Why First-Time Homebuyers Should Understand Escrow Accounts 💡 Confused by the word “escrow”? You’re not alone.It sounds like complicated banker talk, but escrow is actually a simple and super helpful tool that protects your budget as a new homeowner. Once you understand how it works, you’ll wonder why anyone does it differently. 1. Escrow Is […]
1. Earnest Money Shows You’re Serious When you make an offer on a home, you’ll typically include earnest money—a deposit that tells the seller, “I’m committed.” It’s usually 1% to 2% of the purchase price, and it’s paid shortly after your offer is accepted. Think of it as a good faith gesture that says, “I’m
1. Contingencies Are Conditions Built Into the Contract Contingencies are specific conditions that must be met for the sale to go through. Common ones include: Financing contingency (you must get approved for your loan) Inspection contingency (the home must pass inspection) Appraisal contingency (the home must appraise for at least the purchase price)These are not
First-Time Buyer Guide: Closing Costs Explained in 60 Seconds ���� Thinking about buying your first home but not sure what “closing costs” actually mean? You’re not alone.Most first-time buyers are surprised by the extra costs that show up right before they get the keys. But here’s the good news: once you understand what closing costs are
1. Homeowner’s Insurance Protects You From the Unexpected Think of homeowner’s insurance as your home’s shield against life’s curveballs. It typically covers: Fire and smoke damage Theft or vandalism Storm and water damage (within limits) Liability if someone’s injured on your propertyIt also helps cover the cost of repairing or replacing your belongings—and in major events, even
1. The Deed Is the Physical Document That Transfers Ownership A deed is the actual, signed piece of paper that moves ownership from the seller to you.��️ It lists your name (and co-buyers, if any) It includes a legal description of the property It must be recorded with the county or city to be official Think of the deed as your receipt
1. Title Insurance Covers Hidden Risks in a Home’s History When you buy a home, you’re not just buying the walls and roof—you’re also taking ownership of the property’s legal history. Title insurance protects you and your lender from: Undiscovered liens from past owners Ownership disputes or missing heirs Errors in public records or forged documentsIn short, it ensures the
1. Schedule the Home Inspection ASAP Your first priority is the home inspection. This is your opportunity to make sure the house is in good condition—roof to foundation. Hire a trusted, licensed inspector who can uncover any issues, big or small. If problems come up, you’ll have the chance to renegotiate or request repairs before
1. House Hunting: The Search Begins The first stage is finding the right home—and this part depends entirely on you. Some buyers fall in love with the first house they tour. Others might take a few months to find “the one.” Your timeline will depend on your budget, your wishlist, and how competitive the local
1. A Home Inspection Is a Professional Check-Up A home inspection is a thorough examination of the property, done by a certified inspector. They assess everything from the roof, plumbing, HVAC, and electrical system, to the foundation and structure. Think of it like a physical exam — but for your future home. The goal? Spot
1. A Deed Transfers Ownership From Seller to Buyer When you close on your home, the deed is what officially passes the property into your name. It’s signed by the seller and typically includes: Your name (as the new owner) A legal description of the property The name of the person or entity transferring it Without a properly executed