THE BUYING STEPS
RESOURCE GUIDE
WHAT TO EXPECT
This is one of the biggest investment in your life and our goal is to be as transparent as possible, So you can make decisions with confidence.
We always communicate before, during and after each transaction to keep you informed promptly and regularly
Do not discriminate against any party based on color, race, religion, or sex
Always put the clients' interests first. Your goals become our top priority.
We do all the heavy lifting for you to insure the process is as smooth as possible for you.
We will take great care of you! We want to exceed your expectation so next time you or anyone you know need help with real estate, you would refer them to us.
Quick overview of the process
01
KNOW YOUR BUDGET
Before beginning your search, your first step is to find-out how much home you can afford. We can help you connect with local loan officers. It's always a good idea to shop at least 2-3 banks. Based on your income and credit history, the bank will determine how much they are willing to lend you. Which will help you determine the price range for your search.
02
VISIT PROPERTIES
Once you know your budget, now is the time to consider your ideal home location and amenities. Open houses are great way to view homes and get a feeling of the neighbors and neighborhoods. We can also set up private touring based on the times / days that works best for you.
Additionally we have access to Coming soon, Off-Market and other listing sources so you can stay on top of every home that hits the market.
03
DISCLOSURE PACKAGE
Once you identify a home you like, it is the buyer's responsibly to review all inspection reports and to determine the overall condition of the property within the agreed timeline and contractual contingencies. You may approve or negotiate credits/repairs. Normally there are lots of documents in the package, but don't worry, we are here to help you navigate through it and answer any questions or concerns you may have!
04
SUBMITTING OFFERS
When you are ready to move forward with the home you like to purchase, we will help you prepare an offer. We will provide you with all the information you need, for example how many other people are interested, what's important to the sellers, what similar homes are selling for in that neighborhood, and other critical information that will help you make a firm decision before submitting your offer.
This offer is packaged with offer agreement documents, Proof of Funds (POF) and pre-approval letter.
Once your offer has been presented to the seller(s) it will either get accepted, rejected or they will counter offer. We will provide more info and advice throughout the process.
05
CONTINGENCIES
Contingencies are for your protection. There are three common types of contingencies: Inspection, appraisal and loan. It basically means the sale or purchase of the house will only happen if the certain conditions are met in the purchase agreement documents.
06
TIME LINES
Normally the life of an Escrow is about 30 days.
- Day 1: Once the offer is accepted, escrow is officially open and the clock starts ticking.
- Day 2: Contact your insurance agent for homeowners coverage.
- Day 1-3: Initial deposit! Normally 3% of the sales price is due within 3 days of acceptance of the offer
- Day 1-21: Loan is underwriting and appraisal occurs.
- Day 7-30: Seller signs grand deed and staging is removed, buyer signs loan and Closing Documents (CD) and wires in closing funds, loan funds and escrow closes.
07
WELCOME HOME!
Once all the documents has been submitted and signed, we just wait for the green light from escrow that we are on record. At this point you are officially done! congratulations! You are now a home owner!
Get Familiar With These Buyer's Terms
​Earnest Money Deposit
Buyer's in California usually deposit 3% of the purchase price to show that the buyer is serious about purchasing the home. It is usually refundable in the event a contingency in the sales contract cannot be met
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Escrow
A neutral third party that handles the transfer California usually deposit 3% of the purchase price to show that the buyer is serious about purchasing the home. It is usually refundable in the event a contingency in the sales contract cannot be met
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Appraisal
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Assessment of the property's market value for the purpose of obtaining a mortgage which is performed by a licensed appraiser
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Recording Fees
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A Money paid to the lender for recording a home sale with the local authorities, thereby making it part of the public records.
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Preliminary Title Report
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A report showing the condition of title before a sale or loan transaction and it shows the ownership of a specific parcel or land.
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CMA ( Comparable Market Analysis )
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It is an estimate of a home's value based on the recently sold similar homes in that neighborhood. For sellers, this report is critical and will help set the listing price, and for buyers, it is critical because it will help them determine the offer price.
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Closing Costs
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Expenses incidental to a sale of real estate, such as escrow fees, loan fees, appraisal fees.
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Closing Statements
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The statement which lists the financial settlement between Buyer and Seller, and the costs each must pay
Common Questions Asked
How does my offer get presented to the seller?
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Establishing relationship with seller's side and letting them know a little about you is key to have a higher chance of winning. In today's electronic world, offers are submitted online. Once offer submitted, we will always follow up to make sure they have received it. At this point you are eager to know what the seller side is thinking, so we will keep you posted with updates through out this process.
Where does my deposit go?
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Once both buyer and seller have mutually accepted offer and agreement is ratified, the escrow company will send you all the instructions to deposit the money into a trust account. That deposit becomes a credit to the buyer and become part of the purchase expense.
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Can I lose my deposit?
There are a lot of moving parts in Real Estate transactions. Lots of legal documents are involved and the process could get complicated. This is another area where having a knowledgeable and professional agent is a necessity. Rarely does the buyer lose their deposit and there are times that the transactions could fall apart and it's beyond buyer's control. However if the buyer willfully decides that they no longer want to buy the house and has no legal reason for rescinding their offer, the the seller has complete right to retain the earner money.
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​Dose it cost money to make an offer?
The short answer is No, it does not cost you anything to make an offer and you are not obligated to anything when submitting an offer. However, once your offer gets accepted, then you will be expected to make an earnest money deposit. The deposit is a sign of your good faith that you are seriously interested in buying the home.