Buyer Frequently Asked Questions
Buying a home is an exciting but sometimes complicated process.
It is the largest investment for most Americans, and thereby requires much thought, research and documentation before purchasing.
That’s why we have created a list of answers to some common questions.
What are my advantages in buying a home?
See All The Advantages of Home Ownership, by clicking here.
There are many benefits such as pride of ownership, an increased sense of security, the ability to make improvements of your choice, and best of all, tax benefits.
Should I work with many REALTORS at the same time?
Because all Licensed REALTORS have access to the MLS and all of the available listings, one REALTOR with whom you feel comfortable will save you time, and you won’t need to be re-qualified each time you work with a new REALTOR.
What should I think about when I am deciding which community I want to live in?
As for the individual neighborhoods within a town or city, there is no better source of information than The Carolina Success Team! Our team knows the people and the communities they serve, and chances are, they can help you find a neighborhood that really fits your family’s needs.
Where can I get information about local schools and what questions should I ask about schools?
Again, The Carolina Success Team is perhaps your best source. They know where the local schools are, and can provide you with valuable information. Based on your needs, a school report can be ordered for the school districts you are interested in. If you are relocating, The Carolina Success Team may even be able to put you in touch with teachers and principals when you visit the area.
You would want to know how the state ranks the school(s), test scores, sports programs, gifted and special programs. See more information on School Ratings, by clicking here.
I’m transferring to a new city. What do I do differently in this case?
As a transferee, you should try to get a feel for the entire city and the neighborhoods. This will help you find an area where you think you would be most comfortable, before you begin to look at specific houses.We also suggest that you start your research by visiting coffee shops in the different neighborhoods that may be of interest to you. Speaking to the locals allows you to get an idea about who lives in that area and what the neighborhood is like. You will no doubt find the perfect neighborhood that fits your specific needs.
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How can I find out what homes are selling for in a given neighborhood?
Home sales are a matter of public record. The Recorder’s Office, a local residential appraiser, the planning department for the locality or the public information department of the local Multiple Listing Service are all resources the buyer can call on. All can be searched for recent sales history, sales price (or average sales price), time on the market and other listing information for sales in any given area.
You can see if we track your specific area on our home sale stats blog posts.
However, a better and easier way for you to get this information is to ask The Carolina Success Team. If you are interested in a particular home, The Carolina Success Team may be able to provide you with a list of comparables sale prices of homes in your area that are roughly the same size and age as the home you are considering. Although there will certainly be some differences between the homes the house next door may have an extra bedroom, or the one down the block may be older than the one you are looking at it is a good way to evaluate the seller’s asking price.
Request a market snapshot, by clicking here.
When I start visiting homes, what should I be looking for the first time through?
The house you ultimately choose to call home will play a major role in your family’s life. A home can be an excellent investment, of course, but more importantly, it should fit the way you really live, with spaces and features that appeal to everyone in the family.
Pay close attention to these important considerations:
The things you should first consider are things you cannot change location, floor plan, number of baths, lot size, etc. Then consider what you can change appliances, carpet, paint, cabinets, all cosmetic items. Look for features that you really would enjoy. Try to picture your family and your furniture in the home.
Is an older home as good a value as a new home?
It’s a matter of personal preference. Both new and older homes offer distinct advantages, depending upon your unique taste and lifestyle. Some people are charmed by the elegance of an older home but shy away because they’re concerned about potential maintenance costs. Consider a home warranty to get the peace of mind you deserve. A home warranty plan protects you against unexpected repairs on many home systems and appliances for a full year or more after you move in. There are also costs you must consider when purchasing a new home. For example, additional closing costs not paid when purchasing a resale, window treatments, ceiling fans, garage door opener, and additional appliances.
Do I need to bring anything along when I am looking at homes?
Bring your own notebook and pen for note taking if desired. Be prepared to “snoop around” a little. After all, you want to know as much as possible about the home you buy. Sellers understand that because their home is on the market, it will be looked over pretty thoroughly. Don’t forget to bring along your Home Buyer’s Book as a reference guide when you are looking at homes. The pages in the back of the book will allow you to make notes on specific homes, which will make it easier to remember the specifics about each home. If you need to go back to a home for another look, The Carolina Success Team will be happy to schedule an appointment.
