San Diego Realtors Do More than Just Show You Homes for Sale — Realtors Help You Make Good Offers, Too!
Written by John Harris.
Realtors do much more than just find property for you to view. Realtors provide many others services, such as introducing you to potential financing firms, title search firms, and real estate attorneys. Realtors also coordinate much of the steps needed to get you from making the offer to closing on your new home.
Your realtor will be invaluable to you, when you have found the property you wish to purchase and are ready to make an offer. There are several factors that must be considered, and your realtor has the training and experience to ensure you create the best offer possible.
You and your realtor already have calculated what you can afford to pay for a new home. Now, your realtor will help you decide what you are willing to pay for the home you wish to purchase.
First, your realtor will provide you with comparable properties that have sold within the last six months within the same neighborhood. They will be similar enough to the home you wish to purchase in order to be a useful tool for setting your offer price. Property features will be comparable with roughly the same age and condition. The sale terms and conditions will be similar, such as both purchased by a convention 30-year mortgage. Occasionally, there are no comparable property sales available to your realtor. In such circumstances, your realtor will locate similar property sales in other neighborhoods, noting the differences between the locations that would influence a difference in selling price.
Your realtor will discuss other factors with you that must be considered and included in the written offer. Once signed by the seller, the written offer is a contract that binds both you and the seller to the agreed upon terms and conditions set forth within the offer.
Some key points that your realtor will include are:
Dates — the date the offer is made and when the offer will expire, usually
within 48 hours. The offer also will include the settlement and “take possession” dates, which is typically 45-60 days to allow time for a title search, mortgage approval, and any inspections and repairs that are required.
Earnest Money — the amount of your deposit that accompanies the offer and shows that you are serious about buying the property. If a very large amount, then the offer should stipulate that the money be held in an interest-bearing account with the interest being credited to you at settlement time.
Names — the legal names of both buyer and seller.
Total Purchase Price — the amount you are offering.
Property Information — a detailed description of the property and its street address.
Auxiliary Professionals — a list of any attorneys, your realtor and other brokers, and others involved in the sale of the property, as well as terms and conditions of their compensation.
Deed and Title Condition — type of deed and condition of title that is acceptable to you, such as only a clear title; actions required of the seller, such as all liens are to be paid by seller prior to closing; and what recourse you have if conditions are not met.
Contingencies — it should state if the purchase is contingent upon such things as obtaining a mortgage within a specified time and at terms agreeable to you; or you must be able to sell your current home at an acceptable price level.
Prorating — of costs, such as property taxes, to the closing date.
Inspections — there are several tests and inspections that may be required or desired by you. These include a final walk-through of the property immediately before closing; environmental tests for harmful substances, inspection for termites, and a general inspection of the property’s condition. It should include what the seller is required to do if a report is unsatisfactory, and that you may withdraw your offer if the problems are not rectified before closing.
Accompaniments — what is included with the property as part of the sale price, such as furnishings, chandelier, and special windows treatments that are currently in the home.
Default Options — what recourse both you and the seller have if either party defaults on the contract.
Your realtor will help you decide whether to make your highest offer at the start or to bid lower. The realtor takes into account any enticements offered by the seller and how many other buyers you are competing against.
Your realtor knows that negotiations may go on for days with offers and counteroffers bouncing between you and the seller. Let your realtor guide you throughout this process.
This San Diego Realtor article is brought to you by the Tanner Williams Team of Prudential CA Realty in San Diego.
