Complements of:
Talisa Rafferty,
Real Estate Consultant
HOME BUYING GUIDE
HELPING YOU FIND THE PERFECT HOME…
2
TALISA RAFFERTY,
YOUR REAL ESTATE AGENT
Is totally committed to you and
your home search
 Explains “Agency” to you and provides you with the Mandatory Agency
Disclosures
 Listens to your needs and will not waste your time showing you homes that do
not fit your criteria
 Abides strictly by the Code of Ethics, assuring you the most competent,
professional and ethical performance
 Has access to all inventory in MLS for every neighborhood and works closely with
other Realtors in sharing information about which properties are available
 Shows you homes within your budget and never pressures you
 Will answer all questions to the best of their knowledge, and without violating
Fair Housing Laws, concerning zoning, neighborhoods, schools, churches,
transportation and communities
 Will answer all questions objectively, pointing out any
defects or advantages in the homes you view
 Knows the real estate values and can intelligently
determine the fair market price of a home at the time of
purchase
 Is experienced in presenting offers and will guide you
through every step of the negotiating stages
The purpose of this guide is to provide the Cameron Real Estate customer with general information and advice throughout the home
buying process. Please use this as a guideline only, as each sale will be dependent on the seller and purchaser’s agreement and addendums
at the discretion of their respective agents and clients attorneys. (created 7.15.18)
www.talisarafferty.com
Your source for all real estate information
3
STEPS TO BUYING A HOME
The savvy CUSTOMER in the market for
a home purchase meets with me!
+/- 1 Year
Day 0-7
Day 8-30
From the moment you
contact me you will
start to build
a
relationship with a
TRUSTED
PROFESSIONAL
who will guide you
through the
home buying process.
The HOME
INSPECTION is your
responsibility. Iwill
provide you with a list
of licensed
I will also provide
you with a list of reputable
ATTORNEYS and
insurance
brokers.
home inspectors if
you need help.
Day 31-70
Closing
THE FIRST STEP
IS
PRE- APPROVAL
.
Your mortgage lender will
process your application
and provide you with a
LOAN COMMITMENT.
This will include hiring a
professional to conduct a
property APPRAISAL.
Your attorney will order
the TITLE SEARCH,
an examination of
municipal records to
determine the legal
ownership of a
property.
Make an
appointment
You’ve found your dream
with a lender to home! Now, with my
get started in
guidance, an OFFER TO
the process of
PURCHASE,
obtaining a loan which will be accompanied by
for your home
a deposit, is made as a
purchase.
preliminary agreement.
Your attorney reviews
the PURCHASE &
SALE
AGREEMENT with
you, answering any
questions you may
have.
Your Insurance
Broker will present
you with
QUOTES from
some of the
nation’s most
competitive
insurance carriers.
At CLOSING, you will present a binder and proof of payment for
your homeowners insurance. Your attorney will provide proof of the
title search and review closing
costs with you
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Your source for all real estate information
Shortly after the
offer, you’ll
complete a LOAN
APPLICATION.
You accept one of the
HOMEOWNERS
INSURANCE
POLICIES, an
application is signed
and payment is made.
Congratulations on the
purchase of your new
home!
4
WORKING TOGETHER
What it’s like to work with an agent? Here’s what our first couple of
meetings will look like:
First meeting:
•
Discussion of agency relationship
•
Brief and informal—nothing personal, financial, or confidential
•
Buyer needs analysis
•
Showings—one day contract
•
Mortgage pre-approval how to: even if you don’t need it today!
2nd & subsequent meetings:
•
Discuss agency relationship—sign buyer agency agreement
•
Copy of pre-approval from lender
•
Showings—I work for you as the buyer, not the seller!
You should demand:
•
Professionalism
•
Courtesy
•
Accuracy
•
Efficiency
•
Respect
I believe strongly that in order for you to be represented fairly, honestly and equally
with sellers , you need someone who is working for you . The absence of a buyer
agency contract means that the agent is working for the seller, not for you. Why would
you want to negotiate what is probably your largest purchase without being represented
on equal grounds as the seller? Let’s talk about buyer agency and what it can do for you.
www.talisarafferty.com
Your source for all real estate information
5
AGENCY
Understanding “Agency” or Who Works for Whom?
