| Answers to frequently asked
questions...
What is title insurance?
Title insurance protects the named insured against loss because
of defects, liens, encumbrances, adverse claims or other matters
not shown or disclosed to the new owner that attach before date
of policy.
What is a wood-destroying organism inspection report?
A wood-destroying organism inspection report is a written opinion
by a qualified state licensed structural pest control inspector
based upon what was visible and evident at the time of inspection.
The inspection report does not in any way represent or guarantee
the structure to be free from wood-destroying organisms or their
damage, nor does it represent or guarantee that the total damage
or infestation is limited to that disclosed in the report. Wood-destroying
organisms include subterranean termites, dampwood termites, carpenter
ants, wood boring beetles and wood decay fungus.
What are the hazards of lead-based paint?
All buyers and sellers are required by law to receive and read
a pamphlet outlining the hazards of lead-based paint for homes built
before 1978. Be sure to ask your real estate agent for a copy.
What are closing costs?
Closing costs are an accumulation of charges paid to different
entities associated with the buying and selling of real estate.
For sellers, they are usually about 9.5-10% of the total sales price
of a property. Some of the closing costs you might encounter are:
discount points, escrow fee, documentation fee, homeowners' association
fees, pest/rot inspection, real estate commission and title insurance
premium.
What is the difference between "pre-qualified" and
"pre-approved"?
If a buyer is "pre-qualified" it has been determined,
with a loan officer, what price the buyer can afford based on the
down payment, debts and the amount the mortgage company will approve
for the mortgage. Being "pre-qualified" is only a determination
of probable credit. If "pre-approved", credit, employment
and funds have been approved by the lender.
What should a home inspection include?
Every inspection should include, but not be limited to, an evaluation
of the following:
- 1. Foundations
- 2. Roof
- 3. Heating and air conditioning systems
- 4. Ventilation
- 5. Common areas (for condominiums)
- 6. Septic tanks, wells or sewer lines*
- 7. Insulation
- 8. Plumbing and electrical systems
- 9. Ceiling, walls and floors
- 10. Doors
- 11. Hazardous materials concerns*
* There may be an additional fee for this.
What property details are usually included by Listing Services?
Usually, properties listed will include the following details:
- Location
- Photograph
- Price
- Utilities
- Amenities
- Annual property tax
- Current financing (when assumable)
- Listing company
What pages are generally included in the Purchase and Sales
Agreement?
- Agency Disclosure
- Financing Addendum/Clause
- Earnest Money Receipt
- Inspection/Clause
- Conditions/Disclosures Addendum
- Contingency
- Addendum Outlining Special Conditions
- Lead-Base Paint Notification
- Property Disclosure Form (completed by Sellers)
What is the difference between a REALTOR® & Real Estate
Agent?
REALTOR® identifies real estate professionals who are members
of the National Association of REALTORS® and subscribe to its
strict Code of Ethics. Not every real estate agent is a REALTOR®.
A REALTOR® may be an appraiser, property manager or involved
in some other aspect of the real estate business.
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