Are you looking for a new place, something peaceful, something secluded? Or are you looking to be a part of the hustle and bustle? Don't you worry, we are here to help you to find your dream place. We believe in quality customer service as our customers are our priority. You can count on us while you are looking for your next property.
A house is the biggest purchase most people will ever make, but most people don't know the best way to buy a home. Finding someone you trust to guide you through this process is vital. Our agents will provide you with the knowledge and combined expertise of 40 years of experience. Working with a skilled agent ensures this momentous investment is right for you.
Whether you are ready to upgrade, downgrade or invest in that vacation home you have been dreaming of, having the right person to sell your home is vital. Just like in purchasing your home, you want a team of experts behind you that will guide you through this process. From selecting the right listing price to marketing your home, we will be there to make this as stress-free as possible.
Looking to build your real estate portfolio? Buy that amazing vacation cabin? Finally ready to take the plunge and buy a multi-unit complex? Need help navigating a 1031 Exchange? We are here to help not only with securing that property, but to help you find the right tenants! From negotiating terms to tenant procurement, we are here to help you from start to finish!
We know the home buying process can be intimidating, but we can help you navigate it so you know what to expect.
There will be a down payment of anywhere between 3.5% to 20% of the purchase price (unless it's a VA loan, which is zero down), but the home buying expenses don't stop there. You may also have to pay closing costs on the loan and impound accounts, and those can add up to several thousand dollars. In some cases, lenders may require several months' worth of mortgage payments in cash reserves.
It is important to set a budget before talking to any mortgage lenders. Add up all of your monthly expenses and subtract it from your take-home pay. Be sure to include savings contributions, lifestyle expenses, and any other expenses that are important to you. This will help you determine what monthly mortgage payment you would be comfortable with. Be sure to discuss this with your lender.
Lenders use your credit score when making their approval decisions, and when deciding on an interest rate for the loan. You should review your credit report in advance for errors, and to make sure there are no surprises.
The lender will pre-qualify you based on your financial situation, down payment and work history. It will determine the maximum loan amount that you qualify for and determine the maximum sales price of the homes to look for. The lender will let you know what items will be needed, will require your full cooperation, and full disclosure of your finances. 99% of all offers are rejected if they do not have a letter from the lender.
You have established a budget, saved up for the down payment and other costs, and got pre-approved by a mortgage lender, so it is time to start looking for your new home. This is the most exciting part of the home buying process for most people, especially for first-time buyers. Once you find a home in a neighborhood that you like and is within your budget, it is time to make an offer.
Your agent will pull up a list of similar homes that were recently sold in the same neighborhood and use that data to support your offer. The offer may include contingencies for financing, home inspection, or even make it contingent on the sale of your current home. Included with your offer, you may need your pre-approval letter, and a monetary deposit with a check. This deposit will be held uncashed until the seller accepts the offer or returned if the seller rejects the offer.
It is strongly recommended that you get both a home inspection and a termite inspection done, especially if you buy a home "as is". You may be able to see the obvious surface flaws of the home, but the home inspection and termite inspection will find what lies beneath the surface. The home inspector will examine the structure of the house, all the installed systems, and identify issues that you may want to consider having corrected before moving forward. The fee for the home inspection varies and is non-refundable. The termite report and “Section 1” repairs will usually be covered by the seller. Even with an inspection, don't forget to request a "One Year Home Protection Plan."
The mortgage lender will hire a professional appraiser to determine the value of the home. In most cases, the lender has a larger financial stake in the deal, so they want to make sure the house is worth the amount you agreed to pay for it. If the home is worth at least as much as the purchase price, then the lender will move forward with the loan. If the appraisal comes in low, the price will either need to be renegotiated or you can come up with the difference. This fee is usually charged to you and is non-refundable.
When the loan is submitted to the underwriters of the loan, they may request additional information or documents from you. Be prepared to submit any additional items that may be requested as soon as possible. You should also be patient during this process, newer guidelines are always being imposed in the lending industry, so at times it may seem lengthy and never-ending.
