Prior to jumping into the car and heading for houses, the next step is to have an in depth inter view with your agent. This interview will be as helpful to you as it will be to your agent.
Use this interview to discuss your needs and desires as they relate to price, house size, house style, neighborhood, and location and school details.
(A prudent approach would be to look only at houses priced at your pre-qual loan level plus five to six percent.)
As a conclusion to the interview, set a schedule to preview houses.
Choose times that are convenient to you but try never to view houses after nightfall. If you must view after dark, revisit during the day.
THIRD SUGGESTION:
PREPARE FOR THE TOUR
Properly preparing to tour various houses is quite important as the preparation can make the experience more enjoyable and less stressful. The following lists a few ideas, which have proven to be helpful.
- Take along a small note pad and pencil or pen
So that you can record certain features. At the end of the tour it is difficult to remember all you have viewed. Try to grade each of the houses you preview on a scale of 1 to 5; 1 being of the highest interest and 5 the one of least interest. Log the address of each by each grade. The back page of this booklet works well for this task.
- Be comfortable so dress neat and for comfort.
- If you have small children, it is best to preview homes without them. Children are easily bored and can detract from your attention to the house.
- Discuss with your agent how many houses you wish to see during each tour session. Viewing too many at any one time "muddies the water"-in other words you will start to mix features of one house with features of another house. Five to six is a good number to use.
- If you have had a good interview and your agent is seasoned; you most likely will find your "dream house" within these numbers.
- Also important is the act of being punctual. Try to make every effort to be on time as this promotes an air of comfort for both parties.
FOURTH SUGGESTION:
DURING THE TOUR
Ask questions concerning the next house you are to preview; such as age, what type of foundation, how old is the roof and what is the seller's motivation for selling? Ask as many questions as you feel you need to.
As you arrive at the house log the address. This will prevent you forgetting to do it after you have previewed. Also, remember to grade this house as you leave.
While in the house it is considered proper to stay together.
Ask your agent to point out the construction quality such as types of windows, quality of kitchen cabinets and drawers, what kind of trim was used-low cost cove or higher cost colonial/custom. What type of heating & cooling system. If your interest at this point is high enough, ask to see copy of all utility bills.
As you are walking through observe the corners of the walls at ceiling height and note any cracks. Do the same around the doors and windows. Note the ceiling that there aren't any water spots as these spots indicate either past or present leaks. Pay particular attention to these items when previewing houses with basements.
Your agent should ask the owner if they are knowledgeable of any fact that has not been disclosed to you or has not been published in the listing.
FIFTH SUGGESTION:
SPEND A DAY AND EVENING
In the neighborhood of the house you have selected. This will give you a chance to become familiar with the general upkeep of some of the homes, noises and the proximity to any nuisance area. Talk to several of your potential neighbors and ask about the neighborhood, schools and anything else that may be of interest to you.
Once you are satisfied, then submitting an offer to the seller is the next step. You have the choice of asking your agent to come to your home or you can visit with the agent at his office.
Discuss the price which you feel you want to offer. You have your pre-qual information with you. Using that information and the data which your agent will have such as comparative market price for the area, recent sales for equivalent houses and selling price to listing price ratios, you should develop an offering price which should be of great interest to the seller.
The terms of each offer varies with the needs of sellers and buyers, therefore work closely with your agent to ensure all of your needs are met.
If personal property is to be included with the sale, it is always a good idea to have a written inventory, including serial numbers of such items as refrigerator, washer and dryer. This will insure no substitution prior to closing.
An important point, which you should discuss with your agent, is that of making an offer so as not to generate a counter offer. A buyer always wants to purchase property for the least amount of money and on "his" terms. The seller always wants to sell his property for the maximum amount of money and on "his" terms.
Again-your agent can give you all details concerning counter offers.
Within a few hours after acceptance of your offer, you may have a feeling of "did I/we do the right thing-did we over extend ourselves-is that really the house we want?" or various other feelings and thoughts. This is commonly known as "BUYER'S REMORSE". It is a common affliction of new buyers. The best medicine is "FORGET IT!" Move on and enjoy making your new house a great home.
The next step after the seller has accepted the offer or you may have accepted a counter offer, is the process of opening and closing escrow. Escrow is nothing more than the procedure of making sure all terms of the offer are carried out, you (buyer) receive a clear title to your property and all parties receive any monies due.
Your agent, as a professional will accompany you and walk you through the escrow procedure.
Before signing any escrow papers, any questions relating to taxes should be addressed to your tax professional or your attorney as your agent cannot practice law or act as a tax counselor.
PREVIEW LOG
DATE
ADDRESS/DESCRIPTION
GRADE 1-5
If you take the time to grade each house you preview, the task of narrowing down your choices will be much easier. We suggest you grade on a scale of 1 to 5 - 1 being the highest level of interest & 5 being the lowest level.
Enjoy the experience!
