A GUIDE TO
Buying A HOME
It's all about you! My real estate business has been built around one guiding principle: It's all about you.
Your needs Your dreams Your concerns Your questions Your finances Your time Your life My focus is on your complete satisfaction. In fact, I work to get the job done so well, you will want to tell your friends and associates about it. Maybe that's why more than 50 percent of my business comes from repeat customers and referrals. Â Good service speaks for itself. I'm looking forward to the opportunity to earn your referrals too!
d n i M f o e c a Pe I deliver
What I Deliver Communication
Your needs always come first. I provide the service we agree to, in the ways that work for you, whether once a week, once a day, by phone, email or text message. That's how we'll do it. You'll always be kept in the loop. From buying to closing, you'll know the status of our search efforts and the steps leading to a successful closing once our offer is accepted. We'll agree on the communication method that works best for you.
Experience and Expertise
The complexities of your real estate transaction will be well-handled. Smoothing the way for your home purchase, I will capably remove many potential challenges before they have the opportunity to appear.
Home Searching
I have state of the art technology on my team so you can rest assured that as soon as a home that matches your needs and wants comes on to the market, we will see it and be able to set up a viewing appointment.
Negotiating
Because of my knowledge of the real estate market, you can rely on me to get you the best price for your home. When we decide to submit an offer, we will negotiate all of the terms of the agreement to match your needs thus insuring your satisfaction at closing.
Showing
I will keep my self available at all times to ensure you are able to view a home as soon as it comes on the market. This is especially important when multiple buyers are looking for the same criteria as you.
Satisfaction
I'll guarantee your satisfaction. Our relationship is dependent on meeting and exceeding your needs. We identify those needs together, and my cancellation guarantee protects your right to end our relationship if you're disappointed.
Determining your down payment How much you need for a down payment depends on the type of loan and how much the house costs, but the more you can put towards a down payment, the lower your monthly payment can be and the more you'll save on interest. Conventional loans typically require a down payment of at least 5% of a home's price. FHA loans require as little as 3.5%. Along with your down payment, you'll have to pay closing costs, or fees associated with processing and securing your loan. These can vary depending on the price of the house and the type of mortgage, but estimate between 2% and 5% of the home's value.
STEP BY STEP
Buying 01 CONSULTATION Meet with your Real Estate Agent! Discuss what you are looking for.
04 04 MAKE AN OFFER! Negotiate the offer and get it accepted! Contingent on inspection.
02 PRE-QUALIFIED If you need financing get pre-approved by a lender or bank.
05 HOME INSPECTION Discuss Results, decide if any repairs are needed and if you want to move forward.
07 CLOSING Sign papers and pop the bubbly! Congratulations, you are home owner.
03 HOME SEARCH! Your agent will narrow down options for your reivew.
06 06 APPRAISAL & TITLE SEARCH The bank or lender orders the appraisal, title search and final financing is set.
Getting Ready To Buy Every lender requires documents as part of the process of approving a mortgage loan. Here are documents you’re generally required to provide: W-2 Tax returns — or business tax returns if you're selfemployed — for the last two or three years for every person signing the loan. At least one pay stub for each person signing the loan. Account numbers of all your credit cards and the amounts for any outstanding balances. Two to four months of bank or credit union statements for both checking and savings accounts. Lender, loan number, and amount owed on installment loans, such as student loans and car loans. Addresses where you’ve lived for the last five to seven years, with names of landlords if appropriate. Brokerage account statements for two to four months, as well as a list of any other major assets of value, such as a boat, RV, or stocks or bonds not held in a brokerage account. Your most recent 401(k) or other retirement account statement. Documentation to verify additional income, such as child support or a pension.
Getting Ready To Buy WHAT TYPE OF LOAN IS BEST? Just like any major purchase, it is usually worthwhile to shop around for the best deal. There are also many variables to consider to figure out what loan program would be best suited for your needs. A local mortgage professional will offer you guidance in weighing the many different options. Your income, job history, credit rating and debtto-income ration can determine which programs are available to you. I can a offer to arrange a pre-approval meeting with an experienced mortgage consultant if yo'd like assistance getting started.
SECURING A PRE-APPROVAL FOR YOUR HOME LOAN How much can you afford? I want to ensure you buy a home at a price point that is affordable to you. Sacrificing too much of your income to pay the mortgage can make home ownership a burden rather than a point of pride. A lender will assist you in finding the right budget.
