Introduction to Buying a Home

Establishing Goals

The Loan Process

Searching...

The Tour

Selection:  You've Found It -- Maybe

The Contract

Negotiations

Inspections 

Closing - Almost There

It's Yours - Time to Move and Settle In

Introduction to Buying a Home

Although the home buying process varies with each of our clients according to their specific needs, most transactions follow the general path that is laid-out here. We'll try to show you what the Sales Broker and their Agents are doing at the same time and how they affect the process.

The stress level of buying or selling a home is equivalent to the stress level of a death of a spouse or a divorce. This was determined in a study conducted by HUD where it was established that buying and selling houses was way up there on stressful events in families' lives. That study was performed back in the 80's. We imagine that if a duplicate study were performed today, it would probably break out the same way. There is even more paperwork today than there ever was back then along with more choices when it comes to loans. There is also a higher risk of some fool suing you than there was back then which helps explain why there is more paperwork now.

Over all though, there has been an increase in disclosure which allows the buyer to make a more informed decision. This has been of great benefit to the average home buyer. We have found that what many people hate most of all is being horn-swoggled. If they know what is going on from the very beginning and can make an informed judgment of their own, then they readily accept responsibility for the events that follow. What they don't like is not being told something that would have made a difference in how they saw things and how they approached the decision-making process. That's partly why being an exclusive buyers' agent has so much appeal to us. It allows us to secure all the information we can about a property and share it with you so that you can make informed intelligent decisions about the most important investment in your life.

The listing agents can't do that. They are obligated through the laws of agency to represent the sellers. What this means in reality is that it is their job to get the most money and best terms from you as they can for their sellers. There is nothing wrong with this. It is the way real estate has been conducted for years. But isn't it about time someone had your interests as the most important aspect of this transaction? Isn't it about time that your future was considered the most critical part of the transaction rather than just a charge to: "Deal fairly with Buyers".

Nothing is more emotional and more highly charged than purchasing the place where you are going to raise your family, put down roots in the community, become involved in schools and other civic organizations. And to make that decision without having an advocate is nothing short of foolhardy. It is in your best interests to be adequately represented in this, the most important of all financial investments for your family's well being. A time will come in the not too distant future where no knowledgeable consumer would even consider buying a home without this important representation. Be happy that you are at the forefront this time and that you have the vision to protect your family's interests in this way.

Establishing Your Goals 

The first and most important part of the process is to determine your specific needs. These include timing for the purchase of the house as well as timing on applying for and receiving loan approval. They are not always the same for each individual. Oftentimes the most important part of the process is setting up the strategy for securing the loan. In the initial meetings the topic of discussion will be your needs and desires and the representation agreement. This is where you interview us as your potential agent and compare our services and approach to real estate with other Realtors©. Your job is to find a relationship that you are comfortable with and then make the commitment to work with them exclusively.

If you decide that you wish to have us assist you in the purchase of your next home, you will be entering into the "Exclusive Authorization to Acquire Real Property" agreement by signing on the dotted line. This agreement details our mutual obligations -- the services we provide and the fees that you will pay for those services. We'll also have you acknowledge by signing a "Disclosure Regarding Real Estate Agency Relationships" and the "Confirmation of Real Estate Agency Relationships" documents that indicates we are serving only you as your Agent. These agreements are comparable in nature to the documents that you would sign with a Listing Agent if you need to sell an existing home.

Other important elements that make up the goal setting are questions to be answered like: Where do you want to live? What are your parameters for a house? Is a four bedroom essential or will a three bedroom work better for you? Does a main floor bedroom play a role for your long term planning? Is there a way to have overnight guests access a bathroom without disturbing sleeping children? How far away do you want to be for your commute to work? Is a two story or a split-level better for your family? Which School Districts? How big a yard?

These and many other questions help determine what you will ultimately buy. And don't expect to have all these answers at the tips of your finger tips. This is an on-going evolving process which will change and grow as you are exposed to more information about what is available to you.

