1. How do I determine my price range for buying a home?
Every home buyer has their own unique set of financial circumstances. The amount of money you make each month is used to calculate the size of mortgage, or money loaned to you to purchase a home. This calculation also takes into consideration how much money you owe each month in expenses and overhead.
It's imperative that you make contact with a mortgage broker or banker to help determine how much you can spend on your home. Nowadays, you will need to come up with a down payment. This is a percentage of the purchase price of the home. For instance, if a home costs $500,000, and you qualify for a loan that requires you to put down 3% at least. You can expect to put down $15,000. This number does not include the loan fee and other transaction costs that are sometimes associated with purchasing a house. You should shop around and find the best rate, the best costs, and get a good faith estimate each time. If you would like the names and numbers of some great people to help you with your home loan, call us at 310.392-0096 or email us at dana@bestsideofthewestside.com
2. How do I find homes for sale in my price range?
The best way to locate homes for sale within your price range is to work with a real estate professional....TAAAADAAAH! You can also check out local publications, drive around looking for signs, or use the Internet to help your search. However, for the best results, call a real estate agent and ask them to send you all the current listings within a specific price range, in the areas you desire.
Call me today and you will receive an email with listings that meet your needs within 4 hours.
3. How does the real estate cycle work?
The real estate cycle begins with you, the Buyer. Once you have made the decision to purchase a home, condo, townhome or some vacant land to build your dream home on, you need to get pre-approved for a loan amount. After you know how much you can afford, it's time to find the right property. Now you're ready for some real help. Your real estate agent will provide you with all the current listings that meet your needs. Once you find what you want, it's time to make an offer. The offer reflects the purchase price, the closing date, what is included in the sale, i.e. washer / dryer / etc., not to mention a number of other items that your real estate agent will explain to you while putting the Purchase Agreement together. Once the offer is written, your agent will present your offer to the listing agent or the owners of the property.
Once you reach an agreement, it is time to have an inspection, review the title report, review the neighborhood, get to work with your lender to prepare your loan package, and review any disclosures that the seller has made. The seller will fill out a Transfer Disclosure Statement, a Supplemental Statutory disclosure, and various state mandate disclosures for natural hazards, lead based paint, retrofitting compliance, mold, and lead based paint. An escrow will most likely be chosen by the seller or the seller's agent. I go into much greater detail on the escrow process in my article called X
4. How do I negotiate a fair price when we find the perfect home?
When negotiating a fair price for a home, you must consider a number of factors. First, other homes that have sold in the area. What they sold for. How long they were on the market. How comparable they are or are not to this property. It is important to give and take while negotiating the final price for your home. The current owners, sometimes have an emotional attachment to the home, you will understand this better after being a home owner for a few years! Everything is negotiable, including increasing the purchase price and asking the home owners to credit you for closing costs. Your agent, should be able to provide you with a comparable market analysis of homes that have sold in the area.
5. Who should I call to help me find a home?
If you are looking to live in the Santa Monica Real Estate or Westside Los Angeles Real Estate Market, call me at 310-392-0096 or send me an email to get more information. If you live outside the area and would like a personal referral from us, we can find the best agent for you in your area. Call us today for an agent in your area!
This article was originally published in category: Los Angeles Real Estate At BestSideOfTheWestSide Titled: 5 of the Hottest Questions I Get from First-time Santa Monica Homebuyers in Today's Buyer's Market
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