Northern Michigan Land Brokers

FAQs

I am planning on buying a home, what are some things I should keep in mind?

Know where and why you want to buy. The answers to these questions will help you understand what factors should be most important in your decision. Is this going to be a starter house that you’ll want to upgrade in a few years, or are you in for the long haul? Clarity here will help you make a purchase that’s in tune with the other parts of your life. Also, get your loan paperwork together. You can get ahead of the game by gathering your financial paperwork: all bank account statements, 30 days of pay stubs, two years of W-2s and of tax returns, 12 months of rent payments and lease, documentation of any outstanding loans, and more, are required.

What should I expect on closing day? 

Once you arrive at your actual closing day, you’ll need to bring your photo ID, any paperwork or documents that are still needed for the mortgage loan officer or title company, and a certified or cashier’s check. The check needs to be made payable to the title or closing company. The check is for any closing costs that aren’t deducted from the sales price. On closing day, you’ll pay any remaining closing costs that you should already be aware of based on your review of your Closing Disclosure. The seller signs documents transferring ownership of the property. You will sign a few things, including a settlement statement that outlines all the costs related to the sale, a mortgage note saying you promise to repay the loan, and a mortgage or deed of trust. Then, a title company registers the deed in your name. Once you close on your new home, you may be able to move in as soon as the paperwork is completed unless the seller has asked for different terms, but those will already be in your contract.

What is a pre-approval?

A pre-approval is the bank’s preliminary approval of your financial ability to purchase. A variety of factors will be examined to determine if you will be pre-approved. A pre-approval letter is often required to look at properties.

I am planning on selling my home, what are important steps I need to take in terms of the actual home itself? 

Identify any necessary repairs you may need to fix. Fixing repairs before showing and selling your home makes things smoother for you and the potential buyer in the long run. Depersonalizing your home is also important when showing, as you want potential buyers to be able to envision their own belongings & layout of a property. Another important thing to do is decluttering & cleaning. Kitchens, bathrooms and storage tend to be big selling points, and taking time to thoroughly go through your belongings can help to make your rooms look as neat & spacious as possible. Professional home stagers recommend that you remove 50% of your items.

How & when do I contact an agent? 

Once you have selected to work with an agent, they will ask about your preferred method of communication, whether it’s e-mail, text, etc. Keep in mind, agents often work outside the typical 9-5 time frame; they are usually very flexible, and it is okay to reach out to your agent outside of these hours. Efficient communication with your agent facilitates a smooth overall buying/selling process. 

Is the closing date specified on the purchase agreement set in stone?

No, the date you see is more of an approximation, and the date for closing will depend on many different factors. Title work, underwriting, inspections & appraisals can affect the closing date.