Sometimes the choices are limited. Sometimes they are only limited by your imagination. That applies to people with both unlimited resources and very limited resources. Although money can be important in the home buying process, it is not the most important issue. Determining what your needs and wants are and establishing a path to achieve those goals is the most important part of the process. We have had people in our program for as long as two years and for as little as two weeks. So it all depends on what your needs are and what steps are appropriate to achieve those goals.

The Loan Process 

Early loan approval is one of the key elements to developing a strong negotiating position. Time is money to both you and the sellers, especially if the sellers have moved out already or need to move very quickly. Every day that the house remains vacant, the mortgage company continues to collect interest which can add up to a substantial amount of money for the sellers, on top of the costs of the new home they may be in now. We can use this to our advantage, perhaps offering a lower price in return for a quick sale and closing or seeking other concessions.

Just a note -- being pre-qualified is definitely not the same as being pre-approved. Only a cursory look at your financial situation is required to pre-qualify you and that generally only takes a few minutes, whereas pre-approval is jumping through all of the hoops that the lender has and then some with everything verified -- it takes longer. Your worst nightmare is attempting to buy a home based upon a pre-qualification and then discovering that you can't qualify for the loan you want or need.

By securing the loan before falling in love with a property, we have removed a good bit of the anxiety from the transaction. We'll be there every step of the way to hold your hand and trying to make the process go smoothly. You already know that you can buy what you are trying to buy when you are pre-approved. You are not wasting your time looking at houses that are either not attainable or do not meet your needs. You are concentrating on homes that are in your price range in the areas that you want to be in. And, with your loan already fully underwritten, there shouldn't be any of those attempts to get tons more paperwork out of you. We have already complied with most, if not all, of the investor's demands without the emotional strain of worrying about whether the house you want is really going to be yours.

The loan process itself is very intrusive. The are many very personal questions and documents that are required to satisfy the lender's requirements. There are various types of loans that are available which allow you to answer fewer questions and document less than what is requested for most mortgage loans. However, there is a price to be paid for this luxury and it consists of paying a higher interest rate than those people who take the time and fill out the more extensive paperwork requirements. Those people are rewarded with the lowest interest rates and best terms because the lender is better able to evaluate the risk involved in lending them money.

We will help guide you in selecting a mortgage package that best meets your financial needs. Every person's economic position is unique and with more than fifty different financing options available to you this part can easily be overwhelming without help. Remember, the Loan Officer or Mortgage Banker's job is to sell you a mortgage and obtain the best price for his company and investor. Our job is to shop for the best price and performance in a mortgage. Understanding what you are getting in return for your hard-earned money is as important with the loan as it is with your home.

If you have a home to sell, now is the time to put it on the market, actually the sooner, the better. The ideal situation is to have the closings within a one or two week period, giving you enough time to move and clean-up your old home and settle into the new one. This is easily achievable if your home goes on the market priced properly -- neither too high or too low. You will then receive one or more offers that you can negotiate and finally sign. Once the closing date for your existing house is set, you can then go about selecting your new home with confidence and a firm schedule in mind.

You don't have to sell your home first, however you will pay a price if you don't. Prospective sellers will give less consideration to any offer you might wish to make if the contract is contingent upon your selling a home first. They will sometimes accept the offer but keep their home on the market seeking a better offer. You're then left in the position of praying that your home sells before someone else comes to the seller with a non-contingent offer which, trust me -- they will take. When that happens you will be very disappointed and stressed. You can avoid this with a little patience -- sell your house first.

What happens if the timing is off? The buyers of your house want to move in quickly and the sellers of your new home can't move fast enough. A short term rental of an apartment is often the solution that gets you the home of your dreams. If you have pets and don't have a family member or friend that will help, a boarding kennel may be appropriate. Tons of furniture? Put the excess in a storage locker (make sure that you get insurance) until your new home is ready.

Searching... 

So your loan is underwritten and approved subject only to an appraisal of your new home, your house if any in escrow, and your cash in hand, the hunt begins in earnest...

