What does a real estate agent do?
The real estate agent is your representative to the buyer or seller. The agents job is to work in your best interest, to be honest, have integrity, use their real estate knowledge to assist you and observe all laws and rules involved in the buy/sell transaction. They are your consultant, negotiator and overseer to all details.
How do you buy a Foreclosure?
The first step is to find a real estate agent you have confidence in to represent you and has experience buying Foreclosed property. Foreclosures are owned by the bank and rarely are willing to fix or repair the house. Since many of the foreclosed properties need some fix and repair the real estate agent should have some knowledge of fixing and repairing. The bank will not know about any repairs needed since the owner is long gone. The buyer needs to be aware of many problems that may be found in a foreclosed home.
How do you buy a Short Sale Property?
The difference between a Foreclosure and a Short Sale is that the owner still owns the property not the bank. Many times the owner still lives in the property. Again, the owner and the bank will probably not do any repairs. Because the owner still lives in the property there is less chance that major repairs are needed. Also the owner has to reveal any repairs needed while in a foreclosure the bank does not know about any repairs.
Can I sell my home as a Short Sale?
Click Here to go to the Short Sale Information Page.
What is an FHA Loan?
The Federal Housing Administration, generally known as "FHA", provides mortgage insurance on loans made by FHA-approved lenders throughout the United States and its territories. FHA insures mortgages on single family and multifamily homes including manufactured homes and hospitals. It is the largest insurer of mortgages in the world, insuring over 34 million properties since its inception in 1934.
What is the advantage of an FHA Loan?
Unlike conventional loans that adhere to strict underwriting guidelines, FHA-insured loans require very little cash (3.5%) investment to close a loan. There is more flexibility in calculating household income and payment ratios to qualify for a loan. The cost of the mortgage insurance is passed along to the homeowner and typically is included in the monthly payment. In most cases, the insurance cost to the homeowner will drop off after five years or when the remaining balance on the loan is 78 percent of the value of the property -whichever is longer.
What is An Appraisal?
Your lender will have a licensed home appraiser go to your home and give an evaluation of the condition and value of the home. The appraiser will use homes that recently sold in a 1 mile area to determine the market value. The lender will use this amount to decide how much the lender will loan you for purchase of the property.
What is an Escrow/Title Company?
In Arizona the Escrow and Title Company are usually one entity. The Escrow Company's job is to be a unbiased third party making sure everyone in the real estate transaction get treated fairly and within the laws of Arizona. The Title Company provides insurance for the property title so that you will be the verified owner of the property, all other liens and debts are removed from the property and you are the valid and only owner.
