What Are Closing Costs?

One of the last steps of purchasing a home is paying all of the closing costs. These costs are generally fees associated with the purchase of the home that are charged by the lender or a third party. The home buyer typically pays the closing costs, but motivated sellers sometimes agree to cover them in order to quickly sell their home. Here are some basic answers to frequently asked questions regarding closing costs you might find helpful when you make the decision to buy your first home.

 What All Is Included in Closing Costs?

Closing costs will obviously vary based on a number of factors including the area where the property is located and the state you live in. Featured below are just a few of the fees that may be included in the closing costs that the buyer is required to pay before purchasing a home. Keep in mind that all home buying transactions are different and your closing costs may include all of these charges, only just a few or perhaps others that are not listed.

  • Credit report fee
  • Loan origination fee
  • Attorney's fees
  • The home inspection fee
  • Pest inspection fee
  • The survey fee (for verifying property lines)
  • An appraisal fee
  • Discount points (fees you pay in exchange for a lower interest rate)
  • Title insurance
  • Title search fees (pays for a title background check to ensure there are no unpaid mortgages or tax liens on the home)
  • An escrow deposit
  • A recording fee (paid to the city or county to have them document the new land records)
  • An underwriting fee (covers the cost of reviewing the application for the mortgage loan)

 Can Closing Costs Be Avoided?

There are a few ways home buyers can avoid paying closing costs. Some lenders offer no-closing cost mortgages depending on certain special circumstances. Although you won't have to pay the closing costs at the time of closing on your new home with one of these mortgages, you may end up paying more in the long run. This is because the lender will most likely charge you a higher interest rate or include the closing costs in your monthly mortgage payments. Another way you can avoid paying closing costs as a buyer is by negotiating with the seller. As previously mentioned above, some motivated sellers will agree to cover some, if not all, of the closing costs to speed up the selling process. Some types of loans, such as VA loans, actually require the seller to pay a portion of the closing costs.

When purchasing a new home, it's important to keep in mind that you need to budget in order to cover the closing costs before you even apply for the mortgage loan. While some buyers can avoid paying most of these fees, it's best to ensure that you can cover them just in case. Being prepared can better ensure that you will be able to move in to your dream home as soon as possible.

What is escrow and why it is needed?

There are plenty of unique terms that deal with the application process and mortgage loans. You've probably heard of the term escrow a time or two, especially when discussing your mortgage loan with your lender. While it's a fairly common word in today's business world, not many people know exactly what it means, what it covers and why it's needed. If you're one of these consumers who happens to be totally in the dark, here is almost everything you need to know about escrow and what it means for you as a new homeowner.

What Is Escrow?

The best way to define escrow is the process of giving a neutral third party something of great value until the specific conditions of the contract are met by both parties. This is done in order to protect the buyer, the seller and the lender while the transaction is in progress. The material of value usually pertains to a deposit of funds known as an earnest money check, a deed or the sales agreement. Once everyone is paid and the deed is recorded with the county, the escrow will then close and be finished with.

 Who Handles The Escrow?

The most important factor of escrow that it is handled by an impartial third party who has nothing to gain nor lose from the transaction. Depending on the specific laws in the state you live in, that third party could be anyone from a qualified escrow agent, to a title agent or even a closing attorney who specializes in real estate. There are also many reputable escrow or title companies who do nothing other than handle paperwork for a sale and notify each party of what needs to be done. At the close of the escrow, the seller will then receive their funds from the buyer or their lender and the ownership of the home is then transferred to the buyer.

 How Long Is An Escrow?

The length of an escrow really depends on the terms set forth in the purchase agreement and can typically range from just a few days to several months. To give you a good idea of just how long it can take, the average amount of time it takes to close an escrow for a home purchase is about 40 days. The process can take longer depending on how much paperwork is involved as it can take the escrow agent awhile to review it all. Before the real estate market bubble in 2008, escrow took about 30 days, but lenders are now taking extra time to review appraisals and other documents. This is why an escrow now takes a little longer to close.

 How Much Does Escrow Cost?

There usually isn't an upfront fee associated with escrow because most escrow agents take a small percentage of the cost of the home. This percentage will likely range from 1%-2% but can be more depending on where the property is located or other special circumstances. The broker usually recommends an escrow holder, but it's important to note that in order to protect everyone involved in the transaction, there are laws that prohibit escrow services from charging a referral fee.