If new construction fits your profile, even before your loan is approved, we will take some time to register you at all the new home sites that fall into your categories. That way, when the urge bites to go "Look At Houses" you can go day dream in the model homes. We register you with the builders even though your agreement with us covers how we are paid because some of the old-line builders aren't always up to speed on Buyer's Brokerage and this helps smooth the way in negotiations if you do happen to choose a just, or to be built home.

First, we'll discuss how you like to explore areas and neighbourhoods. Buyers generally fall into two categories. There are the "Independent" types that prefer to travel alone, armed with detailed information and maps and explore on their own. Then there are the "You're the professional. We want you to go with us to answer our questions" types that prefer to travel together with their agent, armed with detailed information and maps.

We work whichever way works best for you. Let's get to the "armed with lots of detailed information and maps" part. For however many areas and neighbourhoods that you want to evaluate, a book is created. These initial books contain a map page where each house has been annotated on the map along with a detailed printout of the active listings in the neighbourhood. If there are pictures of the house that can be obtained, those are also included in the book.

And remember what we said about this being an evolving process. You may begin with one set of criteria and wind up buying something completely different from what your original intentions were. This isn't because you don't know what you want. It's because when you began the journey, you had a certain set of concepts that you thought would suit your family's needs. As your level of information increases and you are made aware of the different potentials that are available to you, you can reassess what you know now in light of what your family may benefit from with the new information. So don't be afraid to say out loud that you do want to see that two-story instead of the split-level. And perhaps you do want a yard that could take a pool later. As you are presented with information, you are entitled to modify your desires to suit that new factor. We like to think that our clients invest at least as much time in determining what they want in their new home as they would in buying a new car. After all, you're going to have the house a whole lot longer than you are going to have that new car.

From these initial books, the lists of houses are whittled down. You can do a slash-and-burn, ripping out pages for homes that have been dropped from the list. Or you can keep all the information. Or you can do something in between. The books are tools like a pencil. They are yours to use in the best manner that works for you. We have, or can create, duplicates of everything that you have so don't be concerned if you've ripped something out and later change your mind. We can replicate it for you.

This part of the search is generally done without appointments as a drive-by, and the goal is to identify a neighbourhood or lifestyle for more intense scrutiny. For the independent types, we are not there to facilitate their entry into the unit. For the others, we can call from our cell phone to gain access to the unit. But not having a set of appointments allows maximum flexibility. It can be accomplished after work, on weekends, anytime that works for you. Whatever area you want to look at, as long as it is in the State of California, we have access to that information and can develop a book for it. And if it isn't inside California, we can still probably get it for you. It just will take a little longer. After the search process has narrowed down a bit, we get into what we call "The Tour."

The Tour 

The Tour is a formalized version of the search. The area has been narrowed and the selection has been updated. We are armed with specific information concerning the houses that are felt to best meet the needs of you and your family. Specific appointments are instituted for the selected houses. A new book is created with just these houses in it. In addition to the active listings in the book, there will be a printout of neighbourhood activity included in the book. This information generally covers withdrawn and expired activity; current pending sales; settled information.

This level of information allows you access to trends and developments that are currently happening in the area which could affect you’re buying decision. Are there a lot of short sales happening? Is the turnover swift or slow? What is impacting these events? Is the market itself slow or is it something specific about the area? In addition you will have a complete list of all active listings whether they meet your current criteria or not. That way when you drive by a house that has a flyer outside with no price on it, you can find it on your list and satisfy your curiosity.

It is generally better from our point of view to have the initial viewing with the house empty of its occupants. That isn't always possible, but it allows you the greatest freedom to explore what may become your new home and to comment without fear of offending the current owner. Scheduling more than fifteen homes is something to be avoided if at all possible as it truly interferes with your ability to assimilate what you are seeing.

