Home Buyers Guide from Tammy Mitchell Hines & Co. Workbook for Home Buyers | Page 13

Let’s Talk Details… made out to name stated in the contract. This earnest money will be credited to you at closing as part of your down payment and/or closing costs, if it exceeds those amounts, the balance will be refunded at closing. Purchase Contract (Offer and Acceptance) In negotiating the purchase of your new home, the initial step will be to make an offer to purchase. This offer should be in writing and accompanied by an earnest money check to show good faith. The offer will include: Title Insurance When property is sold or refinanced, the lender and/or buyer needs a preliminary title report to see exactly what liens and encumbrances are against the property. Items that a preliminary title report show include:  Easements of record, 1. The amount you are willing to pay, 2. Financing terms, 3. Any personal property specifically included, 4. Loan commitment date, 5. Closing and occupancy date, and  Restrictions, covenants, and conditions, 6. Other contingencies, including inspections.  Liens and/or judgments,  Exact vested owner of record, and  Legal description. The offer will be written on a standard Board of Realtors contract form. If the seller does not accept the initial offer, we’ll continue negotiating until agreeable terms to both the buyer and seller are reached. When both agree on the terms, the buyer completes financing and arranges for inspections. Our Closing Manager will assist you in these processes. When the sale of the subject property is final and the title company has recorded the necessary documents, they then will issue a policy of title insurance to the new lender and the buyer showing clear title to the property. Earnest Money Deposit At the time a written offer on a property is initiated, you will be required to make a deposit in the form of a personal check or cashier’s check. The amount deposited will be kept in the trust fund account stated in the contract or to the seller. This money represents your sincerity in the attempt to purchase and is fully refundable if the offer is not accepted, if your loan is not approved, or if the seller does not meet some other condition of the contract. You should anticipate a minimum of $1,000 for homes under $100,000. In homes over this price range, expect to deposit one to five percent of the purchase price. The check will be www.CallTammy.com * 618-281-3959 * [email protected]