Escrow Accounts

Besides having an escrow between the buyer and the seller, most lenders will proceed with a second type of escrow known as an escrow account. These accounts are designed to let the lender collect property taxes and insurance from the buyer each month along with their principal and interest. This is of course to protect the lender in case the buyer doesn't cover the home with insurance or pay the property taxes. Some lenders require escrow accounts and some don't, so it's best to find out the specifications before you agree to the mortgage loan. Also keep in mind that an escrow account will likely be required on all high-risk loans such as those with only a 20% down payment. This is because you have less equity in the property and the lender wants to protect themselves.

The way escrow accounts work is pretty simple. At the end of each year, the lender will adjust the buyer's monthly escrow amount based on the actual tax and insurance bills. If the payments come up short, the buyer will generally absorb the remainder by spreading the difference out over the next 12 months. If the buyer paid an excess amount of funds, they will then be refunded by the lender.

 Hold-Back Funds

While most escrows close with no problems once the terms of the agreement have been met, there are certain circumstances that may lead to the funds being held after the home ownership transfers to the buyer. For example, if the buyer is letting the seller and their family stay in the house for a week or so after closing. If this is the case, the escrow agent may hold back a portion of the seller's proceeds until they have fully moved out in order to pay the buyer according to a “rent back” agreement established in the contract. Another instance where a hold-back may take place is if there was a problem discovered on the final walk through of the home and the seller agreed to make the repair but it couldn't be completed before the time of closing. The escrow agent will then hold-back enough funds to cover the cost of the repair just in case.

 Why Do I Need An Escrow?

Whether you're a buyer, seller, lender or borrower, you undoubtedly want to protect yourself with escrow during the home buying or selling process. This is because you of course want to ensure all of the instructions in the contract have been followed by all parties before the money or deed is transferred. The escrow agent will safeguard all of the funds and important documents until all provisions of the agreement have been fully met and then properly distribute them at closing.

Escrow isn't just used during the home buying or selling process. It's also fairly commonly used for the transfer of other high quality properties such as websites, cars and businesses. Hopefully you now have a better understanding of what escrow is and why it's so important for buyers, sellers and lenders.

Preparing for Your Signing Appointment

There really is no better feeling than closing on a mortgage that gives you the opportunity to venture into home ownership for the first time. Once you have gone through the tedious and at times lengthy mortgage loan application process, it will then be time to meet with the lender in order to sign the final paperwork. If this will be the first time you have taken out a mortgage loan, here's a checklist of everything you need to consider when preparing for your signing appointment.

  1. Obtain a Copy of Your Estimated HUD-1 Settlement Statement Prior to Your Appointment

You'll want to ask your escrow officer for a copy of your HUD statement days prior to your closing appointment. This document clearly discloses all of the fees associated with the transaction so you can know exactly what you will be paying for. Escrow officers will usually email this document to their clients a few days before signing, but it's important to let them know you'll want to review it before your appointment in case any situation arises that might delay the delivery.

  1. Bring Along the Contact Information of Your Mortgage Originator

Before you set your closing appointment, you might want to ask your mortgage originator if they will be available during your signing and for the best way to reach them if you should have any questions. Most mortgage originators will try to attend closings if their schedule permits but if not, they should only be a phone call away. If you happen to have a question at any time during closing, you can pause the signing and call your mortgage originator so they can help to clear things up for you.

  1. Bring a Copy of Your “Good Faith Estimate”

You also want to bring a copy of your GFE (Good Faith Estimate) in order to compare it to the Estimated HUD-1 Settlement Statement that will be provided to the buyer at the time of signing. In the best case scenario, the escrow officer will provide the loan originator with a copy of the HUD well in advance of the signing so they can review it before your appointment.

  1. Bring Identification

The notary must prove that you are indeed who you say you are before they sign off on the paperwork, so be sure to bring proper identification to your appointment. Of course you will need to provide the notary with your driver's license, but some of them might actually require at least two forms of identity. It's best to contact your escrow officer before your appointment to ask what you should bring if you're not sure.

  1. Make Financial Arrangements

The escrow company should notify you of the amount you will have to pay upon signing the loan agreement, so make sure you make arrangements to pay them before you head to your appointment. You can bring along a cashier's check for the final amount or contact the company to make arrangements to have the funds wired to them.

 After reading through the above checklist, you should hopefully now feel prepared for your singing appointment to finally close on your future home!