We generally begin tours around 9:00 in the morning from your home, or anyplace convenient, where we go over what we are going to see and then get started about 9:30. We try not to enter any occupied home before 10:00 in the morning. If a home is vacant, then of course, any time that is best for you is suitable to begin. We try to end the tour around 4:00 in the afternoon. This gives you enough time to wind up the day without any undue stress and have a nice evening. If there are specific time constraints that have to be met, then of course, they will be met. But remember, rushed decisions are generally not as good as well-considered ones. So we try to reduce stress and crowding. Generally, we will either do another set of appointments the next day or go back to those that haven't been eliminated on the first day.

We will try to have a choice, but usually one house will stand out from the others as a favourite. More information is required before any kind of decision or offer can be made. What is the specific history of this property? When was it sold? What kind of insulation and energy features does it have? Should we call for an Energy Audit? Will a home inspection work or should we go for a structural report? Should the sellers be asked to bear some of this cost? Would an FHA 203K lend itself to this house? What are the schools that your children would attend like in this area? A telephone call to the local sheriff's department or local police department for crime statistics is in order. All these elements plus many more go into making a decision on whether to try buying the home and what to offer the sellers.

Although no home is perfect, many steps can be taken to make sure that you are going into this with your eyes wide open and as knowledgeable about a particular piece of property as you can possibly be. There are many paths available to update an older home not only to give it a more modern look but also to update the energy system within the house to lower your overall operating costs. This can range from something as simple as caulking around the windows to installing new windows and a more efficient heating and cooling system.

A Cautionary Note About Older Homes: Regardless of how diligent we are in attempting to discover everything material to the condition of the home, there are things that always pop-up afterwards. Sometimes they were known by the sellers and not held at the same level of importance as you, sometimes they are artefacts from previous sellers. If you want to really reduce your risk with this, the best choice is to buy new construction, develop a rapport with the site construction supervisor and visit the under-construction house daily. Even this level of personal inspection is no guarantee, but it does help tremendously to eliminate the unknowns.

Typical of surprises found with an older home are things like discovering strong pet urine smells after cleaning the carpets immediately upon moving in, and then pulling-up the carpet to discover under-carpet floor damage that was undisclosed. Whose fault is this? The sellers who may have assumed that since there were cats or a litter box in the house when you visited that you understood the risk? Your home inspector who didn't see the cat or litter box ? Me? Remember I was with you when we did our inspection and we talked about everything we saw. You? Unless you're Superman or Superwoman with x-ray eyes, I think not.

If you are buying a used home, you must set your expectations accordingly. I'll guarantee you that things have broken and some, but not all, have been fixed properly. Sellers have an obligation to disclose the problems and repairs, if any. But as they say, the devil is in the details. They may not have really known about the situation. They may not consider some things as important as you. They may have honestly forgotten. They may even be intentionally trying to conceal it from you. No matter what really occurred (overlooking, underrating, or fraud), the problem must still be dealt with by all of us to achieve a resolution.

Sometimes, when a problem is brought to the sellers' attention, they step up to the plate and, if documented and approached properly, fulfill their responsibilities as they should. Unfortunately it is often a battle. Sellers think that that part of their life is complete and they go straight into denial and leave you holding the proverbial bag and having nightmares over what should otherwise be a happy home.

For an older home, you are best served by planning to replace the carpet as well as the padding and painting the interior immediately after taking possession if you have any concerns at all about smells or allergies. Assuming that the interior paint will need some retouching is also a good bet after the movers get done with their work.

For the structure and appliances, we recommend a home warranty with a great big caveat. The home warranty companies that write these policies can be very hard to collect from. This places a major question mark in the value equation of whether to purchase coverage. If you are in a position to have the cash reserves to deal with major items failing, consider the risk/reward situation carefully before accepting or declining coverage. If you do not have the cash reserves, then probably the best choice is to accept coverage and be prepared to fight to collect on it if you have a claim.

These policies are should cover the major costs either to repair, or replace, at the insurer's option, a refrigerator, air conditioner compressor, etc. However, they do take very narrow interpretations of what they are covering. We'll help you fight with them, but we want you to understand up front that you may have to involve your attorney in an attempt to collect. If you have a legal services plan in place, this may be easier to swallow.

