 3000!) in the Lexington Bluegrass Market Area, what makes me dif...
View our latest blog posts in your RSS reader. Click here to access.
A word from Chris Russell, CEO of Plum Tree Realty:
"One of my greatest passions is to use our real estate business to help alleviate suffering in this world. So we take proceeds from Plum Tree to help orphans, feed the hungry, heal the sick and hurting, and to aid the homeless ... both in the States and abroad. We are not about "getting rich." We are about making a difference. So when you do business with Plum Tree Realty, you can know that a portion of your money is going toward helping those on this planet who are in need of help. Together we can make a difference!"
To help people realize their dreams in home ownership and real estate investing through the highest levels of broker services at the most affordable prices available.
Our Core Values:
Integrity in every relationship, decision, and transaction.
Truth in word and deed.
Hard work that keeps us ahead of the competition.
Sacrifice of our own interests for the gain of our clients.
Commitment to excellence in every task we perform.
Respect for all people.
Giving to those with whom we work.
Areas of Expertise:
Residential Real Estate Sales and Purchase
Commercial Real Estate Sales, Purchase and Leasing
Real Estate Investing (buying, selling, holding, rehabbing)
Property Management and Leasing
Putting it Together
Plum Tree Realty is a premier real estate marketing company focused on helping buyers and sellers get the highest level of real estate services. We help home owners, for instance, who have homes for sale in Mason, Ohio to price their homes in a competitive way since the market is growing in such a fast rate in that area. When a buyer is looking for West Chester, Ohio real estate for sale, we can guide them to the very best deals that are available, and we can give them expert advice as they make such a huge purchase. We cover all of the major real estate markets of the Greater Cincinnati including the following hot markets:
Cincinnati, OH Real Estate (homes for sale)
West Chester, OH Real Estate (homes for sale)
Madeira, OH Real Estate (homes for sale)
Monroe, OH Real Estate (homes for sale)
Indian Hill, OH Real Estate (homes for sale)
Hyde Park, OH Real Estate (homes for sale)
Blue Ash, OH Real Estate (homes for sale)
Lebanon, OH Real Estate (homes for sale)
Loveland, OH Real Estate (homes for sale)
Fairfield, OH Real Estate (homes for sale)
Hamilton, OH Real Estate (homes for sale)
Liberty Township, OH Real Estate (homes for sale)
Kenwood, OH Real Estate (homes for sale)
Mount Adams, OH Real Estate (homes for sale)
While some people search for homes according to the suburb names, others are very interested in the top school districts in the area such as homes for sale in Mason School District, homes for sale in the Lakota School District, homes for sale in the Wyoming school district, homes for sale in the Sycamore school district, homes for sale in the Monroe School District, and more. Our agents are highly-skilled in placing families in the best school districts in Cincinnati according to the desires of each family involved.
Of course, we also have great skill in helping buyers and investors find foreclosures, short sales, bank owned homes, and other great investment properties in the Greater Cincinnati Metro Area as well. Many of our agents are investors themselves, so they are great at helping other investors be the first one to the "golden egg."
We also have agents who specialize in helping families who are relocating to Cincinnati, Mason, West Chester, Blue Ash, Madeira, and any of the other regions in Southwest Ohio. It's great to have "feet on the ground" when you are looking to make such a move.
Plum Tree Realty has also become quite a favorite company for those who like to try to sell their home as a For Sale By Owner in Cincinnati as well. The reason for this is that we offer a $500 flat-fee listing to home owners who would like to sell as a FSBO, but they would also like to have a presence on the Cincinnati MLS search for homes for sale. Most FSBOs miss that exposure, but for just $500, we can help them get listed on the Cincinnati MLS and find buyers at the speed of ... the internet!
While most brokerages feel they have the best agents in Cincinnati, we truly believe that we are at the top. Many larger companies like Sibcy Cline, Remax (RE/MAX), Coldwell Banker West Shell, Comey & Shepherd, and others are at a size that makes it difficult for them to react to the markets and changing times at a great speed. Since Plum Tree is smaller, we are able to respond to market conditions rapidly and efficiently which gives us a disting market advantage. Remember: "It's not the big who eat the small; it's the FAST who eat the SLOW!"
The Junk Drawer by Stacey Hawkins | Plum Tree Realty | Dayton, OHIf yo
"I highly recommend Chris Russell at Plum Tree. The house selling process was seamless with his help. I am very grateful for the option to do the flat fee listing Plum Tree offers. It was the best choice for me to transition to from wanting to sell by owner. From the beginning, Chris was promptly responsive and the process was customer/user friendly, quick, and efficient. His services were a blessing to me in my house selling process."