A HOM E BUYER?S GUIDE
A B O U T M E
Buying a home is one of the biggest decisions you?ll ever make, and having the right real estate professional by your side makes all the difference. As an experienced and dedicated Real Estate Agent, I am committed to helping you navigate the home-buying process with confidence and ease
I understand that every buyer has unique needs, whether you?re a first-time homebuyer, upgrading to your dream home, or looking for an investment property. My goal is to simplify the process, provide expert guidance, and negotiate the best deal for you. With my in-depth knowledge of the local market, a keen eye for value, and a passion for helping people, I ensure that you not only find a house? but a place to truly call home.
My approach is built on trust, transparency, and a commitment to your success. I take the time to listen to your goals, answer your questions, and walk you through every step, from house hunting to closing day Whether you need advice on financing, market trends, or the best neighborhoods, I am here to provide expert insights and make your experience smooth and stress-free.
Let?s make your dreams a reality! Contact me today, and let?s find the perfect home for you
ABOUT KELLERWILLIAMS
A companyculturethatnurturesexcellence
It?s not the brokerage that helps you to find your ideal home,it?s the agent
Keller Williams has consciously created a company culture that attracts,trains,and nurtures the best real estate agents in the world so they will be able to better serve you
Our company culture has been studied in depth by Stanford University and they found that:
?Keller Williams is?a company with a unique economic and cultural model, embracing organizational concepts such as profit sharing,shared decision making, open books,and extensive employee training ?
Training Magazine recognized Keller Williams as the w orld leader in training for third consecutive year
Keller Williams is proud to be a client focused organization that fosters integrity and teamwork,rewards innovation and works to create win-win outcomes.
We are thrilled that you are considering Keller Williams as your choice to help you buy what may be your biggest,and most important asset,your new home
WHYBUYWITH KELLERWILLIAMS?
Wehelpyoureachyour goals
Technology:
Leading-edge tech tools and training give us the advantage in effectively finding the perfect hom e for you
Teamwork:
Keller William s Realty m odel was designed to reward agents for working together with the idea that we are all m ore successful if we strive toward a com m on goal, rather than individual interests. I?m confident that every Keller William s professional will serve you in the best way possible
Knowledge:
Keller William s Realty supports every agent in staying ahead of real estate industry trends through its com prehensive, cutting edge training curriculum and research resources
Reliability:
Founded on the principles of trust and honesty, Keller William s Realty em phasizes the im portance of integrity and putting the client?s needs first. My success is ultim ately determ ined by the legacy I leave with each client I have the opportunity to serve
Track Record:
I?m proud to work with the largest real estate com pany in the world by agent count. W hen service is consistently superior, word spreads fast
The largest independent real estate franchise
A network of over 191,000 real estate consultants with a projected growth of 300,000
1,100 offices in the United States and Canada (50)major markets
K E L L E R W I L L I A M S
BOUTIQUE SERVICE
GLOBAL REACH
BUYING
Our winningstrategy
Lifestyle Analysis
Finding your ideal hom e is a process of m atching your lifestyle and financial objectives with the right neighborhood As a RealtorĀ® with experience selling in this m arket, I have the expertise to m atch you with the hom e that fits your lifestyle W hether you want a piece of the city, or a quiet neighborhood with the best schools for your children, I have the area insight and knowledge you need
Search Analysis
Beyond the MLS and previewing hom es online, finding your ideal hom e is also about leveraging relationships As your RealtorĀ®, I utilize m y extensive network and access to off-MLS (pocket) listings on your behalf. To stream line the process, I preview hom es on your behalf, in addition to touring hom es and neighborhoods with you I will always keep you well inform ed of new hom es that com e on the m arket
Negotiate
Negotiating term s for the purchase of what m ay be your largest personal asset requires a professional who has your best interests in m ind After listening to your needs, I will vigorously negotiate the price, contingencies such as inspections, appraisals and financing, as well as the best tim e to close escrow.
