Buyers Ed Test tips

You should know and understand the following points covered within the Buying Your Home section:

What to look for in a home

Some important considerations when selecting a home include sales price; distance to work, school or shopping; and condition of plumbing.
To help you keep track of all of the homes you consider, use a Home Buyer Checklist, which documents the specific practical features of each home, including environmental concerns, age of electrical wiring and roof condition.

How real estate agents can help

A real estate agent would typically, on behalf of the buyer, consult the multiple listing directory to help narrow down the choice of homes to consider, help fill out the Offer to Purchase, and provide information on local schools, employment, and amenities.
Unless a real estate agent is a "buyer's agent," he/she is obligated to work to secure the best price for the seller.

Before you make an offer on a property

Once you’ve narrowed down the choices of properties, considering property taxes, the local school system and cost of utilities will help you make a sound, practical decision.

How to make an Offer to Purchase

Number of other buyers, motivation of the seller and the amount of necessary repairs to a property would all influence the amount of an Offer to Purchase.
If the seller does not agree to the contingencies on the Offer to Purchase, the buyer is not legally required to purchase the house.
Typical examples of contingencies that may appear on an Offer to Purchase include a requirement for an asbestos inspection or evidence that the property meets safety code requirements, obtaining satisfactory well and septic tests and a time frame within which a buyer must secure financing.
A home inspector’s visit would include covering the condition of windows and doors, the foundation and basement and the electrical system.
It's highly recommended to obtain a detailed written report of the results of the home inspection, as well as a cost estimate for repair.
It's wise to complete a home inspection because you may make your offer contingent on an acceptable inspection; you will be aware of potential costly repairs, thus affecting your offer, and it will give you an idea of what to expect for home maintenance.
The buyer usually pays for the home inspection.
It's a good idea to get an attorney during the Offer to Purchase process to prevent mistakes that could affect the legal passage of property title, to ensure the property meets safety code requirements and because additional contingencies that you had not considered may need to be added to the offer.
The deposit with the Offer to Purchase, called earnest money, is given to the real estate agent to be held in an escrow account. If the sale goes through, the amount of earnest money will be deducted from the amount you owe the seller at closing. If the sale falls through, your earnest money is returned.
The seller may change some of the contingencies in the buyer’s offer, may choose to not include items such as appliances, and may reject the counteroffer and sell to another buyer. The buyer doesn’t have to agree with the seller’s counteroffer.