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Page 4 of 4
Making An Offer
When you find a home you want to buy, you'll make the seller an offer in writing. Your offer is typically the first step toward negotiating a sales contract. That's why determining how much to offer is more complex than simply determining a price. Because of the large amount of money involved, both the buyer and the seller need to protect their investments and limit their risk. This is why when you make an offer, you not only specify the price you are willing to pay, but also the other details of the purchase such as:
How you intend to finance the home
Amount of the down payment
Who pays the closing costs
What inspections will be performed
Whether or not personal property is included in the purchase
Terms of cancellation
Any repairs you want done
Date you will take physical ownership and possession of the property
How to settle disputes should they occur
Contingencies:
Contingencies generally allow you to anticipate potential problems so if something goes wrong, you can cancel the contract without penalty. If you cancel a contract without having agreed upon conditions and contingencies, you could find yourself forfeiting your good faith deposit and money spent to inspect the property, as well as other damages. For this reason, it's recommended you retain an attorney. Your attorney will advise you about what to include in your offer to protect yourself.
Before making an offer, thoroughly evaluate the property (including but not limited to the following):
Property Conditions
Your CENTURY 21® agent can tell you how the property compares with the rest of the neighborhood.
Home Improvements
Take note of what the previous owners have done to the house to determine if these improvements warrant the asking price and/or were done correctly.
Market Conditions
If the market is "hot," it's often considered a "seller's market." This may give you, the buyer, less room to negotiate your ideal price because there may be other people willing to pay more for the home.
If the market is "slow," then it's considered a "buyer's market." In times like these, houses often sit for longer periods of time without receiving acceptable offers. When reasonable offers do come in, sellers may be more willing to negotiate.
Seller Motivation
If an individual needs to sell quickly due to his or her personal situation, he or she may be more willing to negotiate.
Once you find a home and submit your offer, you then wait for the seller's response. The seller can accept, reject or counter your offer with one for a higher amount. This begins the process of price negotiation that continues until both parties either agree on a price or decide to go their separate ways.
Your Good Faith Deposit
Along with your offer, you'll provide a "good faith" deposit that demonstrates to the seller your serious interest in buying. This is one of the additional costs mentioned earlier. This money is deposited only once the offer has been negotiated and accepted by both parties.
The Home Inspection
After you find a home and make an offer, a house inspection is often ordered. The seller should have the property available for inspection by a professional.
In a typical inspection, experts examine the existing conditions of the property. Inspections may be required by law with the elements inspected varying by region, state, and/or your agreement.
The most common type is the General Home Inspection. A home inspector can provide you with a complete service that covers from the basement to the attic, as well as the exterior of the home, walls, chimneys, and fixed appliances such as refrigerators and stoves. Other specific elements that can be included: (not a complete list)
Termite inspection
Plumbing
Water Quality
Lead
Radon
Septic Tank
Asbestos
Electricity
Indispensable Insurance
Before a mortgage company will approve your lending arrangement and allow you to close on your new home, they will typically ask you to show proof of title, title insurance, and homeowner's insurance. Your CENTURY 21 agent or your mortgage representative can explain the details. Your real estate attorney can also provide counsel on title issues and title insurance.
The Final Walk-Though
Before the closing and property ownership is transferred, you and your CENTURY 21 agent will want to visit your future house. This "walk-through" is an opportunity to ensure that the house has been left in the expected condition.
You should make sure that all the items the owner agreed to leave are still there, such as kitchen appliances. This may also include furniture and accessories listed in the final sales contract. If there are problems, discuss them with your CENTURY 21 agent and attorney. In some cases, you can ask for a discount or credit at the closing to cover missing items or last-minute damages to the property.
The Closing
To be knowledgeable and prepared, ask your CENTURY 21 agent and attorney to go over the details of the closing with you beforehand. The closing process can vary by area of the country and even within the same state.
Generally, the seller is required to provide clean title to the property at closing. Your CENTURY 21 agent, mortgage lender representative, and real estate attorney/legal counsel can help you make sure all documents are provided and steps followed.
Making Your Dream a Reality!
Finding and buying a new home should be a rewarding experience. At CENTURY 21, we know the search for your dream home is about more than just putting a roof over your head. It's an expression of your hopes and dreams, your lifestyle and values. It's a place to spend time with family and friends, as well as your personal retreat at the end of your day. It's about making changes for your future. CENTURY 21® agents are agents of change .. in 42 countries, 104 languages, 7,800 offices, 143,000 strong. We help transform dreams into reality.
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Buying 
