YAY!
Have you done your homework?
We’re talking… financing specifics, the closing date, home warranties and earnest money. These are the top things we recommend you do some research on when, or even before, you’re ready to write an offer!
Financing
Cash, conventional, FHA or VA? Depending on how you plan to finance your home purchase (or not), your options of housing may be limited. For example, a distressed home likely will not pass an FHA appraisal and therefore, some sellers of distressed homes may not be open to taking an FHA offer. Some other questions you may want to ask yourself include- How much are you planning to put down? What are your approximate closing costs? Do you need assistance from the seller in covering these? These are all great things to discuss with your trusted real estate and lending professionals prior to home shopping and offer writing!
Closing date
Yes, you need to be present on Closing Day! Don’t write a closing date of 4/15 if you have a vacation planned that week, or if that is your busiest week at the office. Make sure to check your calendar before committing to a date! Most closing dates are about 30-45 days after the offer is written. Also, make sure to consider how long your lender needs to successfully meet the timelines of the contract. Some lenders and loan types can move more quickly than others, so have these conversations up front and know what to expect!
Home warranty
Is this something you value? Would you like the seller to pay for it? What company would you like to order it from? We have a great partner in Choice Home Warranty, if you want to learn more about what these plans entail.
Earnest money
This is due almost immediately after your offer is accepted, so it’s important to have this money liquid and ready to go. Have you budgeted for this, and are these funds accessible today?
Feeling overwhelmed?
Don’t sweat it. We can help you with every single one of these items! Just make sure to start thinking about these things ahead of time, so you can focus on the fun stuff (like how to win a bidding war) when the time comes to write an offer!