Be sure to ask any questions you have about the home, even if you feel you are being nosy. You have a right to know. It is also important to know that the seller is required by law to supply the buyer with a Residential Property Disclosure, which will disclose any defects known by the seller. And lastly, be ready to purchase. Bring your checkbook.
What should I ask The Carolina Success Team about each home that I look at?
As a rule of thumb, ask any questions you have. The Carolina Success Team will be happy to assist you in finding the answers to any questions or concerns you may have.
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Tell your Carolina Success Team what you liked and did not like about each home you saw. It is important for our team to really get a feel for what you are looking for in a home, in order for us to find your dream home.
Every day we show homes to great people such as yourselves and we find that in all the years we have been doing this that we have never found anyone yet that has found the perfect home.
It seems that if they find the right size yard, the master bedroom is smaller than they want. Or if the master bedroom is perfect, the kitchen isn’t exactly what they are looking for. So, we may ask you what you like about the home, but just as important is what you don’t like. We learn from both. Don’t be shy about talking about a home’s shortcomings. Was the home perfect except for the carpeting? Let The Carolina Success Team know that too! A home has a multitude of advantages and features. If you are able to get approximately 90% of those features in a specific house, this may be the one for you.
And be sure to think "out loud." Discussing what you like and don't like about the house will help us get to know your wants, needs and desires. Thus shortening your time looking for homes. Do not be afraid to tell us the truth. We need to know what you really like and don't like, you will not hurt our feelings. This is after all, about you. Right?
How many homes should I look at before I buy?
If during the initial counseling session with The Carolina Success Team consultant you have provided them with enough detail to locate homes to suit your needs, on the average, the viewing of only 6-8 homes will be necessary, as one of these homes should meet your needs. It is their job to consider your needs and match you with the best house; you may be surprised to discover that you find your next home the very first day that you look.
Can you help me buy a new home from a builder?
Absolutely! Anyone considering the purchase of a new construction home should work with a realtor that can represent you in negotiations with the home builder. Remember, the sales agents in the model homes work for the builder and represent his interests. We can protect your interests. There’s no cost to you for this service (the builder pays our commission fees). For more info on assistance with new homes and new home builders, including incentives that are available give us a call.
Can you help me with homes for sale by owner?
Yes! Home owners selling their own homes are usually very happy when a real estate agent brings them a buyer. In addition, we can provide you with invaluable assistance in negotiating the price and terms of the sale and helping you through a process that can sometimes be confusing. It’s always best to have a buyer’s agent looking out for your interests and ensuring that you get from contract to close. Just contact us with the address and phone number of the owner and we’ll take it from there.
What about the loan application? Read Getting a Mortgage For Detailed Information, by clicking here.
The Carolina Success Team can recommend several lenders who have earned our trust and with whom we have had good experiences in the past. The loan originator’s goal is to expedite all the necessary paperwork and information, including ordering a credit report and appraisal of the property.
You should begin looking into financing before or at the time you sit down for your first meeting with your Carolina Success Team consultant; you may wish to bring up the issues of financing alternatives. Then when you are ready to purchase, your method of financing is already taken care of and you won’t risk losing your favorite house.
The information you provide the lender is confidential. The application generally takes place either at the lender’s office or at our office. All parties who will be on the title as new owners should be present. The application normally takes about one hour.
Your loan originator understands your concerns and is there to help with the approval of your loan. Feel free to ask questions at the loan application about anything that you do not fully understand. Also, you will receive a GOOD FAITH ESTIMATE OF CLOSING COSTS at this time so you won’t have any surprises at the time of closing. Total time from loan application to loan approval averages between 14-45 days or more, depending on the loan type, market conditions and/or the complexity of verifying the borrower’s information and qualifications and property inspections.
What are my financing options?
Depending upon the price of the home and/or the amount of your down payment, there may be several options that fit your needs. They include VA (for military veterans only) which allows 100% financing of the purchase, FHA (Federal Housing Administration) which allows purchase with as little as 3.5% down and CONVENTIONAL, generally the best option when putting 5%, 10% or 20%. In addition to these traditional methods, there are other programs such as Owner Financing, First Time Home Buyer Programs, Loan Assumptions, Lease Purchases and others.
What happens during the loan process?
Read Getting a Mortgage For Detailed Information, by clicking here.
1. FIND A LENDER YOU CAN TRUST Find an experienced lender at the same time as you find your REALTOR®. You begin the mortgage process at the same time as you begin looking so you know the value you qualify for.