Appraisals Vs Appraised Value

When applying for a mortgage loan, you need to keep in mind that the lenders require borrowers to submit the appraisal information for the property before they agree to finance the purchase. Some lenders may take care of ordering the appraisal for the property but will still charge you for it, unless it is already calculated into the mortgage rate. Also, most highly motivated sellers usually have the property appraised before placing it on the market in order to save new buyers the hassle and a little extra money so the home can sell sooner. If you're thinking about purchasing your first home and not quite sure what exactly an appraisal is and why you need one in order to get a mortgage loan, here's a bit of information you may find rather helpful.

 What Is An Appraisal?

An appraisal is simply defined as an opinion of value in regards to a particular piece of property and the home itself. Home appraisals are conducted by accredited appraisers that are licensed by the state to assess the size, condition and quality of the home. Home buyers must provide lenders with a full appraisal report to establish a property's market value so they don't overpay for a home. Lenders do this in order to protect themselves by avoiding the possibility of loaning the buyers more money than the property is actually worth.

 How Are Appraisals Determined?

Typically, there are three parts to the appraisal process. First, the appraiser comes out to the property and fully inspects the home and its perimeters. After the full inspection is completed, he will then research up to 3 similar homes in the area and compare recent sales in order to determine a fair market value. Once the appraiser has completed his or her inspection of the home and compared other properties in the area, he or she will then issue a final appraisal report. This final appraised value is more than likely determined by how much the appraiser thinks it would take to rebuild the home from the ground up. If you plan to rent the property out to tenants, the appraisal report might also include the projected amount of monthly income you should receive and the expenses that will be required in order to maintain the property.

In order for both the lender and the home buyer to be provided with an appraisal that is completely fair, the appraiser should be an objective third party who has no personal connection to any person involved in the transaction or the potential to gain financially other than the appropriate fee. There are quite a few things that can help raise the appraised value of a home including features such as a solid foundation, enclosed garages, appealing landscaping and updated kitchens. Usually the turn around time for an appraisal is anywhere between 3-7 business days in most states. It's important to keep in mind that if the property is in a remote area, it could take a little longer to get an appraiser out to inspect the home.

 Appraisal Costs

The cost of an appraisal can range from anywhere between $200-$600. A few of the factors that may affect the total cost of an appraisal is the area of the home, the property type and square footage. Understandably, an appraisal for a multi-unit property or one in a rural area will generally cost more than a single-family home in a densely populated area. The most basic type of appraisal provided by professional appraisers is known as the URAR (Uniform Residential Appraisal Report). This particular report consists of both interior and exterior photos, comparison sales which are also known as “comps” and a thorough breakdown of the appraised value for the property.

 What's the Difference Between An Appraisal and A Home Inspection?

Some first time home buyers believe that an appraisal and a home inspection are the same thing, but they're not. A home inspection differs from an appraisal because it entails having a licensed home inspector evaluate the structure of the home and its mechanical systems such as the heating, plumbing and air conditioning. A home inspector will also check out the quality of the roof, the chimney or any other attached structure. The appraisal is more centered on the potential sale price of the property by comparing similar homes in the neighborhood, the curb appeal of the home and any added desirable amenities.

 The Appraisal Review

Once the appraisal has been completed by a local appraiser, the majority of lenders will then order a review of the appraisal. This review is generally conducted by a different appraiser or by using an Automated Valuation Model, also known as an AVM. If the appraisal review happens to come in low or if the property is deemed unacceptable, the lender may decline the loan all together and deny financing to the buyer. Even if the borrower has an impressive credit score, a long history with the lender and a generous amount of assets, a flawed structure or overvalued property can kill the entire deal.

As of January 2015, Fannie Mae (the Federal National Mortgage Association) now allows lenders to use a proprietary tool known as a “Collateral Underwriter”, or CU. This unique tool automatically provides lenders with an appraisal risk assessment which includes a risk score, any red flags and messages notifying the lender that they may want to further review certain aspects. It works by analyzing a large database of property records, market data and diagnostic models to determine the potential risks.

As you can see, a professional appraisal is always required before you seek financing for a particular property from a lender. Hopefully this information has helped you become a better informed home buyer so you're not surprised by appraisal fees when it comes time to getting a mortgage loan. To find a reputable appraiser in your area, you may want to do a little online research or ask your broker for a few references. It also never hurts to ask your friends and family who they had perform the appraisal for their last home purchase. Just make sure the appraiser is licensed in your state and trustworthy so you can avoid running into any discrepancies that may lead to the decline or delay of your loan.

