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Here’s the place to get the answer to all your real
estate related questions. If you have a question please email,
it will be added to our FAQ or you will get a personal reply.
Email Lynn for an answer to your question.
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Do buyers like to view a furnished house better?
What is a “Walk Through”
and what should I expect?
What is a “Deposit”
for?
Should a buyer get a professional
home inspection?
What are closing costs and who
pays for them?
Should I pay points to
get a better interest rate?
What are points?
What is difference between
points and origination fees?
What are some common
real estate terms or lingo that I might need to know?
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Do
buyers like to view a furnished house better?
If you have a choice, it is usually better
to sell your home while it is still furnished. That way, prospective
buyers can more easily imagine how it will look when they move
in, even though their furnishings will be different. Generally
homes that are furnished sell more quickly and for a higher
price than vacant homes. Back
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What
is a “Walk Through” and what should I expect?
You’ve inspected the home and everything
looked fine, however, a final walk through just prior to closing
allows you to see the home after the sellers have move out.
This gives you an opportunity to see the home and access any
problems that you may have missed because furniture and rugs
made certain areas inaccessible. You’re able to make sure
the movers didn’t damage the home in anyway and that everything
is like you previously viewed it. Make sure a right to do a
final inspection is included in your purchase agreement.
Back
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What
is a “Deposit” for?
When you make an offer on a property,
you will be required to make a deposit towards the purchase
price which indicates to the seller that you are negotiating
in good faith, and signifies the intention of the buyer to complete
the purchase. The deposit is typically a few thousand dollars,
but usually not more than 5% of purchase price. The deposit
is normally kept in the Listing Broker’s trust account
until the date of closing, or other termination of the Agreement
such as lack of fulfillment of conditions, etc. At closing,
the deposit becomes part of the down payment. If, for any reason,
the buyer defaults on the contract, (a very rare occurrence,
by the way) the deposit money becomes payment for damages suffered
by sellers and their agents. Back
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Should
a buyer get a professional home inspection?
Hiring
a professional home inspector can save a great deal of grief
for buyers. The one exception would be when the home is new
and carries a written warranty by the builder.
Many buyers mistakenly believe that the only reason to have
a home inspection is to make sure that the house they're buying
doesn't have defects serious enough to warrant backing out of
the transaction. But there's more to it than that.
Sometimes, an inspection will reveal major problems that may
even surprise the seller. And, the discovery of such problems
may cause the buyer to re-think his or her offer.
Although a competent inspector can uncover deal-crushing defects,
these problems are usually not commonplace. Typically, the seller
will already have told the buyer about anything major. More
often, inspections reveal less serious problems. The buyer can
ask that certain things be repaired or that the seller compensate
for the defects. More important, it also prevents the minor
problem from developing into a major disaster a year or two
down the road. The main issue here is that the buyer is aware
of any problems.
There is, of course, the possibility that the home inspection
will produce another outcome: everything is fine. In this case,
they buyer gains piece of mind, confident about the major investment
he or she is about to make. That, too, is an enormous benefit
for the cost of the inspection.
Back
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What
are closing costs and who pays for them?
First,
the responsibility of who pays for closing costs is always negotiable.
Local custom may dictate which fees the buyer will pay and those
the seller pays.
Typically in Louisiana, the buyer pays for home inspections,
deed preparation, title search and recording fees. He or she
may also pay for title insurance, since this is required by
the lender. The buyer is also responsible for any fees or costs
associated with obtaining the purchase loan, appraisal, survey,
etc.
The seller customarily pays the real estate agent's commission,
as well as his share of attorney fees and cancellation of mortgage
fees.
Who will pay for what closing costs should always be clearly
spelled out in the purchase offer. A creative sales associate
will consider the cash, income and tax situation of the home
seller and the buyer when constructing an offer. For instance,
if the buyer is short of cash, the agent may ask the seller
to pay the buyer's loan points up front in exchange for some
other concessions from the buyer. In this scenario, the buyer
and seller benefit-and both get what they want. Back
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