Buyer Process Overview
Hire MAURICE BERRY + ASSOCIATES
- Quickest and easiest way to find a home is with a competent Real Estate Agent
- Almost 90% of home sales are performed with a Real Estate Agent
Preliminary Consultation
- Face-to-Face Meeting
- Review Overall Objectives
- Determine Desired Neighborhood
- Types of Homes – townhouse, single family, condo
Secure funding to cover EMD and closing costs. Obtain a Loan Approval from a Reputable Lender.
Begin the Home Search
- Prioritize
- Choose requirements
- Register on Website – receive regular updates
- Drive by & Discover new Neighborhoods
Tour Prospective Homes
- Schedule showings with Agent – usually 3-4 homes per outing
- Visit Open Houses on the Weekends
- View Properties Online
- Narrow down, select top 2-3 Homes, then select your #1 Choice
Make an Offer
- Write a Contract
- Determine Offer Price
- Settlement Date
- Earnest Money Deposit or EMD – usually 2-5% of Sales Price
- Determine Contingencies – Home Inspection, Appraisal, Financing, etc
- Select Title Company
- Ratify the Contract
- Both parties agree on contractual terms in writing
- Property will be placed Under Contract
- Timeline for Contingencies begin
Contingencies Removed
- Home Inspection – completed typically within 10 days
- Buyer hires a 3rd Party Home Inspector
- Report is submitted to Seller, usually within 24 hrs of Inspection
- Provides notice of any repairable issues to Seller
- Seller may offer credit in lieu of repairs (negotiable)
- Both parties agree in writing
- Financing
- Full Loan Application is completed
- Underwriting Approval is given subject to Appraisal
- Appraisal
- Lender orders immediately after receiving the Ratified Contract
- Independent Appraiser determines value of Property
- Requires Underwriter Approval once submitted to Lender
- Application for Home Insurance
- Submit application – within 7 days of Ratification
- Usually requires payment one year in advance
- Resale Package Submitted
- Home Owner’s Association or Condo Package
- 3-day Review for resale properties or
- 15-day Review for New Construction
Settlement
- Perform Pre-Settlement Walk-Thru – Day of or Day before Settlement
- Final Approval from Underwriting
- Schedule Cut-On of Utility Services
- HUD-1 Review – ideally 24 hrs prior to Settlement
- Buyer/Seller Perform Settlement
- Selected Title Company facilitates entire transaction
- Certified Funds from Buyer @ Settlement
- Loan Documents & Deed are prepared for signatures
- Keys exchanged @ Settlement