Preparing the Offer to Purchase...
- If requested, Josie will complete a comparative market analysis.
- Explain and complete an offer to purchase.
- An earnest money check should accompany all offers, and will be cashed upon acceptance. This money is applied towards the down payment.
- Josie will contact the seller's agent and present your offer.
- Once all parties have reached an agreement, I will get your final approval on the contact and deliver it to the seller's agent for their final signatures or initials.
- Josie will give you two copies of the contract, and will fax one to your attorney and one to your lender at your request.
- Once you have spoken to a home inspector, let Josie know so that the appointment can be confirmed with the Seller and other agent.
- Be sure to apply for a loan within 7 days of acceptance.
- Remember to transfer funds for the earnest money.
- Relax. Your attorney, lender, and Josie will keep you informed of anything that you need to do.
- One year pre-paid homeowners policy commencing on the closing date.
- Be sure that you have called all utilities and transferred them into your name
- Complete final walk-thru after home is vacant to make sure all personal property that is to remain is there and that the home is in the same condition as the date of contract signing.
- Bring a cashiers check at closing for the balance of the funds necessary to close. Typically, this sum is not available until the day before closing. If you would like, you can use the good faith estimate as a guideline and the title company will give you money back at the closing. Make the check payable to yourself.
- Bring a driver's license or picture I.D. to closing to prove who you are.
- Your attorney will explain all the documents that you are signing and ensure that you receive a copy.
- Your attorney will make sure your deed is recorded and will send you a copy in approximately two weeks.
- ENJOY YOUR NEW HOME!!!!!!!
What to Bring to the Loan Application...
- Contract for Purchase
- Contract for sale of current home (if applicable)
- Last 2 years W-2's and tax returns
- Loan payment information (credit cards, car loans, etc.)
- Earnest money deposit receipt or cancelled check
- Attorney and realtor phone #'s.
- Driver's license and social security card or number
- Application fee
- Cancelled checks for last 12 mos rent or mortgage
- Business tax returns
Your Agent and Agency
Agency: This is a framework that has developed in the law to allow individuals to act through another person or representative. Examples include hiring an attorney to represent you in a business or real estate transaction, working with a stockbroker to buy or sell stocks, or working with a real estate agent to buy or sell a home. Your legal agent may have limited or unlimited powers on your behalf. Your legal agent owes you certain fiduciary-like statutory duties such as confidentiality, promoting your best interests, and exercising reasonable skill & care.
Designated Agency: This arrangement with real estate brokerage company results in one or more sales associates with that company being designated as your legal agent. Illinois state law presumes that the agent you work with, whether you are a buyer or seller, is your DESIGNATED AGENT, unless you have an agreement otherwise. Other sales associates in the real estate firm may be the legal agents of other buyers and sellers and may be the legal agent of the party from whom you buy a property. The only individuals owing you statutory duties are those designated as your legal agent, typically agent showing you homes.
Buyers Agent: As a buyer, you will have access to listings available to your designated agent through the Multiple Listing Service, and other sources. You will also receive other services through Leslie such as financing information, assistance in determining your price range, providing you with a written market analysis for the property you are trying to purchase, and experienced negotiation Assistance. Typically, there will be an agreement between you and Leslie, outlining the type of agency you prefer.
Dual Agency: In this type of situation, both the buyer and seller in a transaction are represented by the same legal agent. In this case, there are specific statutory duties that the dual agent owes to both buyer and seller. Most notable is the duty not to disclose confidential information to either party. Dual agency is allowed only with written consent. You will be given a form explaining Dual Agency, and asked to confirm your prior consent before entering into a contract for the purchase of property. Please note, that in a dual agency situation the following applies:
WHAT A LICENSEE CAN DO FOR CLIENTS WHEN ACTING AS A DUAL AGENT
- Treat all clients honestly.
- Provide information about the property to the buyer or tenant.
- Disclose all latent material defects in the property that are know to Licensee.
- Disclose financial qualification of the buyer or tenant to the seller/landlord.
- Explain real estate terms.
- Help the buyer or tenant to arrange for property inspections.
- Explain closing costs and procedures.
- Help the buyer compare financing alternatives.
- Provide information about comparable properties that have sold so both clients may make educated decisions on what price to offer or accept.
WHAT A LICENSEE CANNOT DISCLOSE TO CLIENT WHEN ACTING AS A DUAL AGENT
- Confidential information that Licensee may know about the clients, without that client's permission.
- The price the seller or landlord will take other than the listing price without the permission of the seller or landlord.
- A recommended or suggested price the buyer or landlord should offer.
- A recommended or suggested price the seller or landlord should counter with or accept.
- The price the buyer or tenant is willing to pay without the permission of the buyer or tenant.
Why is a Pre-approval Letter So Important?
- A pre-approval letter is more reliable than a pre-qualification letter. This tells the seller that you have already been through the loan process and are just awaiting a home. Having this can save you thousands because sellers are more anxious to work with someone already approved for financing.
- You will know how much money you can qualify to borrow and how much the payments will be based on the purchase price you choose to focus on.
- You will have more leverage in negotiations with the seller, and you will feel less stressed when you know that financially the house you would like to purchase is available.
- A realtor will work harder for you because it means that you are serious about buying a home.
- Make sure not to make any major purchase prior to discussing this with the lender that has pre-approved you.
The Home Buying Process Typical Timelines:
with contract, cashed on acceptance
5 business days
5 business days
7 business days, 21 for approval
Final Walk Through
24 hours/day of closing
30-60 days from acceptance
Closing day or other
Referrals to Josie
Today, tomorrow and Always!