As Orange County (or Southern California) home buyers, there are some important issues you need to know when it comes to finding the home of your dreams...well okay it may not be the exact home of your dreams...yet a great place to call home. Despite what you may hear on the news or reading in the newspapers we are currently experiencing multiple offers on many of the properties on the market, especially those in the entry level price range. And as you may know, it's not always about price when it comes to getting your offer accepted.
Here's a list of very basic expectations/requirements when submitting an offer in Orange County and most areas of Southern California.
1. When making an offer to a home seller or lender (in the case of a bank repo) first and foremost your offer needs to be in writing. Most offers written in California are on the Residential Purchase Agreement and Joint Escrow Instructions. It's an 8-page (California Association of REALTORS) offer form and will be accompanied by a variety disclosures and addendums. By that time it's someone around 28-30 pages.
2. Your offer needs to be accompanied by a copy of your lender's loan approval, or pre-approval whichever is applicable. You need to demonstrate to the seller you've already begun the process of credit verification, employment documentation and poof of funds on deposit(or another source) necessary to close, i.e. down-payment, closing costs + required reserves.
3. A photo copy of your earnest money deposit check(EMD as stated on most listings in the MLS) it's referred to as the initial deposit on page one of our CA Residential Purchase Agreement. Although it should be noted the last revision of the CA contract allows for a buyer's deposit to be electronically transferred into escrow within 3 business days after acceptance, from a practical standpoint most listing agents want to see a photo copy of a check.
4. Verification of necessary funds on deposit again covering down payment, costs and reserves (yes I realize you've already provided this to your lender for pre-approval) most sellers and listing agents require additional verification upon acceptance of an offer. If the sale is all cash, most listing agents and their sellers want proof of funds at the time the offer is presented, not (XXXX) amount of days later mentioned on page 2 of the contract.
If this seems like too much trouble, I can clearly state there is not a seller, nor a seller's agent/representative that I know out our there today that will accept an offer without this information. To see more in this topic, go to HomeSelling101.com, it's the place for virtual learning for real life real estate.
Check out other helpful 2-minute real estate videos:
- Understanding the CA Real Estate Contract
- Home Buying in a Southern Cal Association
- Real Estate Terms for an Upside Down Market
- 2011 The Year of the Short Sale?
- The Short Sale Waiting Game
- Selling Short? CA Sen. Bill 931 Can Help
- Southern Cal Home Buyer & Home Selling Disclosures
- Southern Cal Home Buying Inspections
- Protecting Your Family ~ Megan's Law for California
- Southern Cal Home Buyers Real Estate Walk Through
- Southern Cal Probate Home Sales
- Select a CRS = Certified Residential Specialist
- Driving Direction to Preferred Home Brokers for Southern Cal Real Estate
When you're looking for knowledgeable, competent real estate help in Southern California contact me Lynda@PreferredHomeBrokers.com. My company is Preferred Home Brokers and we've been serving home buyers and sellers for more than thirty-five years.
You can text or call direct: (714) 595-1494. We represent different types of real esate, short sales. bank repos/foreclosure properties, probate home sales and traditional home buyers and sellers.
-CA Broker License #00402040