FAQ from Buyers
- Closing Date
- Earnest money
- Closing cost credits
- Financing terms
- Property tax prorations
- Home Warranty
- Are you willing to accept the home “as-is”? This does not mean you won’t have a professional inspection but does suggest you won’t ask for the seller to make repairs or provide credits for issues identified during the inspection.
As-Is terms shield the seller from making repairs. As-is terms are often seen for estate owned real estate and third party owned real estate. You, as the buyer, are encouraged to schedule an inspection.
An important step in making an offer is to determine how you will purchase the property – will you be obtaining a mortgage or are you paying cash? Most homebuyers will finance a purchase of this size so the first step in the process, even before seriously beginning your search, is to speak with a lender and have them prepare a pre approval letter for you.
Hughes Home Team agents will provide pricing for comparable homes on the market and comparable homes recently sold and closed to help you decide on an offer price. A seller can accept, reject or counter an offer.
The amount of earnest money is negotiable, but is typically in the range of up to 5%. Earnest money will be held in a secure escrow account until closing, when it is used as part of the down payment. Make sure to know it’s not just a deposit that’s held – it’s actually cashed/withdrawn from the bank account.
There are options, including the seller and buyer re-negotiating the contract price to the appraised value, or you the buyer may make a larger down payment.
Lake Michigan water feeds through lead pipes from the filtration plant to the cities and towns served. Hughes Home Team agents recommend our clients install reverse osmosis filters at sink and tub spigots.
Plan on scheduling the professional home inspection(s) as soon as possible, keeping in mind that notice to the seller of inspection deficiencies must be delivered within 5 business days after contract acceptance.
What are valid inspection issues and what is considered unreasonable to ask a seller to repair? The inspection typically does not cover minor repairs, like a missing door stop, and routine maintenance items. Inspection issues and how they are acknowledged and addressed or corrected are up for discussion between the buyer and seller.