A Pre-Approval adds Strength to your offer Once you're successfully pre-approved for a mortgage with lender, you will appear to be a stronger buyer to sellers. When we submit an offer, I'll include a written letter of your pre-approval. This demonstrates you are indeed a serious and capable buyer.
Develop a Pricing Strategy
I'll analyze values of properties comparable to the home you'd like to purchase. I'll also gather background information on the desired property such as - how long it has been on the market, pricing changes, or if it has gone through a previous listing period. Using this information, I can assist you in determining a realistic, yet attractive offer price to entice the sellers.
LOCATION MARKET
AGE CONDITION IMPROVEMENTS
REAL ESTATE TERMS Buyers Need to Know APPRAISAL A DETERMINATION OF THE VALUE OF SOMETHING, IN THIS CASE, THE HOUSE YOU PLAN TO BUY. A PROFESSIONAL APPRAISER MAKES AN ESTIMATE BY EXAMINING THE PROPERTY, LOOKING AT THE INITIAL PURCHASE PRICE, AND COMPARING IT WITH RECENT SALES OF SIMILAR PROPERTY.
MLS A ACOMPUTER-BASED SERVICE, COMPUTER-BASED SERVICE, COMMONLY REFERRED TOMLS, AS COMMONLY REFERRED TO AS MLS, PROVIDES REAL THAT THAT PROVIDES REAL ESTATE ESTATE PROFESSIONALS WITH PROFESSIONALS WITH DETAILED DETAILED OF MOST LISTINGSLISTINGS OF MOST HOMES HOMES CURRENTLY ON THE CURRENTLY ON THE MARKET. THE MARKET. THE PUBLIC CAN NOW PUBLIC CAN NOW ACCESS MUCH ACCESS OFINFORMATION THIS KIND OF OF THIS MUCH KIND OF INFORMATION THROUGH THROUGH WEBSITES LIKE WEBSITES LIKE
CCLLOOSSIIN NG C O S T S ALL SETTLEMENT OR TRANSACTION ALL SETTLEMENT OR TRANSACTION CHARGES CHARGES THAT HOME BUYERS NEED TO THAT HOME BUYERS NEED TO PAY AT THE CLOSE PAY AT THE CLOSE OF ESCROW WHEN OF ESCROW WHEN THE PROPERTY IS THE PROPERTY IS TRANSFERRED. THESE TRANSFERRED. THESE TYPICALLY INCLUDE TYPICALLY INCLUDE LENDER'S FEES AND LENDER'S FEES AND POINTS OR PREPAID POINTS OR PREPAID A INTEREST, A PRORATED SHAREINTEREST, OF THE PROPERTY PRORATED SHARE OFCREDIT THE PROPERTY TAXES, TRANSFER TAXES, CHECK FEES, TAXES, TRANSFERAND TAXES, CHECK HOMEOWNERS' TITLECREDIT INSURANCE FEES, HOMEOWNERS' AND TITLE PREMIUMS, DEED FILING FEES, REAL ESTATE INSURANCE PREMIUMS, DEED FILING AGENT COMMISSIONS, INSPECTION AND FEES, REAL ESTATE AGENTFEES. APPRAISAL FEES, AND ATTORNEYS' COMMISSIONS, INSPECTION AND APPRAISAL FEES, AND ATTORNEYS' FEES.
ZONING
THE LOCAL LAWS DIVIDING CITIES OR COUNTIES INTO DIFFERENT ZONES ACCORDING TO ALLOWED USES, FROM SINGLE-FAMILY RESIDENTIAL TO COMMERCIAL TO INDUSTRIAL. MIXED-USE ZONES ARE ALSO USED. ZONING ORDINANCES CONTROL SIZE, LOCATION, AND USE OF BUILDINGS WITHIN THESE DIFFERENT AREAS AND HAVE AN EFFECT ON TRAFFIC, HEALTH, AND LIVABILITY.
ESCROW
HOME INSPECTION HO ME CC
THE HOLDING OF FUNDS OR DOCUMENTS BY A NEUTRAL THIRD PARTY PRIOR TO CLOSING YOUR HOME SALE. THIS IS TYPICALLY DONE BY A TITLE COMPANY.