REPRESENTS
BUYER CLIENT
ME
BUYER AGENCY:
 Agent represents the best interests of the Buyer Client and puts their needs first
 Agent owes to the Buyer
o Obedience to lawful instruction
o Undivided loyalty
o Disclosure
o Confidentiality
o Accountability
o Reasonable care
 Agent must disclose known material defects in the real estate
 Agent gives all material facts to the Buyer so he/she can make an educated decision
 Agent will facilitate negotiations in the best interest of the Buyer
SELLER’S AGENT:
 Agent represents the best interests of the Seller Client and puts their needs first
 Agent provides best efforts to secure ready, willing and able buyer
 Agent owes to the Seller
o Obedience to lawful instruction
o Undivided loyalty
o Disclosure
o Confidentiality
o Accountability
o Reasonable care
 Agent must disclose known material defects in the real estate to interested parties
 Agent will facilitate negotiations in the best interest of the Seller
www.talisarafferty.com
Your source for all real estate information
6
DISSCUSSION POINTS
➢ Why do you want to move?
➢ How long have you lived in your current home?
➢ Would you call your lifestyle casual or more formal?
➢ Have you bought or sold a home before?
➢ What did you like about the experience?
➢ What would you change about it?
➢ How do you want me to communicate with you?
➢ Have you been pre-qualified by a lender?
➢ What price range is comfortable for you?
➢ Ideally where would you like to be within that range?
➢ Do you own your current home?
➢ Would you like to buy first or sell first?
➢ If sell, is it on the market?
➢ How long has it been on the market? Is it priced to sell?
➢ What are your needs and wants in a new home? (Needs Assessment)
www.talisarafferty.com
Your source for all real estate information
7
TIPS FOR BUYERS
Be picky, but don’t be unrealistic.
➢ There is no perfect home.
Do your homework before you start looking.
➢ Decide specifically what features you want in a home and which are most important to you.
Get your finances in order.
➢ Review your credit report and be sure you have enough money to cover your down payment
and your closing costs.
Don’t wait to get a loan.
➢ Talk to a reputable mortgage lender and get pre-qualified for a mortgage before you start
looking.
Don’t ask too many people for opinions.
➢ It will drive you crazy. Select one or two people to turn to if you feel you need a second opinion.
Decide when you could move.
➢ When is your lease up? Are you allowed to sublet? How tight is the rental market in your area?
Think long-term.
➢ Are you looking for a starter house with the idea of moving up in a few years or do you hope to
stay in this home longer? This decision may dictate what type of home you’ll buy as well the
type of mortgage terms that suit you best.
Don’t let yourself be “house poor.”
➢ If you max yourself out to buy the biggest home you can afford, you’ll have no money left for
maintenance or decoration or to save money for other financial goals.
Stay Informed.
➢ Talk to your me. I am your real estate consultant I'm here to help and represent you.
Buyer Representation.
➢ Unlike a listing agent, whose first duty is to the seller, a buyer’s representative is working only
for you. And most often, buyer’s reps are paid out of the seller’s commission payment.
www.talisarafferty.com
y
Your source for all real estate information
8
HOME INSPECTION
Home Inspections provide a unique service in identifying existing and
potential issues, if any, that may not have been easily detected on initial visits to the
home. Inspections are not meant to be a vehicle for reducing the price, but for
identifying any structural or safety issues. Inspectors, however, will bring to your
attention maintenance items to help you in the future care of your home.
Areas that home inspectors look at:
Structural:
Home inspectors are not meant
to be structural engineers;
however they are trained to
determine the integrity of
essential internal and external
structural components and can
identify visual defects that require
immediate repairs.
Electrical:
A thorough examination of the
electrical box and checking
outlets is an essential
part of the Inspection.
Safety Hazards:
Plumbing:
The inspector will check all
fixtures for leaks and mechanical
systems to determine if all HVAC
is in proper working order.
Though not environmental
specialists, inspectors are still able
to identify many hazardous
conditions. They are able to
perform radon tests,
usually for an extra fee.
Miscellaneous
Issues:
Built-In Appliances:
All appliances will be checked to
ensure they are in working order.
Inspectors will check roofs, decks,
gutters and siding, as well as
garages. They determine if there
has been or currently suspect
insect activity. If so, you may wish
to have a separate pest inspection.