You must take this into consideration in your selection process before jumping too far ahead if you want to avoid problems later and have your home of choice meet your expectations. The objective is to live happily ever after. You can do this if your expectations are set appropriately; you understand and plan for the risks and possible problems, whether you buy a new or pre-owned home.

One other point, you will fall in love with a home and eventually move into it. Be prepared for someone you know and care for very much to point out everything that they see as a defect or deficiency from their "expert" point of view. This is normal, although abysmal, behaviour for some people. If you have done your homework, you should feel confident in your selection and a gentle reminder that it is your hard-earned money and not theirs that is involved may bring them back to earth.

Sometimes one of the houses you are interested in is not listed with a Realtor© but by the owner -- commonly known as a FSBO (For Sale By Owner). We'll get the particulars for you and arrange for you to get in to see the house. When faced with a buyer wanting to purchase a FSBO, the traditional agent generally switches hats, convincing the sellers to give them a limited listing, thus becoming a dual agent and ceasing to represent you solely as the client. Often in these instances they negotiate a commission for themselves from the seller that is much more than what they would have received for acting as your agent dealing with an un-represented seller. This goes down in our book as double-dealing but they see it as the normal business practice of dual-agency. You just happened to lose in the process.

Other times you know exactly what you want to buy but it isn't on the market whether it be a specific home or group of homes in the neighbourhood. When this happens -- fear not, we will contact the owner or group of owners and let them know that we have a client that is interested in purchasing their home, subject to viewing, inspections, an all of the rest of course, requesting the opportunity to discuss the situation with them. We strive to have them open their home to us for viewing if they are at all interested in the possibility of selling. If you like it, we can then start

Selection, You've Found It -- Maybe 

So we've narrowed it down... There are several areas that still need to be considered. Schools, crime, shopping, proximity to jobs and any other amenity that you consider to be important for your lifestyle and goals. Let's say that those criteria have been established and this house meets not only those basics but also your family's needs. We will complete an informal estimate of market value based on published data both in county records and the MLS data. We then verify the data with either the principles involved or their agents wherever possible. We put this data in a format that our clients have found very helpful and easy to understand using the criteria that you have established as being important in your decision making process. This will enable you to accurately evaluate the data and knowledgeably participate in the process.

Determinations then have to be made as to the price to offer, sellers' concessions if any to ask for, sellers' participation, if any to request, timing for close of escrow, what inspections to call for, who is to pay for what, and a whole myriad of other details. You can be as involved as you want. You can direct us to work up our best advice and then proceed from there or you can direct us to do exactly what you would like. We represent you, so you're in charge. Once we have put together a strategy, we will put it on paper. A good faith estimate of all the acquisition costs associated with the target house is finally assembled to let you see just where you are financially.

The Contract 

We use our version of the eight page California Association of Realtors© contract with various addenda that are important for your protection or are required by the lender as part of their package. We keep these forms on our computers which allow us to write clean, concise documents that are legible and which also limit the number of copies that need to be created. Each time we make a change during the course of the negotiations, that change is annotated on the timeline and logged in your file.

The record for the most pages in a contract that we have been associated with was 62. Hopefully, your contract won't be so wordy or lengthy. But if it has to be done, it will be done correctly. You will be given a copy of the contract as it initially is to be presented for your signature(s). After you determine that the contract offer as written is acceptable to you and you have signed on the line, the contract is presented to the sellers' agent or the sellers as appropriate.

As part of the offer preparation, we will discuss the deposit check amount that is appropriate to accompany the offer. This amount assures the sellers that you have a stake in the process. Under some circumstances, which are spelled out in the contract offer, the sellers may have a claim to the escrow funds if you fail to perform as stated in your contract offer.

As the contract is amended or countered, you will receive copies of all those papers as well. We will have a duplicate set and the sellers or their agent will have the other set. Once everything is worked out to everyone's mutual satisfaction, a new set with appropriate signatures will be made for you, the sellers, myself, the lender and the title company. Those other copies can be kept by you or not as you see fit. We maintain those records as is required by law for a specified time period.

