Real Estate Terms
There are some concepts that help real estate business to operate which is a must know for those that wish to get involved with things to do with real estates. Those planning to either buy or sell a home are likely to benefit much from the information herein. There are agents needed to be present in such a transaction. A home seller is represented by a listing agent while a buyer is represented by a buyer’s agent. There can be a dual agency situation characterized by the presence of only one agent covering for both in the transaction. Having a sole representative agent is actually a good idea.
It’s okay if one has money to buy a home and also if one has not enough money they can always use a loan to buy a house. In the real estate business it is important to have a pre-approval letter for the kind of person that will use a loan to buy a home. The message is supposed to have an estimate of how much money the bank will offer you. The agent will be able to know how much you have then calculated the necessary fees and offer you a list of houses that you can buy with the money. This is always the best idea to go with before you can make applications for a mortgage.
A property bought using loan money needs an appraisal first. An appraisal is a necessity by the lenders before you can go ahead and make a mortgage application. The value estimate of a property you wish to purchase and the property investigations are the necessary requirements that constitute an appraisal. An inspection should have been done paid for by the buyer, The inspection will include electricity, plumbing, foundation, and other appliances.
There is a need to understand the terms related to contingencies. Contingencies are the things that when one is buying a house they will have set in their minds that have to be in the house before they can finalize their deal. You should be very careful when you get to the bridge that involves discussing the contingencies with your agent if you’re going to get your dream house. Inspection and appraisal are some of the contingencies that you will have to take an interest in. Another solemn process is the one involving offers and deals that need to be given a lot of attention when the time comes. This is very crucial, and there is a need for you to seek the help of an attorney if possible. If you want to win the negotiations it is essential that you choose a good real estate agent who will help you through all these.
Seven day after a deal is sealed with the seller a title report is supposed to be handed over to you.