Sellers will negotiate a commission amount at the time of listing. This amount will be paid, by the seller at closing, to the agents Broker, and will cover both the listing agents fee and the buyers agents fee.
Category Archives: Buyer Information
USDA Financing Information
http://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do
Please visit the link above to determine eligibility for certain USDA home loan programs. In order to be eligible for many USDA loans, household income must meet certain guidelines. Also, the home to be purchased or served must be located in an eligible rural area as defined by USDA.
I can also provide you a printed or emailed copy of the map showing the borders locally. Use the contact form on the sidebar, call or text if you have any questions at all.
Areas served
I serve the entire Greater Lafayette Indiana real estate market including the cities of Lafayette, West Lafayette, Battle Ground, Brookston, Buck Creek, Clarks Hill, Dayton, Delphi, Frankfort, Monticello, Mulberry, Otterbein, Romney, Rossville, Shadeland, Stockwell, West Point, and more.
How much money should I save/plan on having to purchase a home?
Money needed to prepare for a purchase will vary, and I can help you best prepare, by talking with you to determine your individual wants and needs, but the following will give you an idea of what you will need to have:
- Earnest money (varies from $500-$2000 approximately)
- Inspection money ($300 approximately)
- Appraisal money ($300-$400 approximately)
- Closing costs ($2000 approximately)
- Down payment (3.5-20% of purchase price, typically, unless you qualify for 0 down)
You will write a check for the earnest money when you write the offer, the inspection and appraisal money is typically within 7-21 days later, and the down payment and closing costs at closing. These numbers vary greatly, depending on the purchase, and how we negotiate the agreement, for instance, you can sometimes ask the seller to pay some of the closing costs for you, and raise your offer price to compensate. The earnest money is credited back to you at closing which also reduces the amount you need to bring.
This is a very simple explanation of these costs, to try to help you, when you first begin to ask questions about real estate and buying a home.
I am personally here to help you anytime, to further explain how we can make this work, for your specific situation, and to get more in-depth as to what this all means!
How do I get pre-qualified?
To a lot of people, it can be intimidating, to begin the process of determining your financial status, when deciding to buy a new home.
A lot of people have questions, but aren’t sure what the first step is, in the process. If you have a trusted Realtor® by your side, it can be much easier for you!
Here is a general description of what to do:
- Ask a few trusted people, including your Realtor®, who they would recommend as a qualified mortgage lender.
- Call the lenders you would like to talk to. This call is free, confidential and usually only takes a few minutes. You will usually be able to give them basic information, over the phone, to determine your credit score, and they will be able to tell you what score you will need to qualify.
If you are more comfortable having someone with you when you call, all you have to do is ask me, and I will be there!
*If your score is lower than needed at the moment, you can ask them for recommendations, and an estimated time-frame it may take, to have the score you need. A good lender will be the same as a good agent, as far as, we will not fault you for needing time to reach your goals, and will stick by you through the process of getting there! That’s what we are here for, to support you, and see you through to the end!
After they have determined your score, they will need information to figure out your debt-to-income ratio, which is our term for describing how much money you have, in relation to, how much money you owe. This ratio will tell you how much mortgage you can qualify for. This number, along with your personal comfort level, will tell us what price range of homes we should begin looking at.
Qualified professionals know it is hard for some people to open up about finances, for a lot of different reasons, and they will make this an easy, comfortable call for you. The demeanor and skills you are met with, will help you to see who you want to continue to work with!
*Documents you may want to have on hand for determining debt-to-income are as follows: (You do not have to have these to make the initial call, but if you proceed further with a lender, you will need them handy.)
- Last 2 years W-2′s and Tax Returns
- Last 2 Pay Stubs
- Last 2 months Checking & Savings Statements
- Last 401K and/or Retirement Statement
Negotiate your best home purchase
Keep your emotions in check and your eyes on the goal, and you’ll pay less when purchasing a home.
When negotiating a house sale, for every concession you make, ask for something in return. Image: Westend61/Getty Images
Buying a home can be emotional, but negotiating the price shouldn’t be. The key to saving money when purchasing a home is sticking to a plan during the turbulence of high-stakes negotiations. A real estate agent who represents you can guide you and offer you advice, but you are the one who must make the final decision during each round of offers and counter offers.
Here are six tips for negotiating the best price on a home.
1. Get prequalified for a mortgage
Getting prequalified for a mortgage proves to sellers that you’re serious about buying and capable of affording their home. That will push you to the head of the pack when sellers choose among offers; they’ll go with buyers who are a sure financial bet, not those whose financing could flop.
2. Ask questions
Ask your agent for information to help you understand the sellers’ financial position and motivation. Are they facing foreclosure or a short sale? Have they already purchased a home or relocated, which may make them eager to accept a lower price to avoid paying two mortgages? Has the home been on the market for a long time, or was it just listed? Have there been other offers? If so, why did they fall through? The more signs that sellers are eager to sell, the lower your offer can reasonably go.
3. Work back from a final price to determine your initial offer
Know in advance the most you’re willing to pay, and with your agent work back from that number to determine your initial offer, which can set the tone for the entire negotiation. A too-low bid may offend sellers emotionally invested in the sales price; a too-high bid may lead you to spend more than necessary to close the sale.
Work with your agent to evaluate the sellers’ motivation and comparable home sales to arrive at an initial offer that engages the sellers yet keeps money in your wallet.
4. Avoid contingencies
Sellers favor offers that leave little to chance. Keep your bid free of complicated contingencies, such as making the purchase conditional on the sale of your current home. Do keep contingencies for mortgage approval, home inspection, and environmental checks typical in your area, like radon.
5. Remain unemotional
Buying a home is a business transaction, and treating it that way helps you save money. Consider any movement by the sellers, however slight, a sign of interest, and keep negotiating.
Each time you make a concession, ask for one in return. If the sellers ask you to boost your price, ask them to contribute to closing costs or pay for a home warranty. If sellers won’t budge, make it clear you’re willing to walk away; they may get nervous and accept your offer.
6. Don’t let competition change your plan
Great homes and those competitively priced can draw multiple offers in any market. Don’t let competition propel you to go beyond your predetermined price or agree to concessions—such as waiving an inspection—that aren’t in your best interest.
More from HouseLogic
Determine how much mortgage you can afford
Keep your home purchase on track
Plan for a stress-free home closing
Other web resources
G.M. Filisko is an attorney and award-winning writer who has to remind herself to remain unemotional during negotiations. A frequent contributor to many national publications including Bankrate.com, REALTOR® Magazine, and the American Bar Association Journal, she specializes in real estate, business, personal finance, and legal topics.
Common First-Time Home Buyer Mistakes
1. They don’t ask enough questions of their lender and end up missing out on the best deal.
2. They don’t act quickly enough to make a decision and someone else buys the house.
3. They don’t find the right agent who’s willing to help them through the homebuying process.
4. They don’t do enough to make their offer look appealing to a seller.
5. They don’t think about resale before they buy. The average first-time buyer only stays in a home for four years.
What is the first step in searching for a home?
The first step is to contact me! I will be able to assist you in determining what you can afford and organizing your criteria list. We will start by answering some basic questions and go from there.
- Where do you want to live?
- Do you want to be close to schools, shopping, or work?
- What kind of house would you like (need)?
- Are you looking for a particular style?
- How many bedrooms and bathrooms do you want?
- Do you want a yard?
- How much house can you afford?
- Have you consulted a Realtor or mortgage lender to determine the size of the mortgage you would qualify for?
Home shopping can be really fun if you have the right professional support!.Did you know in Indiana the seller pays the Buyers agent? You don’t have to do this on your own, I will help.