Make a Winning Offer
The Bay Area housing m arket is ultracom petitive which is why you need a seasoned professional to give you a com petitive advantage and help you to win the bid on your ideal hom e We will carefully consider if the hom e is accurately priced for the size, location, and neighborhood com parative sales As your consultant, I will advise you on how to best position your offer for quick acceptance, the am ount of your down paym ent and whether you be should be fully pre-approved prior to bidding.
Coordinate
Congratulations! Your offer was accepted and now the race begins The closing of your hom e is urgent and tim e sensitive with m any steps to com pletion
A unique feature of Keller William s is that our culture prom otes team work Everyone at the KW office has a vested interest in helping you close the purchase of your hom e as sm oothly and efficiently as possible. As your agent and project m anager, m y team and I will be there with you through the end of the closing process. We will coordinate the inspections, escrow, and title search, helping you prepare for the closing of your new hom e
PRE-QUALIFICATIONVS.PRE-APPROVAL
Thereisadifference
Pre-Qualification or Pre-Approval:
Knowing how m uch you qualify for is an im portant first step before starting your hom e search Understanding the price range you and your agent should focus on, your down paym ent options, as well as m onthly m ortgage paym ents ahead of tim e, will help you to find and close on your ideal hom e quickly
Pre-qualification
Provides you with a general estim ate of how m uch you can expect to borrow It?s easy and can be done over the phone or online. You provide the m ortgage com pany or bank with inform ation such as your incom e, debt, and em ploym ent inform ation In return you will be given a loan estim ate.
Pre-Approval
will give you the exact am ount you qualify for and provides other advantages for m aking offers in a com petitive m arket
With a pre-approval, the lender takes an extensive look at your financial picture, including two years of your W-2s and tax returns, a credit check, debt/incom e ratio and how m uch you have for a down paym ent
Being a pre-approved buyer lets the seller know that you are in a position to buy now, which can give you a distinct advantage when there are m ultiple offers on a hom e
Not all loan packages are the sam e Going through the pre-approval process is a winwin situation that helps the lender create a loan package that fits your needs
THELOANPROCESS
A seriesof stepstoreachthefinishline
1.Pre-Ap p roval: You will be asked to provide personal inform ation such as your Social Security num ber, incom e, assets, debts, credit inform ation and the specifics on the type of property you wish to purchase.
2 Fu ll Ap p licat ion : During the application process the lender will update any inform ation and docum entation that has already been subm itted.
3 Processin g : Your m ortgage package will be reviewed and com pleted by the processor.
4 Loan Su b m ission : Once the processor has com pleted the loan package, it is subm itted to the underwriter for approval.
5.Loan Ap p roval: All parties are notified of the approval and loan docum ents are com pleted and sent to both the title and escrow com panies
6.Tit le: The title com pany ensures that the property title is clear and legitim ate Once this process is com plete, title insurance is issued for the property.
7 Fu n d in g : Once you have signed the loan docum entation, your lender reviews the loan package, and upon approval, funds are wire-transferred to the title com pany.
8 Record at ion : When the title com pany receives the funds, they are released to the seller, less taxes and fees and you are recorded as the owner of your new hom e
WRITINGANOFFER
Whatittakestowin
Here are some general guidelines for writing a strong offer:
1.Review the relevant sales and market conditions prior to making an offer. Factors to consider include the condition of the home, length of time on the market, competition and urgency of the seller
2.Give yourself room to compete. Ideally, you will want to find homes that are below your maximum so you have room to negotiate on price,the need should arise.
3.While it is important to offer a price that is attractive to the seller, they will often consider other elements before acceptance How much money you put down on the property, and any contingencies or financing terms are just a few factors that may make the difference
4 After your offer has been written, your agent will meet with the seller?s agent to negotiate on your behalf. The seller may accept, reject or counter the offer with changes
5You will be notified immediately of the outcome Should the seller counter, your agent will work with you to review each specific request and move the contract forward to closure
KNOWWHAT YOU AREBUYING
Your opportunitytofindoutexactlywhatyou'rebuying
Inspections are an im portant part of the buying process and allow you to fully understand any issues or challenges with the property before closing the transaction
If the seller has not provided an inspection ahead of tim e, you m ay decide to write your offer with an inspection contingency.This is one of the m ore com m on contingencies that buyers use
A contingency m eans that you will only go through with the purchase if certain conditions are m et.
