The Typical Boise Real Estate Transaction

As with most things in life, there’s a proper sequence that works best in a Boise real estate transaction.

Here’s how most successful Boise real estate transactions get to a successful closing.

Pre-Approved Financing

Smart Boise home buyers obtain pre-approved financing before making an offer on their chosen home.

Few sellers will accept an offer without pre-approved financing, and buyers need to understand the details of their financing before looking at homes.

Offer Acceptance

This occurs after all of the arm-wrestling is done and both buyer and seller have reached agreement.

Depending upon the circumstances, there may be one or more counteroffers before buyer and seller reach agreement.

Escrow Is Opened

The act of opening escrow occurs when either the buyer’s agent or the listing agent sends a copy of the accepted offer to the designated escrow officer.

Home Inspection

The home inspection is ordered by the buyer’s agent and is coordinated with the listing agent and the seller.

The buyer selects the home inspector, pays for the inspection, and it’s usually done within a week after the offer is accepted.

Appraisal

It’s customary to wait to order the appraisal until inspections have been completed and all inspection issues have been resolved.

This prevents paying for an unnecessary appraisal in the rare instance where the inspection reveals inspection issues that can’t be resolved between buyer and seller.

Loan Processing

Most lenders will process the buyer’s loan throughout the escrow period and be prepared to draw loan documents immediately before closing.

Buyers should expect requests for documentation from their lender during loan processing.

Hopefully, your lender will not wait until the last minute to process/underwrite your loan.

Closing

Contrary to popular (mistaken) belief, closing doesn’t occur when buyer and seller sign their final documents.

Those of us in real estate go to great lengths to confuse everyone by calling the “signing appointment” a “closing appointment”  :roll:

Closing actually occurs when the deed is recorded at the county recorder’s office, which follows the lender wiring the loan funds into escrow (aka “funding the loan”).

Buyers usually get the keys to the home after the deed has been recorded.

 

Boise Homes: Winter Is Here!

I posted on preparing your home for winter a couple of weeks ago.

With winter’s early arrival, it bears repeating.

Here are four important things homeowners should do to prepare their Boise homes for winter weather.

Blow Out Your Sprinklers

  • Repairing frozen sprinkler systems can be costly.
  • Sprinkler blowouts for typical Boise homes cost around $35.
  • Prevention is cheaper than repairs.

Clean Your Gutters

  • Clogged gutters can result in overflowing gutters, which can lead to water in your crawlspace.

Close Your Foundation Vents

  • Crawlspace ventilation is generally a good thing, but not so good during the coldest winter months.
  • It’s a good idea to close your foundation vents now, especially if your home lacks insulated floors.

Disconnect Hoses

  • Leaving hoses connected to outside faucets can (will?) result in frozen faucets and ruptured pipes in your crawlspace.
  • It’s best to disconnect any hoses from faucets and drain the water from those hoses before we have freezing temperatures.

 

How To Buy A Boise Area Home In 3 Days

I often work with buyers who want to buy a home in the Boise area during a brief visit.

Those buyers are usually wanting to buy a home without making multiple, expensive trips to look at homes.

Here are a few tips on how to buy a home in the Boise area in 3 days.

Find A Good Buyer’s Agent

Find an agent who answers their phone, responds promptly to texts and e-mails, knows the market, and is a full-time, experienced professional.

Sign a Buyer Representation Agreement so your agent knows you are serious and loyal.

Level With Your Buyer’s Agent

Discuss your needs, wants, likes, and dislikes with your agent.

The only way your agent can help you is to develop a trust relationship that allows open, honest two-way communication.

Your agent must clearly understand what you want in order to find it for you.

Financing Pre-Approval

Few sellers will consider your offer if they’re not confident that you can obtain financing.

That means you must get your financing pre-approved and get a firm, written loan commitment.

You will need fully-underwritten financing; not a weak pre-qualification letter based only upon a phone call to your lender.

Develop Your Short List

Narrow your list of potential homes to the ones you think are the best choices.

You won’t have time to waste “shopping around” and doing drive-bys; you will need to focus closely on homes that best match your criteria.

Have Your Agent Preview

A competent buyer’s agent will preview your short list of potential homes for you before your arrival.

If your agent understands what you want, they will be able to eliminate homes that don’t match up to your want list.

Every home looks good on the internet, but the true test is seeing the home in person.

View The Best Choices

By now, you should have narrowed your list to the best homes that match your criteria.

Look at them carefully and objectively to confirm that they will be a good fit for your “want list”.

Ask your agent to confirm market value and provide insights about the home, neighborhood, and other important considerations.

Select The Best Home

After you’ve followed the steps above, you should have a clear choice of one or two homes that you like.

Pick the home that you think is the best for you.

Make A Reasonable Offer

Structure your offer to be realistic and appealing to the seller.

Avoid making lowball offers, contingent offers, and offers with a long escrow.

Negotiate Your Purchase

Your objective, at this point, is to secure an accepted, reasonable, fair offer.

Don’t let foolish pride and stubbornness get in the way of reaching agreement with the seller.

Close Escrow

Upon acceptance of your offer, your final steps will be the home inspection, final loan processing, and closing.

Conclusion

Buying a home in 3 days isn’t easy.

It requires trust, good communication, diligence, and considerable effort by you and your agent.

But, I often succeed in such situations by following the steps listed above.

Need to buy a Boise home in 3 days?

Call me at (208)938-5533 or e-mail me and let’s talk!

 

Boise Homes: Preparing For Winter

With our impending Fall time change, Winter is just around the corner.

That means it’s time to prepare your home for colder weather.

Here are four important things homeowners should do to prepare their Boise homes for winter weather.

Blow Out Your Sprinklers

  • Repairing frozen sprinkler systems can be costly.
  • Sprinkler blowouts for typical Boise homes cost around $35.
  • Prevention is cheaper than repairs.

Clean Your Gutters

  • Clogged gutters can result in overflowing gutters, which can lead to water in your crawlspace.

Close Your Foundation Vents

  • Crawlspace ventilation is generally a good thing, but not so good during the coldest winter months.
  • It’s a good idea to close your foundation vents now, especially if your home lacks insulated floors.

Disconnect Hoses

  • Leaving hoses connected to outside faucets can (will?) result in frozen faucets and ruptured pipes in your crawlspace.
  • It’s best to disconnect any hoses from faucets and drain the water from those hoses before we have freezing temperatures.

 

Boise Homes: Portfolio Loans

Portfolio loans are loans that a lender “keeps” vs. selling them to Fannie Mae or Freddie Mac at closing.

They can be a useful tool for buyers who don’t fit into traditional lending guidelines.

You won’t find portfolio loans at most large lending institutions, but some credit unions offer them and they can be a good option for a borrower who’s a good credit risk, but lacks the ability to qualify for an agency loan.

Examples might include a newly-minted physician, dentist, or veterinarian who is just out of school and starting a new practice.

Portfolio loans offer the ability for creative solutions, such as securing a loan with more than one property, future principal reductions, and re-casting the terms of the loan in the future.

I work with a local credit union that offers very flexible portfolio mortgage financing.

Give me a call at (208)938-5533 if you would like additional information.