Buyers

Buy This House!

Home buying is a big financial commitment. Buying a home is not just a dollars-and-cents investment; it is an investment in your life. This is why choosing your Realtor is perhaps the most important decision you will make when selling property. We believe the more you look around, the more you will see he value in working with Dynasty Premier Properties and Estates. Regardless of how times change, owning a home remains the cornerstone of the American Dream.

To assist you in the process, Dynasty Premier Properties and Estates has everything you need-from a basic step-by-step overview to a property comparison checklist. So whether you are a first time home buyer or need a brief real estate buying refresher, let a Dynasty professional help you through it all.

The Advantages of Owning A Home
Before You Shop
Before You Buy
Advice For First-Time Buyers
Surviving Escrows

There are many advantages to owning a home, including:

Security - A feeling of security that comes from owning a home and th knowledge that your home is a safeguard against inflation.

Investment - Payments on your mortgage loan mean you are acquiring a major possession; instead of rent, you own more and more. The garden you plant, the permanent improvements you make-all enhance your way of living as well as rhe value from income tax.

Financial Independence - Most people start on the road to financial independence through home ownership. Your principal and interest payments remain the same for full term of your mortgage while your rent usually goes up as the cost of living increases.

Cash Equity - Equity is the principal part of your monthly payment that you can use as a down payment on a new home, or collateral for a home equity loan. You can use a home equity loan to finance home improvements, a child's college tuition, or a new car. Better than a savings account, your home can appreciate to keep pace with inflation. Real estate is also a great way to keep a hedge against inflation. While some homes do appreciate in value more quickly than others, real estate usually keeps pace with inflation. In fact, homes in general have been appreciating at a steady 3% a year.

That wonderful thing Called A Tax Break - As a homeowner, when filing your taxes you can deduct the interest portion of your monthly payment-and that can mean big savings. You can deduct your property taxes, too.

Satisfaction - Home ownership offers special advantages that make life more enjoyable-backyard barbeques, large family gatherings during holidays, a home workshop, a chance to enjoy your family's companionship in the privacy of your own home.

Before you shop

Be a smart consumer. How much can you afford? Learn the financing basics. Know how to shop for a home loan that's right for you.

Get pre-approved. This takes very little time and lets you know the price range that fits your lifestyle.

Know what you want. The last thing you need is to close on a deal and realize you bought a house you don't want. Ask yourself what you're looking for in a home, before you shop. Think about size, commute time and necessary repairs.

Keep your debt load to a minimum. Don't make purchases or incur any additional debt until after your purchase. Pay down credit cards and don't apply for new ones. Remember, financial institutions evaluate your financial situation on our gross monthly income. Your total monthly house costs should not exceed 28 percent of your gross monthly income.

Be prepared to view new properties quickly. Sometimes homes sell quick;y, so be ready to make fast decisions. Be accessible to change the terms.

Have instant access to our agent. Instant communication can mean the difference in purchasing the property of your choice.

Before you buy

Submit a strong competitive offer.

Negotiating the Buy -The expertise a Dynasty Real Estate Group of Keller Williams Realty in Buckhead can give you at negotiating time is priceless.

Be prepared for counter offers. Don't let the pressure get to you. remain patient, and let your Dynasty Realtor act as your liaison with the seller or the seller's agent. you may need to be flexible on price, closing date, appliances and repairs.

Include a substantial earnest money deposit. Once your offer is accepted, be prepared to seal the deal with earnest money. Earnest money is usually a percentage of the home's purchase price and indicates you are serious about the purchase and indicates your good faith. It is generally applied to the purchase price when you complete the purchase, but may be forfeited to the seller if you fail to complete the purchase. Sometimes offers are accepted based on the amount of the deposit.

Try to minimize the number of contingencies. Beware of putting contingencies in your purchase agreement. They weaken your offer. Fewer contingencies means a stronger offer. However, if you currently own a home, our offer may need to be contingent on it selling. Or, if you're uncertain about the structural integrity of the home, you may want to have a home inspection contingency. Just be aware any contingency could take you out of the running if a non-contingent offer is presented.

Hire an inspector. Having your home inspected prior to finalizing your purchase agreement is a great idea. A professional building inspector or appraiser will make sure the house of your choice is in satisfactory condition. And don't forget homeowner.s insurance to protect yourself against any unforeseen calamity!

Check zoning regulations and covenants. Good residential neighborhoods will be zoned to keep out commercial and industrial users. Read any restrictive covenants and make sure they fit your lifestyle.

Request an updated property survey. Be sure it clearly marks boundaries. check for problems.

Make sure you know what stays and what goes. Your contract should be very specific about which items appliances, etc. are included in the sale.

Get agreements in writing. Make certain verbal agreements are written into final contract to avoid any stressful and expensive issues later.

Advice for First-Time Buyers

Pre-Qualification: Meet with a mortgage broker and find out how much you can afford to pay for a home.

