Your Guide To Title Insurance

What is title insurance?Title Insurance

When you buy real estate, the title company will search the public land records to make sure the seller is the legal owner of the property. If the title company finds a problem like an incorrect deed or a lien on the property, it can be fixed before closing. Most people don’t run into title problems after they buy a home, but it does happen. This is why you should have title insurance.

  • Types of Title Insurance. Title insurance falls into one of two categories: lender’s title insurance and owner’s title insurance. If you get a loan to buy your real estate, your lender will require a lender’s policy based on the amount of your loan. An owner’s policy is purchased at closing and lasts as long as you hold an interest in the property.
  • What it covers. A basic title insurance policy protects you from any problems with a title that were not found during the title search. Human error can lead to mistakes on public records and forged deeds. This can and does happen. Names and legal descriptions are recorded incorrectly, back taxes may be owed, and people die without wills specifying their heirs.
  • How it helps you. Say, for example, that you buy a home with a utility easement in the backyard, and the title company did not disclose this. You may not be able to add on to your home or build a swimming pool in your yard because of this easement. This devalues your property, and the title company will have to correct this situation for you. In this case, your title insurance will cover the claim and protect your investment.

As your real estate agent we will help take the guesswork out of the closing process. Let us help you find the real estate that fits your needs. Call us today at 602-324-9625 or contact us.

 

3 Questions To Ask Before Buying A Real Estate Short Sale

short saleWhen the real estate market starts to decline, everyone starts talking about short sales.

A short sale happens when the bank is willing to accept less than what the sellers owe on their real estate. This means you may find a great deal on your next home. However, short sales aren’t right for everyone. Before you decide to buy a short sale, you need to ask yourself some important questions.

1. Can you afford to buy the property as-is? You can and should have an inspection done before you buy real estate. However, with a short sale, the seller is most likely not going to be able to make any repairs before they sell the property. After all, they’re selling it because they don’t have the money to make the payments. Make sure you’re able to afford any repairs the property will need.

2. Is it really a good deal? You need to pay attention to the home’s value. How does the price compare with what other homes are selling for? Paying $175,000 for a home when other homes are selling for $130,000 means you’re really not getting a good deal. Just because the home is a short sale doesn’t mean it’s worth your time and money.

3. Are you prepared to deal with the bank? The bank’s only concern is getting their money from the home sale. To ensure this happens, the bank will require extra paperwork. They will even take their time negotiating if the seller has more than one mortgage. It doesn’t matter to them how long you have to wait. If you don’t have time to wait for the bank to approve the short sale, you probably should look for a different home.

Right now is a great time to buy a home, whether it’s a short sale or not. Let us help you find the real estate that best fits your budget and needs. Call us today at 602-324-9625 or contact us.

 

Mortgage Rates are moving down, is it time to buy?

Time to buy

Time to Buy?

According to Freddie Mac the time to buy is now and in the recent future

The 30-year, fixed-rate mortgage came in at an average rate of 4.39%, down from 4.41% a week earlier and up from 3.42% last year. The 15-year, FRM, meanwhile, averaged 3.44%, a drop from 3.45% a week ago, but up from 2.71% last year.

Adjustable rate mortgages had slightly diverse outcomes, with the 5-year, Treasury-indexed hybrid adjustable-rate mortgage coming in at 3.15%, up from last week when it averaged 3.10% and an increase from 2.67% a year earlier.

On the other hand, the 1-year Treasury-indexed ARM hit 2.54%, down from 2.56% a week earlier and 2.57% last year.

“Mortgage rates were flat to down a little this week amid reports that inflation remains subdued,” said Frank Nothaft, vice president and chief economist of Freddie Mac. “The Consumer Price Index was up to 0.3 percent in December after being unchanged in November. For the year as a whole, consumer prices rose just 1.5 percent in 2013.”

Lower rates could indicate that it is time to buy. As your real estate agents, we will guide you through the home buying process. Let us help you find your new Arizona home. Call us today at 602-324-9625.

 

Questions to Ask Your Home Inspector Before Buying Your Home

Home InspectorWhen you buy an Arizona home, you need to know exactly what you’re buying. Imagine how frustrated you’d be to find out that the hot water heater wasn’t working—in the middle of a shower! This is why you should have a home inspection before you buy your home. A home inspection is an important part of buying your home. Before you hire a home inspector, ask the home inspector a few questions to make sure you hire a trustworthy inspector.

1. What does your inspection cover? Not all inspections are the same. Ask for copies of previous home inspections so you can see exactly what they will check inside the home. If you are concerned about something specific, like a leaky faucet in the bathroom, mention that to the inspector so they can check it out.

2. Are you licensed or certified? If you live in a state that licenses home inspectors, ask to see their license. At the very least, choose a home inspector who belongs to American Society of Home Inspectors. This shows a level of professionalism and education that you can trust.

3. What kind of report will you give me? You should expect a written report detailing what the inspector found. Most inspectors will give you a typed report within a week of the inspection. Make sure the inspector will be available to explain anything on the report that doesn’t make sense to you.

4. Will I be able to attend the inspection? If the inspector refuses to let you be present during the home inspection, find someone else. This is your chance to know exactly what you are buying and what potential repairs you or the seller will have to make.

As your real estate agents, we will guide you through the home buying process. Let us help you find your new Arizona home. Call us today at 602-324-9625.

 

How To Get The Best Possible Deal When Buying Real Estate

No one wants to pay more than they have to for real estate. After all, investment potential is one of the greatest benefits of home ownership. You want your home to go up in value while you own it. The less you pay for your home, the more you stand to earn from it. Here are a few tips for getting the best possible deal on your home.

1. Buy at the right time. You find better real estate prices during certain times of the year and market conditions. For example, in a slow real estate market, sellers are usually more willing to negotiate to sell their home. Likewise, pay attention to the climate of a region. If you want to buy a home in the south, look during the middle of the summer when the hot, humid weather keeps buyers away. The same is true of New England winters.

2. Hire a real estate agent.  A real estate agent is usually the simplest way to find a great deal. Agents have access to thousands of homes for sale. They know the home values of the area where they work.  Real estate agents are also trained to negotiate with sellers. All this goes a long way toward finding you the best possible real estate deal.

3. Have your credit in order for best loan rates. The better your credit score, the better your loan terms will be. This translates into lower, more affordable payments. If your bank pre-approves your loan, you have even more bargaining power with the seller and may get a better price or sale terms.

4. Look at more than just the price. Just because a home has an attractive sale price doesn’t automatically make it a good deal. Major repairs can easily add up and cost you more in the long run. A slightly higher priced home in pristine condition is often a better value than one in need of some work.

Now is a good time to get the real estate of your dreams at a great price. Let us help you find your next home. Call us at 602-324-9625