Understanding Home Inspections..

An essential part of the home buying process is having the property properly inspected before agreeing to purchase it. After all, no one should ever buy something as large and expensive as a home without having a qualified professional fully inspect it. Here's a little information about home inspections that can help you become a well informed home buyer.

 What Is a Home Inspection?

A home inspection is best defined as a non-invasive review of the condition of the home. The inspections are usually conducted before the purchase or sell of a home, but there are other special circumstances that may also warrant an inspection. Home inspections are performed by home inspectors who have been licensed with the state after receiving thorough training. Inspectors will come out to the property in order to assess it and then provide the buyer or seller with a complete comprehensive report detailing their findings. Many people often confuse the inspection of the home with the appraisal, but the two are very different. To put it simply, a home inspector is one who determines the overall condition of the property, while the appraiser determines the value of it. Typically, home inspectors check the plumbing, the roof, the foundation, the heating system, the air conditioning system, the electrical framework, along with other aspects of the building. Some inspectors might even go as far as to inspect pools, spas, sprinkler systems and wooden structures added onto the home. The quality of service really all depends on the inspection ordered, the individual inspector and the company he or she happens to work for.

 Most Common Types of Inspections

  • Home Buyers Inspection – The home buyers hire a licensed inspector to inspect the property and identify any major flaws or problems so they can make arrangements to have them repaired or deducted from the sale price before agreeing to purchase.
  • Home Sellers Inspection – A homeowner who is planning to sell their home in the near future may hire an inspector in order to have them identify problems with their house. This is usually done so the homeowners can fix the problems to increase their chances of selling in a timely manner.
  • Foreclosure Inspection – A foreclosure inspection is commonly referred to as REO (Real Estate Owned) inspections and differ from the buyer and seller's inspection because they are fairly basic. Home inspectors licensed with the state may conduct the foreclosure inspection or it can be performed by a Certified Field Inspector or a Certified Property Preservation Specialist. While they can perform basic foreclosure inspections, these specialists may or may not be qualified by the state to provide official home inspections.
  • Four Point Inspection – Home insurance companies often require a four point inspection of a home before providing the owners with insurance. These four points include the roof, the HVAC, electrical system and plumbing.

 If you have a home inspected only to find out that you will need to put a great deal of time and money into repairing all of the problems laid out by the inspector, it might be best to consider another property that is more move in ready. That is unless you can negotiate a substantially lower price with the seller.

 

What is Truth in Landing Act?

Have you ever heard of the Truth in Lending Act? If and when you apply for a mortgage you may want to know exactly what this means for you. The Truth in Lending Act (also known as TILA) requires a mortgage lender to provide you with clear written information about the annual percentage rate (APR), terms of the loan and total costs associated with the mortgage. According to the Act, the lender must give you a copy of these details for you to keep before they charge you for any application fees with the exception of a credit check. This helps the buyer by giving them a way to compare different types of loans to find the one that best suites their financial situation. Want to know more about this mortgage law? Here's everything you need to know about Truth in Lending Act to make you a well informed home buyer.

History

The United States Congress passed the Truth in Lending Act (TILA) on May 29, 1968 in order to promote economic stabilization throughout the country by protecting the lender and allowing them to compare credit offers when making large purchases. The Act was first introduced in the U.S. Senate by a democratic senator from Wisconsin by the name of William Proxmire. After passing through both the House and the Sentate, the Truth in Lending Act was signed into law by then President Lyndon B. Johnson. TILA is broken up into multiple subparts which define specific regulations for different instances. For example, subpart B refers to open-end credit lines including home-equity lines of credit and subpart C relates to closed-end credit such as home mortgage loans. Since the Act's inception, many other laws have been passed to protect consumers including the Real Estate Settlement Procedures Act (RESPA), which added even more disclosure requirements for lenders.

How It Works

When applying for a mortgage, your lender must provide you with a “good-faith” estimate disclosure for the loan within three days of the application. The estimate report should clearly define any finance charges, the interest and the annual percentage rate (APR). It should also include details such as the number of payments, penalties for late payments and prepayment penalties.

Penalties for Non-Compliance

There are quite a few penalties lenders can face if they deliberately don't comply with the Truth in Lending Act. If a lender doesn't provide the consumer with a full Truth report, the buyer can then sue the company for reimbursement. According to the Fair Debt Collection website, lenders can avoid these penalties if they prove that the overlook was an honest mistake or by fixing the error within 60 days.