Hom e inspections should be only done by a certified hom e inspector, and they are usually paid for by the buyer
Often, a seller will have inspections com pleted prior to placing their hom e on the m arket to rem ove the ?contingency?from the buyers bid. Ultim ately, it is the buyer?s responsibility to assess the condition of the property.
Pest In sp ect ion s
Pest inspections are also done by a licensed inspector who will look for wood-destroying organism s, including term ites and fungi (?dry rot?) Pest reports classify conditions as Section 1or Section 2 item s
As with the hom e inspection, the buyer pays for the pest inspection, however the inspector is responsible to deliver an unbiased report, regardless of whether they favor the buyer or the seller
Sect ion 1:
Conditions dem onstrating active infections or conditions dam aging the property. Active term ites, beetles, or wood rot are exam ples of Section 1item s
Sect ion 2:
Conditions not currently causing dam age but likely too, if left unattended A typical Section 2 item is a plum bing leak where m oisture has not yet caused fungus decay.
If dam age is found in the property, such as a crack in the foundation or a roof that needs to be replaced, you m ay be able to negotiate with the seller on rem ediation options
THEESCROWPROCESS
Prepareandpresentyour property
In a real estate transaction, escrow is an independent third party that holds im portant docum ents and funds When opening escrow, the buyer and seller determ ine the term s and conditions for the transfer of ownership of the property via the purchase contract Escrow ensures that all m utually agreed upon term s and conditions are m et prior to the transfer of ownership and distribution of funds
Escrow p rot ect s b ot h you an d t h e seller by m an ag in g t h e follow in g t asks:
- Holding buyer?s good-faith deposit (typically 3% of the purchase price).
- Disclosing escrow and title fees to the buyer?s lender
- Calculating prorated taxes and HOA fees
- Providing a title report and title insurance
- Ensuring that state and local transaction laws and rules are followed.
- Obtaining all necessary and notarized signatures from all parties
- Ensuring the paperwork is legal and binding.
- Recording the transfer docum ents and insuring their accuracy
- Receiving the down paym ent from the buyer
- Receiving funds from the buyer?s lender
- Paying liens, overdue tax, and HOA dues
- Distributing proceeds to the seller
ESCROWFAQS
When do we need to open escrow?
We will open escrow on your behalf after the contract has been signed by both you and the seller After escrow is opened, you have three days to wire your 3% deposit m oney into escrow
What does an escrow officer do?
Your escrow officer will oversee all aspects of your real estate transaction, such as signing paper-work, com pleting a title search and obtaining hazard and title insurance
Why do properties fall out of escrow?
Often, there is a problem with the loan where the appraisal com es back lower than the offer price, or a structural problem is discovered during an inspection
How long does escrow take?
Your escrow officer will oversee all aspects of your real estate transaction, such as signing paper-work, com pleting a title search and obtaining hazard and title insurance
WHO PAYSWHAT?
Buyer andseller fee
Many fees are negotiable; however, there are som e fees that you and the seller are required to pay.
Buyer t yp ically pays:
- Inspections
- Their share of escrow fees from the
- title com pany
- Loan fees required by your lender
- Title insurance prem ium
- Fire and hazard insurance prem ium
Seller t yp ically pays:
- Real Estate com m issions
- Any judgm ents or tax liens
- Any unpaid hom eowner?s dues
- Transfer taxes
- Delinquent property taxes
- Their share of escrow fees from the title com pany
CLOSINGCOST
Whatyouneedtoknow
Closing costs are fees paid by the buyer and the seller at the close of your hom e
During the escrow process you will have received a Good Faith Estim ate which includes your closing costs and settlem ent charges
Typically, closing costs are 1-2% of the purchase price of your hom e. A few days prior to closing, your lender will give you a detailed breakdown in the Closing Disclosure Statem ent
W h at ?s In clud ed ?