Once your loan has been approved, loan docs will be ordered. After the loan docs are then prepared, you will have the choice of going to escrow or have a notary come to your home for the signing. Please make sure you review your loan docs to make sure they are what you expected. Escrow will inform you of the amount of funds needed to close, and you should wire the funds from your account directly to the designated account that escrow instructs you to.
Once the loan docs are signed, they are returned to the bank for final review to ensure they have everything required for funding.
When the loan is finally funded, the deed is recorded, which transfers the title for the property from the seller to the buyer. Congratulations, the home is now yours. Arrangements for the keys and possession are then made, escrow will finalize all the closing paperwork, and the sellers will get their proceeds. The final closing statements will be sent where you have instructed them to mail to.
There is no guarantee that the home will close until it is recorded. Anything can happen during the process. During the escrow process, follow these tips to make sure there are no surprises:
While buying or selling your home, you may hear a lot of real estate terms thrown around. Hopefully our glossary will help you understand what you are hearing.
This applies to investment properties, and allows for capital gains tax to be delayed indefinitely when you sell an investment property and purchase a like-kind investment property. Certain time frames must be met in order to qualify.
This law was passed in December 1972. It requires property owners and their real estate agents to disclose that their property lies within earthquake zones. This is disclosed in the Natural Hazards Disclosure when escrow is opened.
Escrow is the neutral third-party that typically will handle the monetary transactions, formal documents and agreements, and perform a title search to ensure there will be no issues transferring the title.
A homestead exemption protects a portion of your equity from creditors. It must be homeowner occupied. There are two types: One is automatic when you purchase a home and the other must be recorded at the county recorders’ office.
In California, when you become a homeowner and occupy the home, you may be eligible for a maximum $7000 tax exemption.
A basic Home Protection Plan usually only covers the appliances in the house. For an additional cost you can add the air conditioner, pool, spa, roof, septic, and other miscellaneous items. The buyer or seller, though it is typically the seller, would pay for it at the close of escrow. The plan is for one year and can be renewed annually if you choose to do so. If there is a problem with an appliance, like the dishwasher for example, you would call the company, pay them a small deductible, and they will proceed to either repair it or replace it, if cannot be repaired. Your agent can direct you to a reputable company.
Proposition 13 was passed in 1978 limiting property tax bills to 1% of the sales price. This limited the government to use property taxes to construct public utilities and services. In 1982, Mello-Roos came to life and allows the financing for the public facilities.
Mello-Roos is an added tax base to homes by the builders. In these areas the payment will be higher by an average of $100 to $500 depending on the bond and number of homes. When the homes are built, instead of the builder paying the costs of greenbelts, parks etc., they get a bond from the city and pass it on to the buyers. These are additional payments made by the buyer for a term of roughly 20 to 25 years from when it was built, then passed on to the new buyer when the home is sold. After the Bond is paid off, the city will continue to charge a lesser fee for the maintenance of the projects. When buying a home ask if there is a Mello-Roos!
The NHD will provide information regarding natural hazards risks located at the site like flooding, fires, and earthquake faults. In addition to the required disclosures, it may also include information regarding airport flight paths, contamination sites, tax assessments, or even Megan's Law disclosures.
REO homes have already been foreclosed on and have been taken back by the bank to become "bank owned".
These homes are in pre-foreclosure and have an outstanding loan balance that is higher than the market value of the property. The owner continues to live in the home and will sign the offer, but the bank makes the final decision on if the offer is accepted. The seller will receive no funds from closing, and it all goes to the bank. This process can take anywhere from 2 to 6 months. The bank can accept the agreed price, make a counteroffer, or accept a higher offer. If no offers are acceptable, then the bank will proceed with the foreclosure.
These are your standard owner-occupied homes.
When you purchase a property in California, the County Assessor is required to re-assess the property for property tax purposes. You should expect a “Supplemental Tax Bill” from the County Assessor anywhere from three to nine months after purchase, depending on the County. This supplemental tax bill could be a sizable amount if the previous owner’s property taxes were relatively low and will need to be paid by you even if your loan servicer pays the property taxes through an “Escrow or Impound Account”. The supplemental tax bill shows your home’s prorated change in value from the day you closed escrow, or reported the new construction, through the end of the fiscal year, which is June 30th.
