While the process of buying your home may seem overwhelming, you will have an entire team of professionals working on your behalf. Also, most home purchases follow a fairly standard process. By reviewing the items below, you will have a better idea of what to expect during the home buying process.

1. Contact Prestige Properties

Building a trusting relationship with a real estate agent is crucial. We will be working closely with you to find the perfect home to meet your unique needs. Real estate professionals have extensive market knowledge. They also provide assistance and guidance throughout the buying process, from finding a home throughout the close of escrow. Dedication to one agent is imperative to having a positive experience and a great end result.

Contact your Prestige Properties professional by phone, or use our contact form.

2. Determining Your Budget & Getting Pre-Approved

By meeting with a professional lender before you begin to look at properties, you will get an accurate idea of the mortgage amount that fits your budget. You may be surprised at the variety of loan options available today. A professional lender can pre-approve your loan and give you the confidence to make a strong offer once you find the home of your dreams.

3. Finding Your Perfect Home

After you find a real estate professional and a lender, you are ready to get out there and find the perfect home! Your real estate professional can show you homes with the features you want, within your desired price range. The more details you can share with your real estate professional, the more successful your search will be.

4. Purchase A Home

When buying a home, it is important to think carefully about your offering price - but also your offering terms. Most purchase offers define both, and in some cases, terms and conditions can represent thousands of dollars in additional value for buyers - or additional costs. Terms may include inspections, requests for specific property repairs, or timing considerations, such as a conditional purchase clause (if, for example, you must first find a buyer for your current home).

5. Determining A Price

Some buyers mistakenly believe there is a predetermined formula for offers -that offering prices should be X percent lower than the seller's asking price or the amount they are really willing to pay. In practice, your offer price actually depends more upon the basic laws of supply and demand. If many buyers are competing for homes, then sellers will likely get full-price offers and sometimes even more. If demand is weak, then offers below the asking price may be in order.

6. How To Make An Offer

The process varies by state. In most cases, you complete an offer that your agent presents on your behalf. The owner, in turn, may accept the offer, reject it, or make a counteroffer. Because counteroffers are common (any change in terms can be considered a "counteroffer"), it is important that you remain in close contact with your agent during the negotiation process so that any proposed changes can be quickly reviewed.

A Realtor provides valuable assistance in regards to counseling you on market conditions, pricing, and negotiation strategies. They can do a CMA (Comparative Market Analysis) in the area and help determine what would be a good price for the offer.

There are several factors that affect your negotiation position:

  • Cash
  • Pre-approved for a mortgage
  • Don't have to sell current/another home or other contingencies before completing purchase
  • Quick close of escrow
  • Is it a seller's or buyer's market?
  • Are you asking for a home warranty?
  • Are you asking for closing costs?

Negotiations begin with the initial offer and conclude with an accepted final offer. Your offer will specify all your terms and conditions of the purchase you want to negotiate. The more demands you make of a seller, the less favorably they will look at your offer.

Contingencies - These are the times allotted for inspections, loan approval, appraisal and/or selling your current home.

Seller Response - Accept, Reject or Counteroffer. The counteroffer becomes binding when either 1) you sign unconditional acceptance of the seller's counteroffer or 2) the seller signs unconditional acceptance of your counteroffer. At this point, negotiations are over and the terms of the sale are final.

7. Reviewing The Seller's Response

You and our team will review the seller's response, and in some cases, negotiate a new offer. Your real estate professional's knowledge of the process and strong negotiating skill will help you reach the best agreement.

8. Opening Escrow

Once the purchase agreement is accepted and signed by all parties, Prestige Properties will open escrow for you. Your earnest money will be deposited at this time. Your escrow company will handle all funds associated with your transaction.

9. Entering the Contingency Period

This time period is specified in your purchase agreement and is used to obtain the following items:

  • Physical Inspection of Property
  • Property Pest Inspection
  • Property Appraisal
  • Approval of Seller's Transfer Disclosure Statement
  • Preliminary Report Approval from Title Company
  • Approve Seller Disclosures

In addition, during this time period, you will be able to.

  • Satisfy any Purchase Contingencies
  • Secure a Lender
  • Obtain Loan Approval
  • Request for Repairs

10. Obtaining Homeowner's Insurance

In preparation for owning your home, you must provide a homeowner's insurance policy that is in effect by the close of escrow. Your real estate professional will work with your escrow company and insurance agent to ensure that your policy is in effect by the proper date.

11. Depositing Funds For Down Payment & Closing Costs

Before escrow can close, you will need a cashier's check or wire transfer in the amount of your down payment and closing costs. Your escrow company will provide a statement of estimated closing costs that show this amount.

12. Signing Loan Documents

Before escrow can close, you will review and sign all loan documents from your lender. This may be done at an appointment with your escrow company.

13. Closing Escrow

When all conditions of the purchase agreement have been met, you will then sign all of the closing documents. After you deposit the balance of your down payment and closing costs with the escrow company, and lender has approved your final loan documents, your lender will then deposit the balance of the purchase price. Next, the Country Recorder's office will record the deed. You will then be the proud new owner of your.

Homepowner's Insurance

You need to have active homeowner's insurance before your Loan is approved. To obtain a homeowner's policy, check with the insurance agent that you already use for automobile or renter's insurance. They may be able to offer you a discount for consolidating your insurance needs.