AN EXAMINATION OF THE CONDITION OF A REAL ESTATE PROPERTY. A HOME INSPECTOR ASSESSES THE CONDITION OF A PROPERTY, INCLUDING ITS HEATING / COOLING SYSTEMS, PLUMBING, ELECTRICAL WORK, WATER AND SEWAGE, AS WELL AS SOME FIRE AND SAFETY ISSUES.
APPRECIATION INCREASE IN THE VALUE OR WORTH OF AN ASSET OR PIECE OF PROPERTY THAT'S CAUSED BY EXTERNAL ECONOMIC FACTORS OCCURRING OVER TIME, RATHER THAN BY THE OWNER HAVING MADE IMPROVEMENTS OR ADDITIONS.
CCO ON NTTI NG E N NCCYY AAPROVISION PROVISION IN A CONTRACT CONTRACT STATING STATINGTHAT THAT SOME SOME OROR ALLALL OF THE OF TERMS THE TERMS OF THE CONTRACT OF THE WILLCONTRACT BE ALTEREDWILL OR VOIDED BE ALTERED BY THE OCCURRENCE OR VOIDED BY OFTHE A SPECIFIC OCCURRENCE EVENT, USUALLY OF A BY SPECIFIC SPECIFIC DATES EVENT, LEADING USUALLY UP TO BY SPECIFIC THE CLOSING. DATES LEADING UP TO THE CLOSING.
TITLE OWNERSHIP OF REAL ESTATE OR PERSONAL PROPERTY. WITH REAL ESTATE, TITLE IS EVIDENCED BY A DEED (OR OTHER DOCUMENT) RECORDED IN THE COUNTY RECORDS OFFICE.
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Purchase price Included & Excluded items Earnest money deposit Financing method Possession Seller disclosures Appraisal condition
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Financing condition Home warranty Due diligence deadline Financing & appraisal deadline Closing deadline Response to offer deadline
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In most cases, a seller will not accept your initial offer outright. Typically a counter offer can include modifications to the purchase price, closing date, possession date and inclusions. Be prepared for negotiations to go back and forth until both parties agree to the terms. Additionally, in certain market conditions, you might also have to compete with other interested buyers.
As a buyer, you will be in a better negotiating position if:
ONE
You are not selling a home at the same time
TWO
You have been pre-approved for a mortgage
THREE Your offer isn't loaded with othe contingencies
T H E
H O M E
I N S P E C T I O N
Once you've had an offer accepted, it's time to schedule your home inspection. While this step is usually not a requirement for getting a mortgage, it's a way to protect yourself from buying a home that will cost you more money than it's worth. It's time to find an inspector and pay for the inspection which can cost anywhere from $300-$600. However, your real estate agent may be able to help with this. They can recommend an inspector and possibly even set up the inspection for you. A typical home inspection will cover surface-level elements of the home such as structural components, outlets, heating and cooling systems, appliances and more. However, the inspector can't check out aspects of the house that aren't easily accessible or visible. For instance, you'll need a specialized inspector to identify lead, mold, asbestos, radon and pest problems. Be sure to attend your inspection and ask all the questions you can think of. This is your chance to walk through your new home with an expert. They can tell you about the red flags and make recommendations for what to fix first and how to go about it.
T H E
A P P R A I S A L
Appraisals are a required part of the home buying process. The appraisal protects both you and your lender from paying more for a home than it's worth. Your mortgage company will order the appraisal for you, although it's important to note that the appraiser is always an independent third party. By law, appraisers can't be affiliated with you or your mortgage company. This ensures the appraisal process is fair. If the appraised value of the house comes back higher than your purchase price, good news! You just snagged a deal and some additional equity in your home. On the other hand, a lower-thanexpected appraisal value can cause problems for your mortgage process since your lender will never lend more than the appraised value of the property. If your appraisal comes back low, you have a few options: Bring more money to the table to make up for the difference in price Negotiate with the seller to lower the home price Contest the appraisal if you think there's an error in the report Walk away from the deal
U N D E R W R I T I N G
While all of this is happening, your mortgage company will work on underwriting your loan. This is the process of verifying your income, assets, debt and property details to issue a final approval for the home loan. Much of this happens behind the scenes, but your mortgage company may ask you for additional documents during this time. For instance, they could ask for documentation that shows where deposits in your bank account came from or provides proof of additional assets. It's important to stay on top of your lender's requests to make sure you don't slow down the loan process.
