Buying

Steps to Buying

  • Get Pre-approved!
  • Let's discuss what you are looking for in a home
  • I will send you available properties
  • Together we will view properties that fit your needs
  • Find a home - put together a written offer
    • Agreement of Sale
    • Other Contracts
    • First Deposit
  • Negotiate the offer, sign off on final terms
  • Apply for a mortgage
  • Order title insurance
  • Review Condo Docs
  • Conduct Home Inspection
  • Negotiate Home Inspection
  • Second Deposit Due
  • Mortgage Commitment
  • Clear all mortgage conditions
  • Transfer Utilities
  • Review Preliminary HUD
  • Get Final Certified Check
  • Attend Settlement!
    • Bring ID
    • Bring Final Certified Check

Things You Should Know

The Offer

Once you find the home you want to purchase you will be making a written offer using the Pennsylvania Association of REALTORS’ approved Agreement of Sale. A Buyer’s Agent will help you decide on the most advantageous terms for you.

The Deposit

Accompanying the offer is a “good faith deposit”. Traditionally the amount of the deposit is equal to 10% of the purchase price. Typically a check in the amount of $1,000 is tendered with the offer and, if accepted, the Agreement will indicate when the balance is due (usually within several days).
Either the selling or listing broker may hold the deposit. However, no matter who receives the money, it must be deposited into the broker’s escrow account.

A Contract

Once you and the Seller agree to all of the terms and sign the Agreement it goes from being an offer to a binding contract.

Common Contingencies

Contingencies are provisions or conditions that must be met in order for the Agreement of Sale to remain in effect. Some common contingencies are:

Mortgage

The amount of the loan, the interest rate and term, in addition to other provisions regarding the mortgage, are written in this contingency. The purchaser is given 10 days, after the contract is signed by both parties, to apply for the mortgage.

Wood Infestation

You have right to hire a certified pest-control company to inspect the property for termites or other wood-destroying insects, as well as any damage caused by them.

This inspection is usually required by a mortgage lender.

If active infestation is revealed, the seller must pay the cost of having the problem corrected.
If damage is discovered, you have the right to have the damage assessed and, if found to be structural damage, ask the seller to repair it. If the seller does not repair it you do not have to purchase the property.

Home Inspection

You have the right to, at your expense, to have the entire property inspected, including, but not limited to, the structure, the heating, plumbing and air conditioning systems, and the roof.

Environmental Inspections

You have the right, at your expense to have the property tested for radon, to have the water and sewer systems tested, if applicable, to have the property tested for UFFI, etc.

Title Insurance

In this area, it is customary for the buyer to order, obtain and pay for Title Insurance. As the name implies, this insures your (and your lender’s) interest in the real property.
The title insurance company will work with you, the seller, etc. to make sure you receive clear tile to the property.

The title company, or its agent, conducts the settlements, collects any funds required from you or the seller, prepares the HUD-1 Settlement Statement, and records the deed and other documents.

Please let me know if you have any questions concerning the process of buying a home!