Additional Testing:
Radon can be tested at the time of inspection, usually for an additional charge. Septic systems, lead
paint and environmental tests are not included in a basic inspection.
www.talisarafferty.com
Your source for all real estate information
9
WORKING WITH AN ATTORNEY
Making an offer on a home should not be taken lightly. In addition to the
care and advice of your realtor, it is important that you seek legal
representation from an attorney who specializes in real estate law.
Purchase and Sale Agreement
As a condition to the Offer to Purchase, a date is given to execute a Purchase and Sale Agreement.
Generally, the listing agent’s firm will provide a draft P&S to both the attorneys for the buyer and
seller. The attorneys will make the appropriate addendums, protecting their respective clients.
Title Search
Required by all lenders, the title search is generally ordered by the attorney handling the closing for
the lender. The examination should reveal any encumbrances, rights of way, liens, easements,
restrictions or any other issues that may prohibit the transfer of title.
Closing
Most closings take place either at the Registry of Deeds or at the closing attorney’s office. The buyers,
sellers and their respective attorneys meet to execute the final closing documents. In some instances
parties will have executed a Power of Attorney in place of attending. Among the myriad documents will
be the Deed, Mortgage and Loan, as well as the HUD Settlement Statement. The HUD is a full
accounting of the fees and costs inherent in the sale and should be reviewed prior to the closing so
there are no surprises.
Going on Record
A final title exam is performed just prior to the recording of the documents to insure no last minute
liens have been placed on the property . The pertinent documents are then recorded with specific
Book and Page numbers and the transfer of ownership becomes complete.
www.talisarafferty.com
Your source for all real estate information
10
TITLE INSURANCE
Should you purchase Owners’ Title Insurance?
It is a question we get asked quite often. It, of course, offers you
additional protection and is a one-time expense. We encourage
you to discuss this with your attorney and the closing attorney.
Some of the hidden risks may protect you against:
Forgery
Fraud (Misrepresentation) in connection with the execution of documents
Undue influence (under pressure) on a grantor (Seller) or executor of a will
False impersonation by those purporting to be owners of the property
Incorrect representation of marital status of a grantor (Seller)
In come cases, undisclosed or missing heirs
Wills not probated
Mental incompetence of grantors
Conveyance of a minor
Birth of heirs subsequent to the date of a will
Inadequate surveys
Incorrect legal descriptions
Non-delivery of deeds
Unsatisfied claims not shown on the record
Deeds executed under false powers of attorney
Confusion due to similar or identical names
Dower or courtesy rights of ex-spouses of former owners
Incorrect indexing at Registries of Deeds
Clerical errors in recording legal documents
Delivery of deeds after the death of a grantor
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Your source for all real estate information
11
BUYER’S GENERAL CLOSING
DO NOT ASSUME THAT “NO CLOSING COSTS” COVERS ALL THE ITEMS MENTIONED BELOW.
THESE ARE INDENDED TO BE VIEWED AS A GUIDELINE. BE SURE TO DISCUSS THESE ITEMS WITH YOUR LENDER
OR MORTGAGE BROKER EARLY SO THAT YOU ARE NOT SURPRISED AT THE CLOSING
Appraisal Fees: $390-$500
Costs $2.50 per every $1,000.00 borrowed. It
protects a lenders financial interest in real
Lender’s Title Insurance: property against loss due to title defects, liens or
other matters and is required nationwide.
3-6 months’ tax and insurance escrows are
typically required by the lender, depending upon
MA Real Estate
several variables. This 3-6 months of tax funds
Property Tax Escrows:
are held with the lender who will pay your tax
bill on your behalf.
The lender can require the 1st year’s
Home Owners Insurance: insurance premium paid in full prior to closing.
These can consist of several different items
Lender’s Fees: including loan points, document preparation,
underwriting and processing, etc.
Attorney Closing Costs: $550-$800
Deed Recording Fees: $375
www.talisarafferty.com
Your source for all real estate information
12
NOTES
www.talisarafferty.com
Your source for all real estate information
13
13
14
20 Delcarmine Street
Wakefield, MA 01880
781.808.700
Thank you for
reading this. An
educated buyer is a
happy buyer!
www.talisarafferty.com
Your source for all real estate information