Negotiations 

Very seldom will an initial contract be accepted by the sellers. There is almost always something that they like and don't like about your offer. The purpose of negotiation is to establish a contract that is acceptable to both parties. If it isn't, there will most certainly be problems later. The following is a list of things to keep in mind while we horse-trade back and forth with the sellers:

Never accept ANY proposal immediately, no matter how good it may sound!

Never negotiate with yourself. You'll furnish the other side with ammunition they might never have gotten by themselves. Don't raise a bid or lower an offer without first getting a response.

We never cut a deal with someone who has to "go back and get the boss's approval." That gives the other side two bites of the apple to your one.

If you can't say yes, it's no. Just because a deal can be done, doesn't mean it should be done. No one ever went broke saying "no" too often.

Just because it may look non-negotiable, doesn't mean it is.

We will do our homework before we deal. Learn as much as you can about the other side. Instincts are no match for information or preparation.

Beware the late dealer. Feigning indifference or casually disregarding timetables is often just a negotiator's way of trying to make you believe he/she doesn't care if you make the deal or not.

A deal can always be made when both parties see their own benefit in making it.

Don't discuss your business where it can be overheard by others.

No one is going to show you their hole card. You have to figure out what they really want. Clue: Since the given reason is often not the real reason, you can usually eliminate the given reason.

Always let the other side talk first. Their first counter offer could surprise you and be better than you ever expected.

Most negotiations have a happy outcome -- you see it, you make and offer, and with a little give-and-take you've bought it. Sometimes things don't turn out the way we wish them to. Maybe it was the seller holding on to an unrealistic selling price, maybe the inspections turned-up something bad, maybe another buyer made a better offer to the seller. Whatever the case, we'll analyze what went wrong together with you and re-institute the search for "your" home.

FSBOs: homes often present a special challenge. The sellers tend to be less aware of their statutory responsibilities of disclosure and have a view of the value of their home that is often very optimistic if not outright foolish. They sometimes even price their home on the "Better Fool" theory. This says that sooner or later a better fool than they will come along and buy it for an inflated price without looking too closely. We believe that should not be you playing the fool.

We prefer that our clients receive real value for their money and will suggest what you might offer to obtain that value whether it is a FSBO or MLS listed home. This is sometimes many thousands of dollars less than the sellers of a FSBO are asking -- and makes for tough, protracted negotiations. We will follow your instructions on how to proceed if you wish to make an offer to the seller and do everything in our power to make it happen. Value aside, this is an emotional decision as well and if you decide that this is the house for you, we'll help you buy it at the best terms that can be negotiated. This separates us from many traditional real estate brokerages.

You should know that our best advice to you is that you instruct us to tell the sellers that they are best served by having their own agent to lead them through the disclosure and escrow process. This helps protect you by adding disclosure counsel and helps ensure that the transaction actually closes escrow instead of hanging-up in the middle, costing you both money and time.

Inspections 

There are a whole series of inspections that can be made concerning a piece of property. A list of the mandatory ones normally paid for by the sellers are as follows:

Pest (Termite) The visible and accessible home structure is examined for evidence of pest damage. The report does not generally cover out-buildings or fences.

Mello-Roos Facilities This inquiry and resulting report indicate whether the property falls within a special taxation zone, along with the total amount due and payment structure of the zone.

Flood Hazard Area (Federal) The Federal Emergency Management Agency (FEMA) designates nationwide Flood Hazard Areas. The report tells if the property falls within a federally designated Flood Hazard Area.

Flood & Inundation Hazards (Local) Localities are required to map areas known to have water hazards as part of planning. This report determines whether or not a property is located in a locally designated flood and inundation hazards.

Alquist-Priolo Special Studies Zones The Act was enacted in 1972 to ensure that structures are not built over active earthquake fault traces. The report determines if the property is located in a special Studies Zone.

