My Blog • April 21, 2023

Pre-Closing and Reviewing Documents

by Karen Baker

Getting To The Closing Table

As I look forward to an early May closing in just a couple of weeks for lovely first-time home buyer clients, here’s a review of the final steps and documents needed to get to the closing table.

Closing or Settlement is the final step in mortgage loan application process. Buyers should anticipate having close contact with their lender to review the status of their file. Buyers will also be in contact with their real estate attorney for any final questions or explanations needed.

Required Documents to Review

It is important for the buyer to be aware of the documents that will need to be reviewed. These include the Mortgage Note, the Deed of Trust and the Closing Disclosure. Buyers will review these documents in detail with their real estate attorney.

The Deed of Trust essentially confirms that the buyer understands the loan terms and promises to fully repay the loan amount. It also reiterates your right as a lender to foreclose the loan if the buyer fails to repay the loan amount.

By law, Buyers must receive the Closing Disclosure (CD) at least three days prior to closing.

This document specifies changes (if any) in the mortgage loan plan or interest rates since the start of the application. It also confirms the actual purchase cost compared to the estimated amount. The Closing Disclosure (CD) is an important document for all Buyers to review.

At this stage, the homebuyer will need to sign declarations confirming that he/she understands his/her obligations and rights as a homeowner. The closing disclosure is also signed.

Final Review and Signing

After reviewing everything, the process of property transfer begins. This procedure may vary across different states. You can check laws to ensure compliance.

After these documents are reviewed, signed and the lender (if there is a mortgage involved) will do one final review of all of these documents. Once the lender signs off on this, the funds will be dispersed.

Congratulations!

Finally, the keys are handed over to the buyer. All of your hard work and patience have paid off!

My Blog • March 29, 2023

2023 Spring Market – Multiple Offers Still Being Received

by Karen Baker

Multiple Offers Still Being Seen in the Spring Market

With the Spring 2023 market in full swing, some local micro markets are consistently seeing multiple offer scenarios. I recently represented buyers in one such market with historically tight inventory and am happy to report that my clients’ offer was accepted!

Many of today’s active buyers have re-entered the market after the white hot 2022 market. Therefore, multiple offer scenarios have returned in certain markets and many of these sought-after properties have almost immediately called for highest and best offers with no escalation clauses and in some cases, buyers have employed appraisal gap addendums. Additionally, a good number of these properties have been sold while still listed in the Private Listing Network. When faced with an ultra competitive buyers’ market it is crucial to keep a close pulse on the market.

Here are some tips and strategies for a competitive real estate market situations:

Start the process early and become deeply knowledgeable about your target market.
It is crucial to connect with a lender that will assess your financials so you know what you can realistically afford.
Work with a local real estate agent that is on top of the market. Your agent will educate and prepare you for what you may encounter in a hyper-competitive market.
Have patience. Finding a home in a sought-after market may not happen quickly. You will know when you find ‘your’ home.
Be prepared to write a competitive offer. This is not the type of market to ‘test the waters’. Keep in mind that some sellers will ask for ‘Highest and Best’. Also be prepared for sellers to not accept escalation clauses or buyer letters to the sellers with multiple offer situations.
Be aware that a buyer may be faced with getting only one ‘bite of the apple’ and it is imperative to put your best foot forward in such a scenario as you only get one chance.
Sellers are looking for clean contracts with terms that are favorable to what a seller is looking for. Terms can include a quick closing or even a post-closing possession are not unusual to see. Terms – such as down payment amount, taking the property in ‘as-is’ condition, and closing timeframes are sometimes more important than the price to a seller.

Bottom line: with the support and guidance of your trusted realtor, you will be confident in your decisions and feel comfortable with moving quickly in putting a successful offer together in a multiple offer situation.

Please reach out if I can assist you with your real estate needs. It would be my pleasure!

My Blog • January 5, 2023

Pantone’s 2023 Color Of The Year

by Karen Baker

I love color and each year I can’t wait to see what Pantone will select for it’s Color Of The Year. I’m really looking forward to seeing 2023’s color, Viva Magenta, as pops of color and home accents.

This color is rooted in nature, and has been described as ‘brave and fearless, and a color whose exuberance promotes a joyous and optimistic celebration’.

Do you see using this color in your home?

#realestatetrends #coloroftheyear2023 #realestateadvisor #coldwellbankerrealty #magentaverse

Click on the link below to read more about this Color Of The Year!

https://www.pantone.com/articles/color-of-the-year/what-is-viva-magenta

My Blog • January 3, 2023

Defining your Real Estate Goals for 2023

by Karen Baker

With the new year just kicking off, now is the time to think about your real estate goals for 2023.

If buying or selling a home is on your 2023 agenda, it is critical for you to understand today’s housing market.

2022 brought high inflation and increased interest rates, which have an impact of the economy as well as the housing market. There are three key questions to be asking yourself as you consider your 2023 goals.

1. What is Motivating you? Is your motivation becoming a first time homeowner? The need for more space? The need for less space and/or something with lower maintenance? A career/job relocation? Selling a family home, settling an estate or divesting real estate assets? Whatever the reason is, use your motivating factors as your guidepost to achieve a lasting sense of accomplishment.

2. Envision What Your Next Home Will Look Like. When you know you want to move or want to sell, think about the essential elements of your dream home. You also want to make a list of the non-negotiable home features and the features the have a more flexible criteria. Finding a balance with your wants and needs is important. Location and condition are two key factors that are typically at the top of buyers’ wish lists.

3. How Ready Are You To Buy? Before your get too far into the home buying process, it is imperative to consult with a lender or financial advisor to have a deep understanding of what your position to buy is. A pre-approval from a lender and down payment review are musts to secure a smooth transaction. If your move involves selling your existing home, you will want a review of your home equity.

A real estate professional has the experience, knowledge and training to guide you through every step of the process. A real estate transaction is a process that can feel overwhelming. A lack of information can create misconceptions about the real estate market and sale process, but working with a trusted expert can connect you with the best and most relevant market data about the state of today’s market.

Let’s connect to review your 2023 goals so they can become a reality!

Pre-Closing and Reviewing Documents

Getting To The Closing Table

2023 Spring Market – Multiple Offers Still Being Received

Pantone’s 2023 Color Of The Year

Defining your Real Estate Goals for 2023

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