The Home Buying Process

To begin the exciting process of finding your next home, we will first discuss your criteria for a house, including number of bedrooms, bathrooms, size, location, and any other factors. At this time, we will discuss your finances and mortgage options, in preparation for meeting with a lender to make a formal application.

1. Make application with a lender and obtain a pre-approval letter. Most lenders will charge you an application fee which covers credit report and appraisal of the home you buy. Check with them to find out if it’s payable immediately or at settlement.

1. Visit available homes that meet your criteria, and select the one you wish to purchase.
2. Submit an offer on the home of your choice.
3. Write up contract papers and sign
4. Submit with the offer an earnest money deposit
5. Decide on which inspections and contingencies to include
   • We recommend that every single purchaser include a home inspection and we can supply the names and phone numbers of a few qualified home inspectors if necessary.
6. The offer will be either accepted, rejected, or countered.
   • If it is accepted, you are able and obligated to purchase the house.
   • If it is rejected, you are released and are free to submit another offer on this house or select another.
   • If it is countered, then you may accept the new terms, counter them, or withdraw the offer.
7. Once the contract is agreed to and signed by all parties, the inspections begin. First is the home inspection, which will cost about $300 and be paid AT THE TIME OF THE INSPECTION, which will be within ten days of contract acceptance. You should be present for this very informative process, and it will take about three hours.
8. Once you have the results of the inspection, you may ask the Seller to repair or replace items as a result. They may agree to some, none, or all of your requests. under most circumstances, you may also withdraw from the contract if the home inspections turns up a problem that makes you no longer want the house—a major structural flaw for example.
9. The lender will hire an appraiser (the cost is included in your lender fees) to appraise the property and ensure that it is worth the amount they are loaning you to buy it.
10. A termite inspection of the property will be performed within the last 30 days prior to settlement. It usually costs $50, which you pay at settlement. It is included in the closing costs estimate which I will prepare for you.
11. After your offer becomes a contract, you will need to be in touch with your insurance agent to purchase homeowners insurance on your new home. You must provide proof of this paid insurance to your lender at settlement.
12. At settlement, you will bring a cashier’s check or certified check made out to the title company for the amount you owe. You will sign the lender’s papers and the deed transfer. You will get the keys to the house, and it will officially be yours.

uying real estate???? Now that the market has gone down everyone is wondering when we have hit “the bottom”? Real Estate has always been a good investment, but over the last year the market has lost over 45% of its value in some markets. Even though the lending institutions are tightening their belts and lending has come to a stand still, we still are selling homes. Granted we are not selling at the rate we were back in 2004 and 2005 however I believe the worst is over. Skepticism has kept many qualified buyers out of the market until more recently and with the majority of bank reorganization over and foreclosures no longer dominating the market we should be on our way to a leveling then recovery.

Tempe has been one city that has been semi stable in this rapidly declining real estate market. The reason? Tempe homes are used as seasonal rentals for college students. This is obvious however lets not forget that Tempe homes are located in the middle of the south east valley.