Seismic Hazard Zone Rating The rating is a locally designated hazard area mapped as part of planning. The report determines if the property falls within a seismic hazard zone.

Liquefication Susceptibility Susceptibility to liquefaction is another geologic hazard that localities are required to map as part of planning. This report determines whether or not the property is located in an area where ground liquefaction is a possibility.

Landslide / Mudslide / Rockslide Another planning requirement is the mapping of Landslide / Mudslide / Rockslide hazards. This report determines if the property is located in an area known to have these types of hazards.

Soil Stability A report that defines whether the land is subject to strong ground shaking or other ground failures.

Provincial Fire Responsibility In a Province Fire Responsibility Area, the Province has the primary financial responsibility for fire prevention, not local or federal governments. These areas may require property owners to assume additional duties, such as maintaining fire breaks, or brush clearance. In addition, the state may not necessarily provide fire protection services to the area. The report tells if the property falls within this classification.

A partial list of the optional inspections that you may have done (paid for by you, or negotiated with the sellers) normally includes:

Home Inspection This inspection checks the operational functionality of the various household mechanical systems (appliances, HVAC, electrical. It is limited to visible and accessible portions of the home and may or may not include such items as pools, spas, gutters or chimney as part of the standard inspection.

Structural Engineering Dependent upon visual inspection and recommendation by the Home Inspector.

CHEERS (California Home Energy Efficiency Rating System) As necessary dependent upon the age of the home or observed structural obsolescence.

Air Quality Primarily used to assess the risk of Asbestos contamination in the neighborhood. This is very important to those looking in the foothills where there are exposed serpentine rock outcroppings, high construction activity or surface mining.

Radon Normally only if a basement is present in a high energy efficient home.

Lead Paint Used to determine if a Lead Paint Hazard actually exists in an older home and whether abatement is a reasonable solution.

Fire Hazards (Local)

Building Permits (Structures) Used to determine if any additions and modifications to the property were completed legally and meet zoning and habitability codes.

Roof Inspection and Certification Used to ascertain the condition of an older roof or to insure that completed repairs will have a warrantee from the roofer..

Proximity to Environmental Hazard Used to determine how close to currently operating, or closed facilities and the severity, i.e. Super Fund Site.

Proximiity to High-Tension Power Lines Although the most recent comprehensive studies do not appear to support a link between EMF radiation and health, this will locate both overhead and underground transmission lines.

Proximity to Freeways The current locations as well as planned Freeways.

Proximity to Airports The current locations as well as planned Airports.

Proximity to Railways The current locations as well as planned Railways.

Zoning Designations Used to determine current status and suitability for other purposes.

Sewer Connection Permits

Septic Tank Permits

Violation On Record Used to identify if code (structure or health) violations exist, especially for income property.

Authorized Legal Uses The current zoning and occupancy regulations are examined to determine if the present or projected uses are permitted under the law.

Parking Requirements Primarily for commercial operations, but may be important where dual-use or investment property is concerned.

Additionally, if the property has a well or septic system, as part of the loan approval process they are inspected and certified to meet minimum health requirements. These are normally paid for by the sellers

Our Recommendations for Resale Homes: The ones that we recommend automatically are a Home Inspection and an Energy Evaluation.

After considerable research on our part and an extended history of using them for our transactions, we have settled on a group of providers that have earned our faith and trust to hold your interests at their hearts. We will be happy to refer you to them. Our association with these professionals since we started working with them has been nothing but a joy. There has not been one customer complaint for any of their work. However, the past experience upon which this is based isn't a guarantee of future performance, either explicit or implied that their service will continue to meet the same high levels in the future. You are encouraged to contact several vendors for each service that you need and choose the vendor that best meets your needs and price. Besides those on our list, the "Yellow Pages" and professional associations, amongst many others, are excellent sources for the names of potential service providers.

