Why Buy With Us?
Whether you are “down-sizing,” “up-sizing,” relocating, or buying your very first home, home buying is exciting! But it can also be very frustrating and stressful. The Mullinax & Dunn team works very hard to eliminate as much stress as possible in the process. We start by listening to your wants and desires. Next, we will send you homes to preview via the internet, and make appointments to show you homes of your choosing. When you find “your home” we will help you write a contract, assist you with negotiations, explain and assist you with home inspections and repair addendum’s, coordinate the closing with your lender and closing attorney, and be with you at closing. In short, we will be with you through every step of the process!
Homes For Sale
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[idx-platinum-saved-link id =”11431-9901″ title =”Lake Murray”]
[idx-platinum-saved-link id =”11431-9898″ title =”Lexington”]
[idx-platinum-saved-link id =”11431-9899″ title =”Irmo”]
[idx-platinum-saved-link id =”11431-9900″ title =”Chapin”]
[idx-platinum-saved-link id =”11431-9902″ title =”Columbia”]
What is the importance of getting pre-approved for a mortgage?
When you find the home you want to purchase, a pre-approval letter needs to be provided with the contract. This is to ensure the Seller that you, the Buyer, have the funds in which to make the purchase. The contract also requires that the type financing be provided. The type of financing is stated in the pre-approval letter. Should the Buyer fail to apply for the loan within five (5) Business Days of the contract, the Buyer will be in default of the Contract and the Seller will have the option of voiding the Contract with earnest money being released to Seller. Should the loan be denied while subject to a financing contingency, Contract will be voided and earnest money will be released to Buyer.
If you are purchasing a home using cash, with no lender involvement, your bank will need to issue a “proof of funds” letter to be submitted with the contract. Generally this can be handled via a phone call and email.
How do you get pre-approved?
Pre-approvals can generally be done within a few minutes of meeting with a lender and in many cases can be done via a phone call with a lender. A lender will ask a few questions and be able to have a general idea about how much money you would be qualified to borrow.
Escrow and Closing Costs
What is escrow?
An escrow account is essentially a holding tank. It is typically referred to in 2 different ways during real estate transactions.
1. When you write a contract, you will also provide the Seller with a pre-approval or proof of funds letter, and earnest money. There is typically no “set amount” for earnest money, though the Seller may request a certain amount. The most common amount of earnest is around $1,000.00 though this can vary with different types of purchases. The real estate broker that you have chosen to represent you will deposit the earnest money into an “escrow” account at the time of contract. This money will be held until closing (unless the contract doesn’t work out) and will then be applied to the purchase price of the property you are purchasing.
2. Most transactions involve a second type of escrow account, between you and your lender. Many mortgage lenders hold money in “escrow” to pay property taxes and insurance. Each month, you pay a portion of the estimated annual costs along with your principal and interest.
Closing costs will vary depending on contract negotiations with the Seller, the interest rates, and the lender, and attorney fees. A good guesstimate for closing costs for they Buyer is about 3% of the total purchase price.
• What is typically included in the closings cost?
* Pre-Paid fees: – These include the first years homeowners insurance and the pro-rated interest on the home for the month you close.
– If you include your insurance and taxes in with each months house payment (also know as an escrow account) you will typically pay three months of the taxes and insurance into the escrow account at closing.
* Transaction Fees: – These fees include the Lender Origination Fee which typically ranges between $600 -$1,500 depending on the lending institution.
– The Appraisal, which could range from $400 – $700 depending on the type property.
– A Credit report & credit updates, typically ranges from $50 – $70.
– A Flood Certification (this clarifies if a property is or is not in a flood zone and is done on every property), approximately $10.
– The Fannie Mae Initiative Update, approximately $25.
– Attorney and all Title Related and Title Insurance Fees. These typically range from $1,300 to $1,600, however can be higher or lower depending on the purchase price of the house and other factors.
Fees can vary and additional fees may apply depending on the type of property purchased. The following was an overview.
• What is a home warranty?
A home warranty agreement pays towards the repair or replacement of any covered appliance or home system that malfunctions under normal conditions of use. Typically home warranty’s have a deductible of $50 – $100 per each repair. Most home warranty company’s require you use a repair service from a list they provide. Most home warranty company’s only cover the Buyer of the property for one year. Some allow for additional years to be purchased by the buyer.
• Is it worth purchasing?
Yes! Mullinax & Dunn chooses to use a company that is NOT “like most” home warranty company’s! We choose to use America’s Preferred Home Warranty, Inc. Here’s Why:
1. America’s Preferred Home Warranty (APHW) covers both the Buyer and the Seller! That’s right! During the Listing period, APHW will cover the Seller! We have had sellers have HVAC’s break, have plumbing issues, etc. and APHW covered most of the costs, believe us when we say our Sellers were really thankful for the coverage!
2. APHW does not require you to use a repair service from a list they provide, you can choose your own repair person!
3. APHW pays for the repair fast, usually within 7 days! Many service repair company’s do not want to work with home warranty company’s due to slow payments, but they all like APHW.
4. APW gives the Buyers peace of mind, knowing that the home they purchase will have a warranty to cover appliances and home systems that malfunction for one year, and that they are given the option to purchase additional coverage if desired.
• Who pays for the home warranty?
This is part of the contract negotiations. The Buyer or the Seller can pay for a one year warranty. It depends on what is agreed upon at the time of the Buyers contract.
Are you relocating to this area? Looking for more information to help you find the right city and neighborhood for your family?
Contact us! One of our agents will be happy to assist you and answer questions you may have about the area!
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Buying your first home can be exciting and scary all at the same time. No worries! The Mullinax & Dunn Team enjoys working with first time buyers! We will work with you to find your home and walk with you through every step along the way. We take time explaining to first time buyers what to expect in each step of the process.