HOME BUYING FAQ's
"Questions that buyers frequently ask us."

Q. How many homes should I plan to view and how should I make the final decision?

 A. Generally you should view a number of homes so you can become familiar with what you can expect to get for your money. When you find a home you really like, it's a good idea to go back and look at it at a different time of the day. This will give you greater insight into what it will be like living in the home full time.

Q. How can I check my credit rating before I apply for a mortgage?

 A. Your credit rating is based on a combined score generated from three credit bureaus who look at your credit history, amount of credit available, and recent inquiries to determine what's called your FICO score. A smart way to go is to have your Weichert Gold Services Manager check your rating for you and, if appropriate, suggest ways for you to improve your credit. You are entitled to free reports from each of the bureaus once a year under federal law by calling 877.322.8228 or visiting the bureaus central website at www.annualcreditreport.com. For a small fee, you can get your score or review your credit report anytime by going online to www.myfico.com or by contacting the credit bureaus directly at
Equifax, www.equifax.com   Experian, www.experian.com (888) 397.3742     Trans Union, www.transunion.com, (800) 916.8800

Q. Why should I consider paying points?

 A. Buyers often choose to pay a one-time charge called mortgage "points" in exchange for a lower interest rate. Usually paid at closing, each "point" costs 1% of the mortgage amount, or $2,000 on a $200,000 loan. The lower rate reduces the monthly mortgage payment, and points paid in conjunction with the purchase of a home are generally tax-deductible in the year they're paid (see a tax advisor). Monthly savings will often exceed what was paid in points in just a few year's time.

Q.What is the purpose of an attorney review?

 A. In states where the real estate agent writes the contract, there may be an attorney review period. This specified period allows the attorney to cancel the contract or request it to be altered. Both buyer and seller would then have to agree to the revised contract in writing. In some states, either party may void the contract penalty during this period.

Q. What is the title insurance and why do I need it?

 A. Basically, title insurance helps ensure that you have clear title to the home you're purchasing and provides insurance protection in the event anyone makes a claim to your property. A title search is the primary component of "due diligence", a process that will be started either by your attorney, if you are using one, or by the title company you choose. The title search determines whether the seller actually owns the property and if there are any claims against it.

Q. What happens if the house I want to purchase does not appraise at the amount expected?

 A. If the house doesn't appraise at the amount expected, other alternatives are typically found. A second appraisal may be sought, the buyer may be willing to put more money down, the seller may adjust the price or offer other concessions, or the two sides may negotiate to split the difference between them.

Q. Is there anything I can do to increase my chances of having an offer accepted?

 A. In addition to making a strong offer and proving that you are well qualified, it’s very helpful to make a human connection. Most sellers, whether they realize it or not, want to believe they are selling to someone who really cares about their home. For that reason, it is best to have your offer presented in person. Your real estate agent can then make a case for you. You can also send along a personal letter to the seller. By describing your situation and expressing your feelings, you can make your offer more compelling.