Closing costs include loan origination fees, discount points, appraisal fees, title searches, title insurance, surveys, taxes, deed-recording fees, initial deposit for your escrow account, hom e owners insurance and credit report charges
In addition, there are nonrecurring costs and pre-paid costs. Nonrecurring costs are one-tim e fees associated with buying a property or getting a loan Prepaid costs are those that recur over tim e, such as property taxes and hom eowner?s insurance
ABOUT PROPERTYTAXES
Anoverview
How is real p rop ert y assessed ?
Real property is assessed upon change of ownership and, in certain circum stances, the construction of im provem ents The new assessed value is equivalent to the purchase price and is subject to being increased by as m uch as 2% each year.
How are p rop ert y t axes b illed ?
Property taxes are billed annually and paid in two equal installm ents You can also have your taxes im pounded m onthly. An im pound account is m anaged by your m ortgage com pany As the hom eowner you pay for property taxes and insurance along with your m ortgage paym ent. When your property taxes are due, the m ortgage com pany sends the m oney to the tax collector or insurance com pany
W h en are p rop ert y t axes d ue?
The fiscal year runs from July 1thru June 30.
The first installm ent is due Novem ber 1and it is late Decem ber 10 The second installm ent is due February 1and it?s late April 10 You can rem em ber these dates with this m nem onic device: No Darn Fooling Around = Novem ber it?s due, Decem ber it?s late February it?s due, April it?s late
W h en d o I st art payin g m y p rop ert y t axes?
After change of ownership, a supplem ental tax bill m ay be issued to collect taxes owing for the current tax year based on the difference between the previous and the new assessed values of the real property The seller is responsible for the paym ent of taxes due prior to close of escrow, and the buyer is responsible for the paym ent of taxes due after close of escrow, including any supplem ental tax bill.
How is t h e base p rop ert y t ax rat e set ?
Under Proposition 13, passed by California voters in 1976, the base property tax rate is set at 1% of the full cash (or assessed) value of real property
W h at are Mello-Roos?
Real property can be subject to continuing tax levies under the Mello-Roos Act Such levies are used to finance certain designated public services and capital facilities Am ong the services and facilities typically financed through ?Mello-Roos districts?are police and fire protection services, am bulance and param edic services, parks, elem entary and secondary schools, libraries, m useum s, and cultural facilities
MARK YOUR CALENDARS! Propert y Taxes: Due Dates
FEBRUARY 1st - 2nd Installm ent Due
MARCH 1st - Assessm ent Date
APRIL 10t h - 2nd Installm ent Delinquent at 5pm
JULY 1st - Beginning of Fiscal Year
NOVEMBER 1st - 1st Installm ent Due
DECEMBER 10t h - 1st Installm ent Delinquent at 5pm
COMMONFORMSOFOWNERSHIP
Titlesmater
How you hold title has im portant tax and inheritance im plications If you are unsure which is the best for you, please consult your Attorney, CPA or Financial Planner The com parison chart below is provided for inform ation only
It should not be used to determ ine how you hold title We strongly recom m end that you seek professional counsel to determ ine the legal and tax consequences of how title is vested
Conveyance Requires written consent of other spouse or actual conveyance by deed
Separate interest is devisable by will
Purchaser?s Status Purchaser can only acquire whole title of community; cannot acquire a part of it
Death On co-owner?s death 1/2 belongs to survivor in severalty 1/2 goes by will to descendant?s devisee or by succession to survivor
Successor?s Status If passing by will, tenancy in common between devisee and surviving results
Creditor?s Rights Property of community is liable for debts of either spouse which are made before or after marriage Whole property may be sold on execution sale to satisfy creditor
Presumption Strong presumption that property acquired by husband and wife is community
Conveyance by one co-owner without the others breaks the joint tenancy
Purchaser will become a tenant in common with other co-owners in the property as to the purchaser?s interest
Other owners may remain joint tenants
On co-owner?s death his/her interest ends and cannot be disposed of by will Survivor owns the property by survivorship
Each co-owner?s interest may be conveyed separately by its owner
Purchaser will become a tenant in common with other co-owners in the property
On co-owner?s death his/her interest passes by will to devisee or heirs No survivorship right
Last survivor owns property Devisee or heirs become tenants in common