Pre-Approval: While knowing how much you can afford is the first step, sellers will be much more receptive to potential buyers who have been pre-approved. You'll also avoid being disappointed when going after homes that are out of your price range. With Pre-Approval, the buyer actually applies for a mortgage and receives a commitment in writing from a lender. This way, assuming the home you're interested in is at or under the amount you are pre-qualified for, the seller knows immediately that you are a serious buyer for that property. Costs for pre-approval are generally nominal and lenders will usually permit you to pay them when you close your loan.

List of Needs & Wants: Make 2 lists. The first should include items you must have (i.e., the number of bedrooms you need for the size of your family, a one-story house if accessibility is a factor, etc.). The second list is your wishes, things you would like to have (pool, den, etc.) but that are not absolutely necessary. Realistically for first-time buyers, you probably will not get everything on your wish list, but it will keep you on track for what you are looking for.

Representation by a Professional: Consider hiring your own real estate agent, one who is working for you, the buyer, not the seller.

Focus & Organization: In a convenient location, keep handy the items that will assist you in maximizing your home search efforts. Such items may include:
1. One or more detailed maps with your areas of interest highlighted.
2. A file of the properties that your agent has shown to you, along with ads you have cut out from the newspaper.
3. Paper and pen, for taking notes as you search.
4. Instant or video camera to help refresh your memory on individual properties, especially if you are attending a series of showings.
5. Location: Look at a potential property as if you are the seller. Would a prospective buyer find it attractive based on school district, crime rate, proximity to positive (shopping, parks, freeway access) and negative (abandoned properties, garbage dump, source of noise) features of the area?
Visualize the house empty & with your decor: Are the rooms laid out to fit your needs? Is there enough light?

Be Objective: Instead of thinking with your heart when you find a home, think with your head. Does this home really meet your needs? There are many houses on the market, so don't make a hurried decision that you may regret later.

Be Thorough: A few extra dollars well spent now may save you big expenses in the long run. Don't forget such essentials as:
1. Include inspection & mortgage contingencies in your written offer.
2. Have the property inspected by a professional inspector.
3. Request a second walk-through to take place within 24 hours of closing.
4. You want to check to see that no changes have been made that were not agreed on (i.e., a nice chandelier that you assumed came with the sale having been replaced by a cheap ceiling light).

All the above may seem rather overwhelming. That is why having a professional represent you and keep track of all the details for you is highly recommended. Please email me or call me directly to discuss any of these matters in further detail.

You've Opened Escrow, Now What?

Congratulations, you are on your way to owning your very own home! Follow these suggestions (and your Realtor's advice) so that escrow and settlement with go as smooth as possible.

You will be asked for a down payment on the home you are purchasing. You can choose to put down as much or as little as you want (depending on your mortgage), but remember, the more you put down toward the total price of your home, the less time it will take you to pay off and the less your mortgage payments will be every month.

During this period of purchasing your home, you are going to need an escrow or settlement company to act as an independent third party so that you know when and who to give your money to get the deed to your new home. The escrow or settlement company will hold your deposit and coordinate much of the activity that goes on during the escrow period. This deposit check may also be held by an attorney or in the broker's trust account. Make sure that there are sufficient funds in your account to cover this check.

The deposit check will be cashed. Assuming the sale goes through, this money will be applied to the purchase price of the home. If for any reason the sale is not consummated, you may be entitled to receive all of your deposit back, less standard cancellation fees. In certain instances, the seller may be able to retain this money as liquidated damages. Prior to executing a purchase contract, it would be wise to speak with your counsel regarding whether or not it is your best interest to have a liquidated damages clause as part of the contract.

The period that you are "in escrow" is often 30 days, but may be longer or shorter. During this time, each item specified in the contract must be completed satisfactorily. By the time you have opened escrow, you have come to an agreement with the seller on the closing date and the contingencies. Each contract is different, but most include the following:

Inspection contingency: this should be completed as soon as possible after the contract to purchase is signed as unsatisfactory results of the inspection may mean that you will want to cancel the contract.

Financing contingency: once the contract is signed, you have a period of time to secure funding. If, for any reason, you are unable to secure funding during the period of time granted to you by the contract (and the seller will not provide a written extension of time), you must decide whether you want to remove the contingency and take your chances on getting a loan. You may choose to cancel the purchase contract.

A requirement that the seller must provide marketable title.

With an attorney or title officer, review the title report. The title must be "clear" to ensure that you do not have legal issues regarding your ownership.

Check into local and state ordinances regarding property transfer and make sure that you and/or the seller have complied with them.

Secure homeowner's insurance. This will probably be required before you can close the sale. Due to such requirements as special fire and earthquake insurance, obtaining this insurance may require a lengthy period of time. It would be in your best interest to apply for insurance as soon as possible after the contract is signed.

Contact local utility companies to schedule to have service turned on when you close escrow.

Schedule the final walk-through inspection. At this time, you should make sure that the property is exactly as the contract says it should be. What you thought to be a "permanently attached" chandelier that would come with the property might have been removed by the seller and replaced with a different fixture entirely.

You've made it! Once the sale has closed, you're the proud owner of a new home. Congratulations!