buying process
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A recent study from Redfin shows that at least 74% of local homes garner multiple offer situations. Buyers making between 5-10 offers before ‘winning’ a home is the norm. From 2020-2021 BxP clients have submitted less than 2 offers on average before finding their dream home.
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BxP lets their clients speak for them. They are a 100% referral based business built on competency and trust.
The process
01
Initial Consultation
The initial consultation is the opportunity to discuss what is important to you in a home purchase. This collaborative approach will provide BxP a foundation for how to best serve you, your needs and maximize your real estate experience.
02
Get Pre-Qualified
Before beginning your search, your first step is to get pre-approved for a mortgage loan, if you are going that route. The BxP team can utilize it’s strong network to connect you with a mortgage broker that best fits your needs. Based on your income and credit history, the mortgage broker will determine how much a bank will lend you. This will help you determine the price range that fits your situation during your search.
03
Discovery Process
The discovery process is where it gets fun! Now is the time to hone in on your ideal home’s location and amenities. You will attend viewings and open houses spanning a range of areas and property types. BxP will stay connected to you along the way, via the COMPASS Collections program. Additionally, they will be monitoring other channels for any off-market property opportunities.
04
Submitting Offers
Once you identify a home you like, BxP will help you prepare to submit an offer. They will spend time with you explaining various forms and scenarios that will be relevant to your specific situation. This offer is packaged with a Proof of Funds (POF) and Pre-Approval Letter (if applicable). This is where strategy and nuance comes into play and BxP will guide you through each step.
05
Escrow Process
(Life of an Escrow: 30 & 45 day escrow period)
Day 1 Once offer is accepted, escrow is officially open and the clock begins on contingencies.
Day 2 Contact your insurance agent for homeowners coverage.
Day 3 Initial deposit is due per terms of agreement.
Day 1–17 Seller delivers disclosures to buyer. Buyer performs inspections. (See Step 6)
Day 1–21 Loan is in underwriting and appraisal occurs. (See Step 7)
Day 7–30 | 21–45 Seller signs grant deed and any staging is removed. (See Step 7)
End of Escrow Within final week of escrow period, buyer signs loan, closing documents and wires in closing funds. (See Step 10)
Day 30–45 Loan funds and escrow closes. (Recordation)
06
Home Inspections: Review Disclosures, Reports & Repairs
With BxP’s assistance, you will schedule all desired home inspections within the agreed timeline and contractual contingencies. At this time, you will also review the disclosures and preliminary title report. You may approve or negotiate credits/repairs. Prior to closing, we will schedule a final walk-thru of the property to verify property is still in acceptable condition and verify any negotiated repairs have been completed.
07
Loan, Appraisal, & Closing
BxP will assist you in organizing an appraisal with your bank. Your completed mortgage application with all supporting documentation should be submitted to your chosen lender upon receipt of the fully signed Purchase and Sale Agreement. The bank then issues a loan approval. Consequently, you will wire the closing funds with the homeowner’s insurance in place, and then the loan will be funded with clearance to close.
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Welcome Home
Congratulations, you’re now a new home owner! Time to celebrate!
KEY TERMS
Appraisal
Assessment of the property’s market value, for the purpose of obtaining a mortgage and performed by a licensed appraiser.
Assessed Value
Value placed upon property for property tax purposes by the tax collector.
Closing Costs
Expenses incidental to a sale of real estate, such as loan fees, appraisal fees, title insurance and escrow fees.
Closing Statement
The statement which lists the financial settlement between Buyer and Seller, and the costs each must pay. Whatever it is, the way you tell your story online can make all the difference.
Contingency
Certain criteria that have to be met in order to finalize the sale.
Jumbo Mortgage
A loan that exceeds the the limits set by the Federal Housing Finance Agency. A jumbo loan is not eligible to be purchased, guaranteed, or securitized by Fannie Mae or Freddie Mac.
Conventional Mortgage
A mortgage or Deed of Trust not obtained under a government insured program such as FHA (US Federal Housing Administration mortgage insurance backed loan) or VA (loan available to active and veteran service personnel, and their families, through a program established by the United States Department of Veterans Affairs).
Credit
Money given to a buyer from a seller through escrow at closing.
Escrow
A neutral third party that handles the transfer of any money during the sale of a home from initial deposit to final funding and closing. Often paired with a title insurance company.
Earnest Money Deposit
Buyers deposit a percentage of the purchase price to show that the buyer is serious about purchasing the home. The deposit is then applied towards closing costs/down payment. It is refundable if the contract is broken, based on a contingency set forth in the initial contract.
Fixed Rate Mortgage
A loan on which the interest rate and monthly payment do not change.
Adjustable Rate Mortgage
A loan on which the interest rate is fixed for a set period of time then fluctuates annually thereafter.
Home Warranty
A policy that covers certain repairs (e.g. plumbing/heating) of a newly purchased home for a period of time, typically one year.
Preliminary Title Report
A report showing the condition of title (i.e. lien status) before a sale or loan transaction. After completion of the transaction, a new title insurance policy will be issued.
Title Insurance
Insurance to protect the buyer and lender against losses arising from disputes over the ownership of a property.
Recording Fees
Money paid to the lender for recording a home sale with the local authorities, thereby making it part of the public records.