Of course there are many more details regarding TILA, but these are just the basics every consumer should be aware of. Now that you know everything you need to know about the Truth in Lending Act (TILA) you should be ready to purchase a new home with confidence. Just be aware that the information provided by the lender is only an estimate and the rates could rise at any time until you lock it in.

All about mortgage rates lock?

There are many terms associated with the buying and selling of homes which very few home buyers are fully aware of but should be. One of those terms is a “mortgage rate lock”. To give you a better idea of what exactly they encompass, here's everything you need to know about mortgage rate locks as a home buyer.

 What Is A Mortgage Rate Lock?

A mortgage rate lock is simply defined as the lender's promise to lock in a certain interest rate for a particular amount of time. This is usually done in order to ensure buyers can lock the interest rate quoted to them by the lender while going through the lengthy application process. There are a few different options when it comes to locking in your mortgage rate. A contract for a locked rate with locked points means that both the interest rate and the number of points paid upfront cannot change. A contract with a locked rate and floating points means that the lender must offer you the same interest rate initially determined, but they have the ability to charge you a different number of points at closing. If you get a mortgage rate lock that has a floating rate and floating points, this means you have the opportunity to lock in your rate and points in the time between the application submission and the final settlement.

Why Should I Get A Mortgage Rate Lock?

The number one reason why you should get a mortgage rate lock when purchasing a property is because the real estate market and mortgage rates change day to day, if not hour to hour. You don't necessarily know how long the application process will take, so it's best to lock in your rate and points in order to get the very best deal. You may have to pay more upfront, but you'll be saving yourself a whole lot more money in the long run.

How Much Does A Mortgage Rate Lock Cost?

The cost of a mortgage rate lock can vary as lenders are able to set their own rules. Some lenders will charge you an upfront fee to lock in the rates but won't return the fee if the application is denied or if you close the loan. On the other hand, some lenders will charge you the locking fee only once the loan is closed. They may also charge an extra fee to lock a rate for an extended period of time.

What's Included In A Mortgage Rate Lock Contract?

If you decide to purchase a mortgage rate lock, it's important to make sure that the contract between you and the lender clearly lays out the details of the agreement. It should include the precise terms of the lock, the lock's effective date, the expiration date and time of the lock, the costs and fees associated with the lock and any post-lock options.

Buying a home and dealing with mortgage rates that are constantly changing can be quite daunting, but it doesn't have to be. Now that you know everything you need to know about mortgage rate locks, you can feel confident discussing and negotiating rate terms with your lender.

What is Sewer Inspection?

sewerWhile most first time home-buyers realize it's important to have their new home inspected, many of them forget that sewer inspection is just as important. It may be because they believe sewer inspection is included in the standard home inspection, but that's certainly not the case. Sewer inspection is totally separate from a standard home inspection. Although sewer inspection is not something usually on the minds of home-buyers, it definitely should be, especially if the home is a little older. Having the sewer inspected before you move in or make an offer is recommended because it can save you from having to spend a small fortune on repairs down to road when it's least expected. Also, a newer sewer system can add great value to a property and make your decision to buy a little easier. To give you a better idea of why it's just so important, here's everything you need to know about sewer inspections.

 Reasons To Inspect Sewer Lines

Tree Roots – Tree roots growing into the sewer lines is one of the most common issues homeowners experience with their sewer system. They can crawl into the lines through tiny openings and cause debris such as grease or paper to back up. While tree roots are usually fairly easy to kill with chemicals from a home improvement store, they can reappear and damage pipes once again. If this occurs, it's best to have them excavated all together.

Cesspools – Before cities transitioned to public septic systems, most homes relied on cesspools. While the home may use the city's modernized public system, your sewer line could still be partially connected to the cesspool. To avoid further complications, it's best to inspect the lines before you make an offer on the home so the appropriate measures to disconnect it can be taken by either you or the seller.

Aged Materials – Another valid reason to inspect sewer lines before purchasing a new home is simply because the lines may be made with low quality and outdated materials. In fact, most homes constructed during the 1950's feature sewer lines that are made from a tar paper often referred to as Orangeburg pipes. These older pipes disintegrate over time and eventually collapse, so it's a good idea to have them replaced with newer and more durable pipes before you move in.

