Purchase of Property
Some day I want to buy a house, but I still don’t know which area I want to live in, I can’t decide on an area, I don’t know how to find a house” If this sounds like you, we will provide initially consult with you to find out your requirements and preferences, and we will tour multiple homes that match your needs. Usually, these tours take place at noon on Fridays and take about two hours.
1) Preparation
1) For those using a mortgage:
• We recommend consulting with a bank or a financial institution that handles mortgages and requesting them to issue a Pre-Approval letter that exceeds your desired amount.
• Conditions and contracts vary from lender to lender, such as interest rates, fees, service contents, etc. We recommend finding a mortgage lender that best meets your needs. Please contact me for information.
2 ) For those purchasing with cash or hard money:
• We recommend that you have forms and documents, such as a proof of funds, that proves that you have enough money to purchase the property.
3) Interactions with a real estate agent during the purchase
• When negotiating for the purchase of the property, the buyer should contact a Realtor, who will help with the overall transaction and discuss the conditions regarding the desired property.
• Since the buyer is not obliged to pay the commission to the realtor (usually, the seller pays the full commission to the real estate broker), we recommend using the services of a realtor to navigate you. The attentiveness, experience and bargaining power are the strengths of using a realtor that will lead to a smoother purchase of a new home or property.
• The realtor will make an appointment and show you to the actual property. If the customer is remote (out-of-state or international), I will go to the property on your behalf and give a detailed report using photos and videos.
* Clients who live out-of-state or overseas and cannot actually see the property have been purchasing smoothly.
Click here for actual property examples
2) Purchase Stage
• Once you have found and decided on a property that meets your needs, the realtor will help you prepare an offer to purchase the property from the seller. At this time, the realtor can give suggestions based on the effective and favorable terms, according to the current market. Agents will explain the contents of the Agreement of Sale, and will put out the offer on your behalf.
• After negotiating terms between the seller and the buyer, (mainly the price, inspection period, conditions related to financing, etc.) The seller and the buyer sign a formal contract, agreeing to all the terms.
• Usually within three to five days from the above contract validity date, a deposit is made to the listing broker or title company. Although the amount is not fixed, the deposit is around 2-5% of the property price. If the purchase is canceled legally, this deposit will be refunded according to the contract and with the consent of both parties. If the closing is successful, the deposit will be applied to the closing cost.
• If the buyer would like to take out a loan, apply for the loan as soon as possible (within the period stated in the contract, for example, within 5 days) and start the procedure.
• If inspections are elected, they need to be performed within a specified period in the contract.
• When taking out a loan, an appraiser will assess the property and determine the value of the home/property.
• If you take out a loan, it is required to insure your home. Contact your insurance company or insurance agent to get a quote and pay the insurance before the closing.
• A Title company conducts a title search ( investigating whether property rights can be transferred properly, for example, searches for any liens and judgements etc.)
If you have any questions, please feel free to contact me.
