Bill Sill - Austin Real Estate

Buying a Home In Austin - Continued

The 6th step to buying a home in Austin is making an offer on the home of your choosing. When writing the offer we must consider the Comparative Market Analysis of other homes that just sold or are active in that area, as well as how much you are willing to pay for the home. The amount of Earnest Money (deposit) you are willing to put down can strengthen your offer. After we have thoroughly reviewed the property and surrounding community, we will fill out and negotiate the contract with you, with your best interest in mind.

Once your offer has been accepted, the 7th step in the process is to arrange a home inspection. Austin Homes should always be inspected due to their location in a semi-tropical environment. These inspections need to be performed as early as possible in the option period to guarantee we fully understand any problems that arise and are able to receive bids to bring the home up to your specifications. Good inspectors will find items needing repair in nearly every home. With your input, we will request that the seller make specified repairs.

The 8th step in the process comes at the end of the option period and is when you decide whether or not you want to move forward and purchase the home or terminate the contract and walk away - losing nothing more than the option money.

If you decide to purchase the home, we move to the 9th Step in the process, which is obtaining a Home Appraisal, and Title and Home Insurance. Lenders require appraisals to confirm that the home for which they're providing you a loan is in fact worth the amount you're paying. Appraisers are independent agents normally hired by the lender, however you may have a choice. The fees appraisers charge vary and are typically built into your loan costs. The lender usually pays for the cost of an appraisal and then factors it into the buyer's closing cost. When you buy a home, a title company examines the chain of titles (previous owners) to insure that there are no problems with obtaining clear title to the property. Parties other than the current owner of the home may have rights to it for things such as mortgages, liens due to unpaid taxes, lien claims to those who the owner owes money, etc. As a new owner, you may know nothing about these risks, but you are still vulnerable to such claims on your property. A deed is not sufficient protection. That's why title insurance is necessary. It is very common for title companies to also handle the escrow portion of the transaction, meaning they serve as a neutral party to exchange funds and make sure both parties adhere to the agreed upon terms of the contract.

The 10th and Final Step of the process is the closing or settlement of the home. This is when you actually take ownership of the home and the title is signed over to you. We will oversee this entire process, but in summary the escrow agent conducts the closing and is often affiliated with the title insurance company. Their job is to ensure the buyer obtains a clean title, the lender obtains a good mortgage, that the costs of the transaction are paid, that the seller's mortgage is paid off, and that the seller receives their proceeds. The escrow agent prepares a closing statement that outlines what the required funds are, who's paying and where the funds are going toward They will not disburse funds until they can guarantee that the above noted items have been taken care of.

Now that you understand the home buying process, let our Austin Home Search manager help you find you the home of your dreams or any Austin Real Estate. This is a completely free home search, including all Austin MLS Homes, and does not require registration. The tool also allows you to save each search and will update you when a new home becomes available. Please contact us if you would like to see any of these properties and we'll set up an appointment to show.

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