Resources: buying a home in pa

RESOURCES: buying a home in pa

Buying A Home In PA

Area Pricing : Shop on line to get a realistic idea of area pricing. If you're within our service area, visit www.myrefinder.com . Outside of Bucks and Montgomery Counties in PA, try www.realtor.com (often behind, but more enhanced and up-to-date than the newspapers and magazines).
Pre-Qualify vs Pre-Approval : The latter is when you have made a formal application to a lending institution wherein the lender has verified your assets, income and credit reports. The only thing standing in the way is the appraisal, inspections, and approval of the property you choose. Most companies can do this within a week with full cooperation. See our preferred partners . This is a win-win for you the buyer. No one wants to be told the mortgage was declined after finding the perfect property. This also puts you ahead of all the other buyers that have only a pre-qualification (often not worth the piece of paper it is printed on). Good realtors know this, so it will save you time and money.
Find A Realtor : PA agents act almost entirely as Buyer Agents. There are obvious, clear, advantages to representation by a qualified realtor. They owe you care, obedience, accountability, loyalty, notice, disclosure, and negotiate for your best interests. Interview the agent first or complete our agent connection and we will assist you in finding a qualified agent that meets your needs at no cost to you.
House Hunting : You can shop on line yourself. Good realtors will have access to the extremely small percentage of real estate brokers that do not subscribe to broker reciprocity and to the local FSBO market (not often on line).
Buying A Home : Make an offer in writing, typically using a Pennsylvania Association of Realtors standard Agreement of Sale. Attorney reviews are atypical as realtors are licensed to fill in the blanks of the PAR Agreements. (Note: this agreement is not typically used for new construction and many use attorneys for this type of purchase and other more complex transactions (See preferred partners).
Deposit: Up to a 5 % deposit to hold the property until settlement is customary. Note: If for any reason the agreement falls through, monies are forbidden by law to be returned until all parties agree to the return of deposit monies.
Contingencies: Note all the terms and conditions that must be satisfied for you to proceed with the purchase. Inspection can often take longer than one would think, adjust your time frames accordingly. Buyer typically pays for anything and everything they want checked out.
Time Essential: Time is of the essence in PAR contracts, hence everything needs to be done as promised or the agreement is voidable. Clock starts the day after the date of execution and includes the due date.
Fixtures & Personal Property: In PA, ranges, mailboxes, etc. are considered real property. Be sure to check paragraph 4 in detail. What is in a brochure or advertising is irrelevant if it is not included in this paragraph or specified as such.
Mortgage Approval : If you already have a pre-approval as recommended, this process can be complete in less than 10 days. Otherwise, expect up to 45 days.
Abstract (Title) Companies : The fees charged by Abstract companies are state regulated. Their job is to facilitate the transaction between the buyer and the seller including, but not limited to: verifying ownership, preparing the deeds, and making the appropriate adjustments. See our preferred partners for an abstract company within Bucks or Montgomery counties.
Getting To Settlement : Most agents or a designated person within the office will be responsible for conveying your transaction. You can follow along yourself with our Transaction Tracker . If a transaction is not going to work out, hopefully all parties will know within a short period of time (inspection period). Note: real estate companies are forbidden by law to return any deposit monies paid on account unless all parties agree.
Preparing For Closing : There are many services to be organized for your move. Since buying a house is not an every day event, take advantage of our Service Tracker which will provide you with the proper contact information for moves within our service area.
Day of Closing : The property should be vacant, broom clean, and free of debris. You have the right to pre-inspect the property prior to settlement. (There is no legal right to re-enter the property from your final inspection until the day of closing so be sure to gather all your pertinent information in advance). At settlement you will receive a copy of the deed and the keys to your new home. There is no obligation, without legal action, to pursue any problems after closing. Consider a home warranty from our preferred partners .

Interesting Facts

One can typically buy a home with as little as 3% of the purchase price and zero money down for qualified veterans. See our preferred partners for mortgage pre-approvals.
Most homes have basements (very old homes often wet ones)
Many homes in rural areas are serviced by private water and septic systems
Insurance is now rated by persons and by property. See our preferred partners for additional information.
Attorney reviews are not typical except for corporate sponsored transferee and complex transactions. When hiring an attorney, be sure to use one who specializes in real estate law. See our preferred partners .
Verbal Agreements are rarely effective. If you don't want to go to the extent of completing an agreement of sale, have a letter of intent drafted.
Time is of the essence. (not so in the neighboring states of NY or NJ)
Ranges and other built-in appliances are part of the transfer. Most refrigerators, washers and dryers are personal property. Double check on every property.
Surveys are not a part of an agreement of sale and are rarely requested.
A transfer of ownership does not necessitate a change in the real estate taxes in Bucks and Montgomery Counties.
The local public school systems are funded through a portion of the real estate taxes.
A 2% state transfer tax applies to all real estate transactions. This fee is typically divided between the buyer and the seller.

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