BRING IT ON HOME!

October 17th, 2008

Buyers and sellers develop a natural sense of excitement as a transaction’s closing date nears.  While most aspects should run smoothly, it’s wise to be prepared for unexpected delays.  Anticipating potential problems before they develop could save untold time and stress.

One pitfall might be the title search.  The title is simply legal proof of a property’s ownership, but issues such as death, divorce, and liens can cloud the final result.  Meet with an attorney to determine and resolve any problems.

Financing can also present snags.  If the buyers can’t qualify for a loan, the transaction falls through.  Buyers should begin their mortgage education well in advance of their home search, and sellers should ask a price in line with the home’s appraised value.  If the appraisal is much lower than the contract price, the lender will likely reject the loan application.

The best situation for buyers (and sellers) is to have a loan pre-approval in hand.  It starts with the loan officer performing a review of the buyer’s credit, income, and asset v. liability status.  A letter of pre-approval should indicate exactly how much home a buyer can afford, and should put sellers more at ease with pre-qualified buyers.

There are myriad aspects to closing the transaction, so go over each item thoroughly with your REALTOR® and develop your plan of action!

Call me if you need assistance with your real estate decisions.  If you prefer, email me at donkingsley@kingsleyrealestate.com.  I will be happy to share my knowledge with you at no cost or obligation.

Entry Filed under: Buying A Home, Financing, Real Estate Tips, Selling Your Home