Home sales were down in May which is bad news and good news.
Good news for potential home buyers.
Once you make an offer, however, there are a number of things to consider.
You have finally found the home of your dreams and you decide to make an offer on that house.
“When you make an offer, you have to keep in mind that everything’s negotiable. So you need to consider the top price that you’re willing to pay for the home and also make sure that everything is in writing,” said Erin Palmer, CPB Homeloan consultant.
That’s important and it’s important to include in that contract any concerns you might have.
“Once you’re offer is accepted, the contract becomes binding. So, it’s important to note or write up the contract with any necessary contingencies,” said Palmer.
There could be many small things included in such a contract, but there are much larger concerns that demand your attention and should be included in such a contract.
“Some common contingencies are subject to approved financing, subject to the sale of a home, subject to a satisfactory home inspection,” said Palmer.
Most home buyers are willing to pay what the property is worth and what the property is worth is especially important to potential lenders.
“So lenders will require an appraisal to confirm that the value of the property is, corresponds to the purchase price that you’re paying,” said Palmer.
There are just a couple of more steps before you are ready to take over ownership of your new home.
“The escrow company will run what’s called a preliminary title report. That will ensure that the property has clear title on it. Also in many cases, especially for single family homes, a survey will need to be done to ensure that the property is within the boundaries of the property line,” said Palmer.