What You Can Do to Ensure Your Loan Closes The biggest thing you can do to make sure you don't run into problems is to avoid any major financial changes or spending. Don't apply for new credit lines or loans, and don't make purchases that will deplete your assets. You can do these things after your loan closes. Taking on new debt changes your debt-to-income ratio (DTI), a key factor in determining the loan amount you can get approved for. If your DTI increases, you may be able to qualify for less – which could be a problem depending on your home price. If you push your DTI past about 45%, it's possible you won't qualify for a mortgage at all.
Closing
on
your
Home
You found a home that meets your needs, got your offer accepted and got approved for a loan. Now, you're finally ready to sign on the dotted line. Closing is where you'll sign all of the mortgage paperwork and, in most cases, take possession of the property. Here's what you need to know about closing: Acknowledge Your Closing Disclosure Before your closing, you'll get a document called a Closing Disclosure, which will include a summary of the final costs of your loan. It's important to acknowledge that you received the document as soon as possible. Your lender is legally required to give you the Closing Disclosure three business days before closing, so if you don't acknowledge receipt of your Closing Disclosure quickly enough, your closing could be delayed.
Closing
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Home B R I N G
THESE ARE SOME ITEMS YOU MUST BRING TO CLOSING: Your driver's license or other valid, government-issued photo ID A cashier's check or proof of wire transfer to pay your down payment and closing costs Your Closing Disclosure to compare to the final paperwork A list of key contacts, such as your agent or lawyer, in case you have questions WHO SHOULD ATTEND In general, all buyers who are going to be on the loan should plan to be at closing. It's possible to close if you can't be present, but you'll need to give someone power of attorney. In some states, the buyer and seller will both be at closing, whereas in other states each party attends a separate closing. In other words, you might see the seller at closing, but it's not a guarantee.
You can expect a closing agent to facilitate the closing. They're a neutral third party who will help both buyer and seller along the way. And of course, your real estate agent can attend, although this is not required.
Closing
on
your
Home
WHAT YOU'LL PAY FOR AT CLOSING At closing, you'll get the keys to your home, and you'll also need to pay any closing costs. Here's a breakdown of the most common upfront costs: DOWN PAYMENT: Your down payment will become the equity you have in the home. ESCROW FUNDS: Your lender will collect these funds at closing to ensure there's enough money in your account to pay tax and insurance bills as they come due. THIRD-PARTY FEES: This covers costs from third parties your lender uses to process your loan. These fees typically include appraisal fees, title insurance costs and credit report fees. PER DIEM INTEREST: You'll pay daily interest upfront to cover the period between closing and the date your first mortgage payment is due. HOMEOWNERS ASSOCIATION (HOA) DUES: If you're moving somewhere that has HOA dues, you may be required to pay a year's worth of dues at closing. DISCOUNT POINTS: A point (or discount point) is a fee paid to lower your interest rate. If you've chosen to pay points, you'll pay for them at closing.
What my clients say Debra is an incredible realtor! She knows the market and will dig deep to find you the perfect home. My husband and I found her to be attentive, and a careful listener so that she can find you the perfect place. Debra also is able to open your eyes to things that you might not have event considered. She is very easy to work with, very flexible and a truly positive person, all of which are so helpful during the buying process. She gets it and she handles it, whatever comes your way, she just wants you to love the place you live. Amazing realtor! Laly Ballard Redondo Beach, CA
Debi was an essential piece to my wife and I buying our first home. She is very hard working, very attentive , a problem-solver and well connected to key resources to get the best deal possible. Highly recommened!
Hank Leber Ingelwood, CA
Debbie represented me when I was purchasing a home. There were two other people who also put bids on the home, but with Debbie's excellent advice, I got it! Working with Debbie was a pleasure. She was always available to answer all of my questions, was consistently prompt for meetings, and was always friendly and considerate. Even after my deal was completed, she periodically checked in on me. I absolutely recommend Debbie for all real estate needs.
Michele Selin Lawndale, CA Debra is very friendly, patient and professional. She wrote down our long wish list, and sent us the listings that were close to what we were looking for, and she would let us know what potential houses would be coming up, and gave us first hand information in the market. After we identified the property, Debra helped as to coordinate with the inspection people, seller agent, escrows, etc. The whole process was smooth and swift. Thank you Debra we finally found our perfect home. I would highly recommend her!
Mani Lee Redondo Beach, CA
Buy your Home WITH CONFIDENCE every step of the way
Debra Caprio 310-941-0205 debra.caprio@elliman.com debracaprio.elliman.com