 How To Inspect Sewer Lines

To have the sewer lines on a particular piece of property inspected, you'll want to call on a local plumber that specializes in inspections. Most plumbers insert a snake with a small camera attached to the end of it into the lines to adequately inspect them. You and the trained professional can then watch the video feed on a monitor to spot out any weaknesses or problem areas. The plumber should also provide you with a detailed inspection report about the condition of the pipes and what material they are made out of. While the cost of having a plumber come out to inspect the lines generally range from $100 to a couple of hundred, it's undoubtedly worth it as repairs can cost a great deal more in the long run.

Hopefully you now have a better understanding of why it's just so important to conduct a sewer inspection before buying a new home. If you're in the process of buying a home, call your local plumber to set up an appointment as soon as possible.

Broker’s Price Opinions (BPOs) and How to Use Them

Real Estate Tree House Cash Icons Rental Concept.A Broker Price Opinion is an Opinion of Value for a property, " done by a local real estate professional or any other qualified company or real estate agent. BPOs are less expensive and are used to give an indication of the fair market value of a property.When providing the price opinion, brokers will consider the value of similar surrounding properties, sales trends prevalent in the adjacent neighborhood and any costs incurred in preparing the property for sale during a short sale or foreclosure.

The Difference Between Appraisals and BPOs

Although BPOs serve the same purpose as appraisals, the main difference is that appraisals are done by licensed appraisers and lead to a deeper analysis of the property. They are hence costly and more time consuming. Banks prefer BPOs for their lower cost and faster results.

Some of the things contained in a BPO are:

Exterior and Interior conditions of the property – Most BPOs evaluate the exterior conditions of the property and then file a report. A thorough BPO report should also contain interior evaluations with specific attention to detail needed to capture any defects. Photos and historical data must also be collected to advise the final estimate.

Comparing with similar Properties – A BPO report should include comparison data for at least three similar properties currently on ale in the same market and three other properties that have been recently sold typically in the last 3 months.These properties should be located within a 1 mile radius of the subject property.

Above Ground Living Area (AGLA) should be approximately +/-10% of the property under evaluation. This is mainly because finished basements are evaluated with lower weighting factor compared to property with an above ground living area.

Neighborhood Data – the BPO report should include the neighborhood statistics, useful to banks in giving a better understanding of what the market situation is currently.These conditions can point into a declining market or a stable one.

Repairs Sheet- the real estate agent should provide an estimate of what it would cost to repair any damages to the house.

Value Estimate – By basing values on recent sales of comparable property, the real estate agent will provide a 'quick sale' estimates of what the property can fetch in 90-120 days in the market.

In case you need a broker price opinion agent in the Seattle/Eastside area, contact Hamid. Clients who contact him before end of the month qualify for free CMA.

Tips On Negotiating for a New Home At The Right Purchase Price

Coming to an agreement through negotiation illustrated by threeBuying a new home is a huge commitment that requires careful planning and a good understanding of what the market is offering. It is usually advisable to hire the services of a real estate agent. Either way, here are some tips that you can use to navigate the complex yet very rewarding real estate market.

Close Quickly – Because of the Builders financial commitments and plan to move to the next building site, they can offer you very favorable terms just to get the home off their books. Is such s situation, you can use the leverage of concluding the deal on favorable terms for both parties and having an easier deal on your part.

Negotiate on Terms That Don’t Change The Price – Because you will probably buy your house on mortgage. You can ask the seller to expect specific payment schemes and a tailor made interest rate that is easier for you in the long term and allows you to maneuver in case you come across financial difficulty.

Builders Won't Want to Lower Their Sales Price – Builders sell a lot of homes in a particular area. If they give you a discount, you will probably share that with your friends who also want t buy in the area. The net result of this act of generosity is that the builder gets a huge hit for their bottom lines. That is the main reason that builders don’t offer one time discounts.

You can Avoid the Agents at the Sales Center – These are usually inflexible in their terms because they don't make the decision. These salespeople also make commissions from the builder unlike the builder whose main interest is to offload the house. Avoiding them is a good idea when you can.

Review the Builder’s Sales Contract – In particular, you are interested to sign a contract that in most cases absolves the buyer of any obligations in case you have problems sometimes linked to their construction work. Remember you don't want to get stuck with a house that does not get the after sales service that is required for it at least for a specific period in the initial time of ownership.This is where a real estate agent can come in handy, ensuring that your contract provides you with the basics for any house owner in the industry.

In case you are looking to buy a new home in the Eastside, WA, please contact Hamid on the email and telephone contacts provided.

All information provided is deemed reliable but is not guaranteed and should be independently verified.