Closing - Almost There 

When all of the inspections are done and all of the paperwork is complete (the lenders paperwork is usually the last to be completed) and in the hands of the lawyer, the final documents will be generated. We will be looking at the Estimated Closing Costs Statement that the seller’s lawyer generates for you and comparing it to the one we had previously prepared. This is where the final errors are corrected before you and the seller sign the final documents. In Ontario we do a split signing where the sellers sign, usually first although it really doesn't matter, and then at another time you sign all of the paperwork. The seller's give the keys to their lawyer at this time.

You will have been instructed to come to the signing with a Certified Check for about $100 more that the seller’s lawyer Estimated Closing Costs Statement indicates. This will cover any miscellaneous charges that come up at the last minute. The unused balance will be returned to you shortly after closing, normally within a week.

Once the paperwork is signed, the loan documents are sent back to the lender if a mortgage is involved. The lender makes sure that their instructions were carried out and they have all of the signed documents that they need. When this happens, the lender will wire the funds to the Lawyer -- this is the event everyone has been waiting for. The lawyer then has the Deed recorded at the registry office. As soon as this is done you get your keys and the moneys are disbursed. In the case of new construction, you generally get to pick your keys up from the builder after recording has been confirmed. Although this varies.

It's Yours - Time To Move In 

Actually, you've probably been preparing for this moment for several weeks. Your home is probably stacked with boxes ready to move. We'll be glad to fix you up with a tape gun and box tape if you are packing yourself. Let your friends know well in advance when you are planning to move if you want them to help. Don't keep it a secret. We've heard that bribery in the form of pizza and beer (afterwards) is a great incentive to get a crew together. You should have also made a reservation for the truck or trailer, furniture pads and hand truck that you plan to use well before the date you plan to move.

If you're planning to hire a moving company, please make sure that you do your homework. The moving industry has been very effective in making sure that the deck is loaded in their favour. Once they get your belongings and furniture on their van they can become almost impossible to deal with and may even insist upon cash before unloading. Make sure that everything you agree to is in writing! Verbal promises and quotes are useless. Check with the Consumer Protection and Better Business Bureau people for problems others have encountered. And make sure that when you solicit moving company bids that you ask for their Annual Performance Report.

Now you will need to move the core utilities into your name if you haven't already done so. This includes electric, phone, gas or propane, cable TV, water, sewer, and trash removal. Much of this can be scheduled to happen by phone before closing. We'll help to identify who your new providers are and what numbers you need to call.

If you're moving within their territory, the cable company is generally glad to have you move any converters that you may already have. And if your move is from another city, make sure that you bring your old phone books along with you. They can come in very handy if you need to address issues with your old home or locate friends.

If the move changes schools for your children, you'll need to enrol them in the new schools. This is generally done by picking up an application at the new school. Again we'll do everything that we can to make this as smooth and easy as possible for you.

You'll need to get new checks from your bank and change your Driver's License. You have the option of getting a card from DMV showing your new address, marking your old license, or best yet, getting a new license issued although this costs money. With your license address matching your checks life is easier that constantly explaining why everything doesn't match.

The Post Office is where much of the rest of the activity takes place. You will need to file a change of address. They can also provide you with a Voter Registration Address Change form which takes care of getting you re-registered. (You were registered before weren't you?) Watch your mail for the yellow labels that indicate who still needs to be notified of your new address and either give them a call or send them a Change of Address Card to correct their records.

Settling In - It's Time To Enjoy Your New Home

I doubt very much whether you need any help here - life always presents us with more things to do than we will ever have time to do, so pick the best and have fun!

If you have purchased new construction, we will be pleased to share with you the names the fine craftspeople and suppliers that our other clients and ourselves have used in the past for blinds, window treatments, landscaping and appliances.

The last few details are more in the way of organization. Put all of the documents associated with the purchase of your new home in a secure place. You'll need to refer to them for tax purposes. Yes, they did change the law on taxing the proceeds of the sale of a home, but they can just as easily change it back. The information is also necessary in calculating your net worth and other fun enterprises. Put the deed, insurance policy and your mortgage papers in a Safe Deposit Box, keeping working copies in a easily accessible location.

Live long and prosper as they say...