Friday, February 19, 2016

Karena talks to First Time Homebuyers Part Two

Hello, this is Karena Jolley with Coldwell Banker Mendo Realty Inc.  Today we’re picking up where I left off in the first video to first time homebuyers.  Now we’re ready to start looking at homes in the price range that you have been qualified for.  Some buyers are looking for a fixer so they can work and put equity into the home. Depending on the type of loan, we may need to look for more of a cosmetic fixer because loans such as FHA, VA and USDA will be much pickier about property condition.  With VA loans, the lender will want to see a very clean home with a cleared Pest and Fungus report.  With FHA and USDA loans, the home must have all appliances functioning and be clean enough that the appraiser does not take note of rotten boards, holes in the walls or floor, any structural or mildew issues, etc.  So, a home with a rotten deck, hole in the roof, obvious signs of wood rot, etc will raise too many issues and prevent the loan from being approved.  However, if the home simply has dated flooring, lighting, and worn features, then it could very well be fine for purchase! 
At every home we will do our best to point out obvious issues that we notice when we show you properties—we are not experts or inspectors and cannot find all issues, but when a condition pops out at us are glad to point it, give our thoughts on it and suggest an inspector that could check it out. 
So, when we are looking at homes, you will be seeing if you like the home, floorplan, amenities, location, etc while we look and see if there is anything we want to advise you on.  When we move forward in making an offer on a house, it’s best to guess what repairs and maintenance the home needs and offer a comfortable price taking this into account.  If an offer is accepted and inspections reveal more than what we were guessing, then that is where renegotiating on price or asking the seller to do repairs comes in to play.

Next up will be a discussion of the ins and outs of the offer process!

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