Co-owner?s interest may be sold on execution sale to satisfy creditor Joint tenancy is broken, creditor becomes a tenant in common
Co-owner?s interest may be sold on execution sale to satisfy his/her creditor
Creditor becomes a tenant in common
Must be expressly stated Favored in doubtful cases except husband and wife cases
Purchaser acquires interest that partnership owned
Purchaser acquires interest that partnership owned
possession as specified in the trust provisions
Designated parties with the trust agreement authorize the trustee to convey property Also a beneficiary?s interest in the trust may be transferred
Apurchaser may obtain a beneficial interest by assignment or may obtain legal and equitable title from the trust
On partner?s death his/ her partnership interest passes to the surviving partner pending liquidation of the partnership Share of deceased partner then goes to his/her estate
Heirs or devisee have rights in partnership interest but not specific property
Partner?s interest cannot be seized or sold separately by his/her personal creditor but his/her share of profits may be obtained by a personal creditor Whole property may be sold on execution sale to satisfy partnership creditor
Arise only by virtue of partnership status in property placed in partnership
Successor beneficiaries may be named in the trust agreement, eliminating the need for probate
Both co-owners have equal management and control
Right of survivorship may be terminated pursuant to the same procedures by which a joint tenancy may be severed
Purchaser can only acquire whole title of community; cannot acquire a part of it
Upon the death of a spouse his/her interest passes to the surviving spouse, without administration, subject to the same procedures as property held in joint tenancy
Defined by the trust agreement, generally the successor becomes the beneficiary and the trust continues
Creditor may seek an order for execution sale of the beneficial interest or ma seek an order that the trust estate be liquidated and the proceeds distributed
Atrust is expressly created by an executed trust agreement
Survivingspouse owns property
Property of community is liable for debts of either which are made before or after marriage; whole property may be sold on execution sale to satisfy creditor
Must be expressly stated
FREQUENTLYASKED QUESTIONS
Answered
How will you tell me about the newest homes available?
The Multiple Listing Service Website provides up-to- date inform ation for nearly every hom e on the m arket
I constantly check the New on Market list and will send you the latest listings via em ail at a frequency that?s m ost helpful for you, daily or in real tim e.
Will you inform me of homes from all Bay Area real estate companies or only Keller Williams Realty?
I will keep you inform ed of all hom es that com e available, including off-m arket deals, to help you find your ideal hom e
Can you help me find new construction homes?
Yes, I have access to all the new construction opportunities in the city and can get you the inform ation you need to m ake a decision I will accom pany you on your first visit with the builder. By using m y services with a new construction hom e purchase, you will receive the services I offer, as well as those provided by the builder, at no additional cost
How does For Sale By Owner (FSBO) work?
Hom eowners trying to sell their hom e without agent representation are usually doing so in the hopes of saving the com m ission If you see a FSBO and want the advantages of m y services, let m e contact the owner for you and m ake an appointm ent Often, the hom eowner will work with an agent, even though their hom e is not listed since the agent is introducing a potential buyer to their property W hile you m ay get a deal buying directly from the seller, if they are not a licensed agent, it m ay be a challenging experience.
Can we go back through our property again once an offer is made but before possession?
Hom eowners trying to sell their hom e without agent representation are usually doing so in the hopes of saving the com m ission If you see a FSBO and want the advantages of m y services, let m e contact the owner for you and m ake an appointm ent Often, the hom eowner will work with an agent, even though their hom e is not listed since the agent is introducing a potential buyer to their property W hile you m ay get a deal buying directly from the seller, if they are not a licensed agent, it m ay be a challenging experience
What happens after close of escrow?
You can celebrate and shift your focus to m oving into your new hom e You will want to schedule your m ove, pack item s and notify businesses of your address change I can provide you with a m oving checklist to help you rem em ber all the details
