Real Estate FAQ’s

This is one of the first things you’ll need to determine. Speaking with a lender will guarantee that you have all the necessary financials ironed out and a clear picture of what is required and what you can afford. Through this process you’ll get pre-approved and will be able to go shopping with knowing what the price range of the home you can either afford or have agreed to spend on. Being pre-approved takes the guess work out and makes any offer you put on the table a serious offer for a prospective seller. Without being pre-approved, you aren’t actually in a position to place offers and therefore not in a position to buy. Speak with a lender! We can provide a recommendation or you may already be working with one of your own.

The first steps to buying a home are generally to take a look at what your needs are and how they align with your resources and the current market. It is an assessment of all these things along with a discussion about how the process works and who else is involved in making your real estate goals a success. We define what this means to you and take a look at all the steps and length of time in order to set what your expectations should be. A Buyer Consultation with the agent you choose will enlighten the process.

Earnest money is a deposit made in good faith by the buyer when an offer is accepted by the seller. The amount can be negotiable and sometimes accepted in the form of a promissory note. The deposit is traditionally held by third party such as the escrow company closing the consummated contract.

The earnest money is held in lieu of performance of the agreed contract. Know the terms of your contract. Failure to comply with the terms of your contract could result in a potential loss in whole or part. Assuming you made it to the closing table, you will see the offset of the credit for funds required to close unless otherwise negotiated.

This is a very common way to buy a new home! Selling your existing home in order to purchase your next home is a very common way to get into your next home. However, be aware that this type of transaction is weighed against other buyers that may or may not be in the same situation. Some buyers are able to purchase their home through other means including cash, so it is up to the seller to determine which offer they will accept. There are a lot of factors that the seller weighs and highest price isn’t always the most important. Speak to your real estate professional in regards to this.

A buyers market is a time when there is an excess of inventory weighed against the demand for the inventory. This creates an environment where homes traditionally sit longer on the market and buyers have more leverage when making an offer. They have more to work with when negotiating with a potential seller. There are different reasons a market has shifted from a seller’s market to a buyer’s market but being ready to purchase and being pre-approved puts you in the drivers seat.

As a buyer, a home inspection works in your favor. It gives you an opportunity to have the home inspected for any damage, workmanship, or immediate/future concerns that may arise. It gives you insights into what needs work, what needs fixing/replacing and what potential costs could arise in the near future. Depending on the inspection report, you may be able to negotiate concessions with the seller for fixing specific concerns or reducing costs so that they may be offset in the final purchase price. There can be a lot of leeway here depending on how the market is. Speak with your real estate professional or contact us for more information.

As a buyer, your buyer’s agent represents you and is an advocate for your needs and best interests in the purchase of a home or property. Traditionally the Seller’s Agent who represents the seller pays a percentage of their commission to the Buyer’s agent representing the buyer in the transaction. The commissions are negotiable and be sure to discuss this with your real estate professional. This scenario is specific to Washington State and may differ from state to state. In certain situations an agent representing a buyer, the buyer may have a responsibility to compensate their agent in whole or in part. See the next section for an explanation of what a buyer’s agent does.

A Buyer’s Agent represents the best interest of his client as a buyer in the transaction. They are responsible for making the offer on behalf of the buyer, negotiating the offer & concessions and being an interim with others that are a part of this process and transaction. This includes working with the lender, home inspection, seller’s agent, potential repairs, general services such as clean up, junk removal to name just a few. The Buyer’s Agent will be conducting extensive searches and showing homes to their clients. This can be a long process depending on the buyers strengths and the condition of the market. In short, a good Buyers Agent can make your home buying experience a smooth one! See The Law of Real Estate Agency document for more information.

The value of your home is determined by a large number of market factors. We take a look at the condition of your home, what work it may need that could increase its value, recent updates, your neighborhood, amenities, compare it against other homes in the same category and against the market as a whole.

Please not that a home appraisal is done by the buyer and their lender as part of the offering process.

This complete analysis takes some time, but if you are looking for the best general idea before you contact us then you can use this online home valuation tool. It will give you a series of estimates and you can average them out. Here is the tool!

The value, quality, pricing and condition of your home along with the number of interested buyers will determine the length of selling time for your home or property. Again, this is always weighed against the current market conditions. Things shift and some times are more favorable than others. Pricing your home correctly plays a considerable role in the quality and quantity of offers you could potentially receive. An overpriced home can cost you time and offers. Contact us if you have questions regarding this. There are times where a home can sell within days of being on the market or up to three months. We can discuss the particular factors for your property.

This is one of thee most common questions asked. There are annual/seasonal trends in the market place along with other external factors. The simplest answer to this question is that the best time to sell your home is when there are the most buyers looking for a home like yours. Being able to navigate when that happens is a larger conversation and will be determined by any seasonal trends and external factors. Contact us to learn more.

A “seller’s market” represents a time when there is more demand to buy a home than there are homes on the market. This creates a good environment to sell as your home can have multiple buyers interested.

Value needs to be determined and the tried and true method of doing this is to have a professional visit the property to do an assessment and do a comparison against the neighborhood, community and homes in the same category. The home appraisal is required by the bank or lending institution as in general is a tool to assist in pricing the home appropriately. Once this value is established, things can move forward.

A Seller’s Agent or Listing Agent as commonly known, is paid a commission from the seller for the services they provide. In turn, the seller’s agent (REALTOR® or broker) has expenses they must also account for in order to sell their client’s property/home. The agent is compensated when the home closes and if officially sold.

A Seller’s Agent gets paid for the services they provide to the owner of the selling property. The seller’s agent provides services for listing the property, administrative fees, marketing, selling/finding buyers, negotiating offers, weighing contracts, and facilitating the other legal requirements necessary for the transaction if the property. This involves staying in communication with other professionals such as lenders, the buyer’s agent, appraiser, repair & construction , city/county , etc.. Depending on complexity of the transaction the list can be quite expansive. There are many things to account for that make sure the transaction comes to completion. See Law Of Real Estate Agency document which clearly helps to define this.

The first steps in selling your home are in determining what your needs are. A complete picture of where you stand needs to be determined. Are you planning to buy a home after selling this one? Does that home purchase depend on the sale of the currently owned home? What are your financial resources, needs, concerns and how do you qualify for a loan if needed? This is part of a larger conversation that even precedes concerns about home value and condition. We create a strategy that works for you based on your unique needs and concerns. This is generally a “big picture” conversation and we are here to address all your concerns!