2. MORTGAGE COMPANY The lender simultaneously can begin processing your loan application, ordering credit reports and performing verifications. Therefore, when you find your dream home, you are in a position to buy it.
3. UNDERWRITING When your application is completed and verified, the file goes to the Underwriting Department for final approval, contingent upon an acceptable appraisal and termite inspection.
4. LOAN APPROVAL When you have final lender approval, you can seriously concentrate on finding a home that you know you can qualify to buy immediately, if you have not done so already.
5. APPRAISAL Once your offer has been accepted, an appraisal will be ordered by your lender.
6. CLOSING With the loan process completed, you are ready to go to your closing to secure the keys to your new home. Your next steps will be over the threshold of your new home!
How do I determine the amount of my initial offer?
There is really no rule to use in calculating a realistic offer. Naturally, the buyer wants the best value and the seller wants the best price, but negotiations can be influenced by many factors, such as a seller's motivation to sell who may be changing jobs and wants to sell quickly, or a buyer who really wants a specific home because it reminds them of their grandmothers house growing up.
After you have looked at the home’s features, asked questions, checked comparables, and talked about it with The Carolina Success Team, you should have a good idea of what the home’s value is in the current market. Consider what you can afford, and make an offer that you consider to be fair. Your offer will include the amount you are willing to pay, financing terms, any personal property specifically included, loan commitment date, closing date and other contingencies including inspections. This offer should be in writing and accompanied by an earnest money check to show good faith. The offer will be written on a standard FAR BAR contract form.
Most buyers and sellers negotiate on price with both sides “giving” a little until both agree. Win- Win. Everybody looses or wins, just depends on how you look at it. When the price is agreed upon, the paperwork will be initialed by both parties. At that point, you typically will begin the process of arranging for an inspection and applying for a mortgage. The earnest money deposit will be credited to you at closing as part of your down payment and/or closing costs.
What should I know about the contract for sale and/or the offer to purchase?
Ask your Carolina Success Team for a blank copy of the contract. There are different kinds of financing, contingencies, inclusions, exclusions, and specific dates of importance. Make a list of questions that you have so that they can answer them to your satisfaction.
What kind of pressure should I put on myself when I’m about to sign a purchase offer?
If you should find the house that feels right to you, make an offer. After all, there may be another potential buyer who also finds this house appealing and while you are delaying a decision, the other buyer could conceivably get their purchase offer accepted first.
Do I need to have any inspections on the home?
You should consultant with your Carolina Success Team consultant about this. Regulations and requirement regarding home inspection, and reports about mechanical, electrical and structural features differ widely throughout the country.
How do I negotiate through the seller to get a contract that’s to my advantage?
Your Carolina Success team consultant can negotiate using the fair market value of similar properties that have been sold. The written Comparative Market Analysis (CMA) will show the sellers that your offer is accurate, given these standards.
Can I add extra inclusions into the contract that are not in the listing?
You should consider the possibility that the sellers had personal or financial reasons for excluding these items. However, you may try to negotiate their inclusion through your Carolina Success Team consultant.
Should I move myself or use a moving company?
In almost every case, you can save yourself time and energy by using a reputable moving company to help you move. Ask The Carolina Success Team, friends and co-workers for recommendations, then get estimates from several companies. Do not choose a mover based on price alone consider the reputation and professionalism of the company too. Work closely with the moving company to coordinate your efforts and your move will be achieved with maximum efficiency.
Do I need to talk to my insurance agent?
Yes, and the sooner, the better. During hurricane season, once a storm develops, writing of insurance is suspended. Without a prepaid policy in effect, closing can be delayed. Most insurance professionals have a lot of experience in working with homeowners and can offer useful tips about home ownership, particularly regarding home safety. Once you have found a home, work together to develop a homeowner’s policy that meets your individual insurance needs. You will need to supply your prepaid policy to your lender prior to closing.
What happens at settlement/closing/escrow?
Your Carolina Success Team consultant will provide you with a detailed list of the entire closing process. And read more about the home buying process, by clicking here.
What is “Buyer’s Remorse”?
Buyers sometimes second-guess themselves as to whether or not they made the correct decision. This normally sets in between the time the contract is signed and is closed. You need to contact your Carolina Success Team Consultant if and when you get these feeling and discuss it with him/her as there may be legal ramification of changing your mind.
