BUYING A HOME IN 12 STEPS
• Do the mechanical systems and appliances work ?
• Will your furniture fit in the space ?
• Does anything need to be repaired or replaced ?
• Will the seller repair or replace the items ?
• Will the neighborhood and community work for you ?
5 . PUTTING IN AN OFFER
Once you ’ ve found the perfect home , it is time to put in an offer . All real estate offers must be in writing . The current purchase and sale agreement Realtors use in the state of Idaho is an eight page contract , along with the Agency Disclosure brochure , that covers the entire process of the sale . The first step is to determine the price and terms you want to offer . You will need to put down earnest money at this time , typically 1 % of the sale price . Earnest money will be placed in a trust account with either the selling or listing broker , and then credited to you at closing . Your offer will be contingent upon several factors , such as securing acceptable financing , a satisfactory home inspection should you choose to have one , clear title to the property , and an appraisal that is at least equal to the purchase price .
6 . SELLER RESPONDS TO YOUR OFFER
The Seller can do one of three things to your offer :
• Accept it as is
• Reject it
• Respond with a counter offer
Then you have the same three options . Price is only one of the many terms that may be negotiated . Closing date , repairs , change of possession date , or items included in the sale are contested by buyers and sellers .
7 . WHEN YOUR OFFER HAS BEEN ACCEPTED
Now is the time to open escrow with the closing agency , usually the title company . The escrow officer is in charge of the closing , and is defined as a neutral third party . This person will be responsible for the recording of the deed and deed of trust , following all closing instructions agreed upon in the Purchase and Sale Agreement , and disbursement of funds . Escrow takes approximately 45 days , but can be as short as a few days with a cash offer or as long as a few months , depending on the needs of the buyer and seller .
6 | THE BUYER ’ S EDGE | A GUIDE TO PURCHASING A HOME